In today's digital age, brands and businesses are constantly looking for new ways to engage with customers. One way to do this is through phygital experiences. Phygital experiences can be used to create immersive, interactive, and memorable experiences for customers. There are many different ways that businesses can create phygital experiences. By incorporating phygital experiences into their marketing and customer engagement strategies, businesses can create more memorable and engaging experiences for their customers. This can lead to increased brand awareness, brand loyalty, and new sales.
Phygital experiences are a powerful way to engage with customers and create memorable experiences. By following these tips, businesses can create phygital experiences that will help them stand out from the competition and grow their business. Read on to discover how your brand can take advantage of phygital experiences in web3.
What is Physical to Digital in Web3?
Going “physical to digital” means taking parts of your business that already exist in the physical world and using web3 technologies to create digital tokens for them. Digital tokens can be linked to their physical counterparts to create added value for brands and consumers, by enabling new ways to collect, sell, and trade existing assets. The blockchain-based nature of web3 means physical to digital transformations give brands more transparent, secure, and decentralized ways of doing business.
How Does Web3 Technology Benefit Businesses?
Web3 technology benefits businesses in three fundamental ways:
- Transparency: Blockchain transactions are recorded for all to see, and each token on the blockchain carries its own record of where it has been and when. This means businesses and consumers can act with confidence knowing that their tokenized assets are the real deal, with a single source of truth to verify their provenance. These records are also an excellent data source to be parsed for marketing insights with the aid of AI technology.
- Security: Web3 technology is built to track and verify ownership in ways that make fraud or unauthorized duplicates significantly harder to execute, meaning physical to digital products are a more secure means of doing business than counterparts that solely exist in one realm or the other.
- Decentralization: The peer-to-peer nature of web3 eschews established gatekeepers that control and profit from online transactions. The smart contracts built into physical to digital tokens mean they can travel with minimal limitations from a user on one marketplace to the next, while still reliably enriching their creators and owners as they go.
How Can My Business Take Advantage of Web3 Technology?
If you're ready to start your business' physical to digital transition, you can take advantage of web3 technology by working with a TaaS (tokenization-as-a-service) partner like Dibbs. Dibbs can help you secure your digital future in the world of collectibles with a uniquely easy-to-use platform backed by proven experience in bringing physical-backed digital collectibles (aka NFTs) to life. Finding the right TaaS partner is the best way to ensure a safe, effective, and profitable physical to digital transformation for your brand. Schedule a demo right now.
Learn about what taking your assets from physical to digital could mean for your brand in our blog post “Going Physical to Digital in Web3 Can Benefit Your Entertainment Business.”
Web3 is the Next Generation of the Internet
Web3 is a new iteration of the internet that is built on decentralized technologies, such as blockchain and cryptocurrency. Web3 promises to be more transparent, secure, and efficient than the current web2 ecosystem.
Web3 Empowers Businesses
Web3 technologies empower businesses with greater control of their assets and more visibility into the data driving their results. This is most apparent in three critical elements of web3 strategy:
- Decentralization: Web3 eliminates the need for central authorities and intermediaries in various processes, empowering individuals and businesses to have more control over their data, assets, and interactions with other parties.
- Transparency: Web3 technologies, such as blockchain, promote transparency by making all transactions and interactions publicly visible and verifiable. This ensures that businesses can build trust with their customers by being open and accountable for their actions.
- Immutability: The immutability of web3 technologies ensures that once data is recorded on a blockchain, it cannot be altered or tampered with. This feature is particularly useful for businesses dealing with sensitive information or intellectual property, as it guarantees the integrity and authenticity of their data.
Web3 Creates New Revenue Streams
The web3 economy enables the transfer of goods and services without intermediaries, reducing the cost of doing business. This allows brands to improve the earning potential of their physical NFTs.
- Tokenization: Tokenization allows businesses to represent assets or services as digital tokens on a blockchain. This enables brands to create new revenue streams through the sale or trade of these tokens.
- Decentralized Finance (DeFi): DeFi platforms enable users to access financial services such as lending, borrowing, and trading without the need for intermediaries. Brands can leverage DeFi to offer innovative financial products and services, such as tokenized bonds, equity, or even brand-backed stablecoins, which can attract customers and generate additional revenue.
- NFTs and Digital Collectibles: Non-fungible tokens (NFTs) provide a way for creators and brands to monetize digital assets and collectibles. Brands can leverage physical NFTs to create unique, limited-edition items or experiences that can be bought, sold, and traded, driving customer engagement and loyalty.
How Brands Can Become Leaders in the Web3 Ecosystem
As more brands learn of the benefits the web3 landscape offers, it is becoming a more competitive space. To capitalize on the shift, businesses must be proactive in exploring and adopting these new technologies. This involves researching and understanding the potential benefits and challenges of web3, as well as finding ways to integrate these technologies into existing business models.
Brands should also be open to collaboration and partnerships within the web3 ecosystem. By working with web3-native developers, entrepreneurs, and other businesses, they can drive innovation and create synergies that will help them stay ahead of the curve and become leaders in the next generation of the internet.
Dibbs is Helping Brands Capitalize on Web3
Dibbs is a platform that helps brands create and manage physical-backed digital collectibles (aka NFTs). Dibbs' Tokenization-as-a-Service (TaaS) platform enables increased revenue from existing physical assets. By working with Dibbs, brands can create unique, limited-edition items or experiences that can be bought, sold, and traded, driving customer engagement and loyalty.
Learn more about how your business can “Capitalize on the Shift from Physical to Digital in Web3” by reading our blog post.
What Are Phygital Experiences?
Phygital experiences are blending physical and digital elements to create new and engaging ways for customers to interact with brands. The real value of phygital experiences is the opportunity to build connections with highly-engaged fan communities. Several brands have already launched phygital products and experiences, including Nike, Funko, CULT & Rain, and Ticketmaster. Businesses must embrace phygital trends to remain relevant in today's competitive landscape.
Examples of Phygital Experiences
- Nike's CryptoKicks iRL line allows customers to buy an NFT sneaker collectible and redeem it for an exclusive physical sneaker.
- Funko partnered with Walmart and Warner Bros. to create a Pop!-ified version of a famous DC comic book cover. Customers who purchased the product could connect their crypto wallet to the World Asset eXchange (WAX) blockchain and claim an NFT version of the artwork.
- CULT & RAIN produces exclusive jackets, hoodies, and sneakers with an embedded NFC chip. The chip connects to an associated NFT that authenticates the item and grants access to unique rewards.
- Ticketmaster's Ethereum NFT token-gating service lets artists and event managers set tickets aside for NFT holders.
These are just a few examples of the many ways that brands are using phygital experiences to engage with customers and build brand loyalty. As technology continues to evolve, we can expect to see even more innovative and engaging phygital experiences in the future.
The Future is Phygital
- Phygital experiences will become increasingly common as more businesses embrace the digital transformation.
- Phygital experiences will provide businesses with new opportunities to connect with customers and build brand loyalty.
- Phygital experiences will help businesses to differentiate themselves from their competitors.
- Phygital experiences will create new revenue streams for businesses.
Phygital experiences offer a number of benefits for businesses. They can help businesses to connect with customers, build brand loyalty, and differentiate themselves from their competitors. As technology continues to evolve, we can expect to see even more innovative and engaging phygital experiences in the future.
Our blog post, “Phygital Experiences are Revolutionizing Customer Engagement,” discusses how brands that offer phygital experiences are in the best position to grow and reach new audiences.
