Building communities has become a greater priority for marketers in recent years as a means of forging stronger connections with consumers.
These communities provide businesses with a singular opportunity to strengthen relationships with customers and cultivate a sense of loyalty and belonging.
The target audience’s demands and interests must be taken into account in the strategy for creating a successful brand community, committed to promoting meaningful connections and offering value to its members.
Brand communities will undoubtedly continue to grow and change as the world becomes more digital, offering great potential for businesses across industries to connect with their customers in fresh and creative ways.
In this view, Web3 is the most exciting trend, as it gives the marketing community a sense of reward and belonging on a very high level, which traditional online and offline tools cannot provide.
Brands of the caliber of Nike are not missing the chance and are launching their own virtual spaces.
Let’s see how!
What is a community?
The definition of community can vary depending on the context and field of study, but a commonly accepted definition is:
“A group of people living in the same place or having a particular characteristic in common and sharing interests, beliefs, or activities.”
In general, a community is a group of people who share common interests, goals, or characteristics and interact with one another regularly.
In a marketing context, a community is a group of people who are interested in a particular brand, product, or service, and who engage with that brand or its representatives creating a sense of intrinsic relations between the brand and its customers.
This form of engagement may take the form of online discussions, social media interactions, events, or other forms of communication that change the perception that people have about the brand itself.
This kind of community is typically built and maintained by a company or brand with the main goal of increasing brand awareness, building relationships with customers, and ultimately driving sales, providing a platform for customers to engage with the brand and with one another, fostering a sense of loyalty and advocacy among its members.
Overall, a marketing community is a powerful tool for building relationships with customers and driving long-term growth for a brand. By fostering a sense of belonging among its members and providing value through engaging content and experiences, a community can help a brand stand out in a crowded market and build a loyal customer base.
The benefits of creating a community
The rise of the consumer, who increases in importance in the social hierarchy of the company, brings significant benefits. These can be summarised in four points: (The Community Roundtable (2021).
Increased loyalty: An increase in loyalty can be attained by creating a sense of community among customers and forging an emotional bond with them. Customers with a strong sense of attachment to a brand are up to five times more likely to repurchase and suggest it to others.
Greater engagement: A brand community can encourage interaction and engagement between customers and the brand. According to Gallup research, people who are engaged with a brand are more likely to make purchases from it and stick with it over time (Gallup, 2019).
Valuable feedback: A brand community can offer good advice and insights for a brand since it improves the understanding of what client wants and preferences by paying attention to community members’ input. Brands can then use this knowledge to make their goods and services better
Word-of-mouth advertising: Word-of-mouth advertising can also be fed by a strong brand community, consumers that have a deep connection to a company are more inclined to tell others about their great experiences, which can increase brand awareness and bring in new customers.
NFT is the key
The reason is that this innovative technology enables brands to remunerate customers (both financially and in customer experience) in a new and never seen way.
- Exclusivity:
Brands can leverage NFTs to create a sense of exclusivity among their customers. NFTs are unique digital assets that cannot be replicated, making them valuable items to own.
This sense of exclusivity can be used by brands to create communities of fans and collectors who share a passion for the brand and its products.
- Rewards:
NFTs can be used to incentivize and reward user-generated content related to the brand. Brands can create NFTs for the best fan art or designs, which can encourage fans to create and share their content. This can help build a community of engaged fans who are passionate about the brand and its products.
- Virtual Spaces:
NFTs can be used to create virtual spaces where users can interact with each other in a peer-to-peer setting. This can enable users to exchange tips, tricks, and insights related to the brand and its products, which can create a stronger sense of community and loyalty.
In addition, NFTs can enhance brand recognition by showcasing a brand’s visual identity, which can help build a community of fans who are proud to associate themselves with the brand.
- Engagement platform:
NFTs can provide a platform for engagement between brands and their customers use to unlock exclusive content or experiences, which can encourage fans to engage with the brand in new and innovative ways. It can help foster a strong sense of community and loyalty among customers. (McKinsey & Company (2018)
.SWOOSH
Where the community and the NFTs meet each other
After buying the digital design studio Rtfkt, Nike’s Nike Virtual Studios platforms are becoming a real leader in the Web3 sector.
Dot Swoosh is a new Web3 platform and ecosystem that aims to be the home of Nike’s virtual creations, like the popular NFT collections.
As a basis for the launch, Nike purchased the ENS domain ‘dotswoosh.eth’ for 19.72 ETH (approximately $38,000 at the time) to dedicate to the project.
Dot Swoosh is the home of all of Nike’s virtual creations, or NFTs, and is based on Polygon, a blockchain platform as well as a community-focused web3 platform led by Nike Vice President Ron Faris, which enables users to:
- Create and trade virtual Nike creations (including sneakers, apparel, accessories, and wearables for games)
- Collect and display Nike NFTs
- Display Nike NFTs as wearables in blockchain games or metaverses
- Gain access to exclusive content
- Collaborate with other members
- Co-create with Nike
According to Nike’s website, the company’s mission is to use new technologies to shift boundaries. “Sport and culture are evolving, so we want to build a future that is creative, inclusive, and full of unlimited possibilities for everyone.”
Digital Product Passport: a tool to keep your community engaged
Building and engaging communities are more crucial than ever in the current digital era. NFTs and blockchain technology have given businesses new ways to connect with their customers and build partnerships that will last. MyLime is leading the way in this field by providing a digital product passport that enables web3-based communities via NFTs, monitors customer involvement, and establishes a direct line of communication between companies and their clients.
The digital product passport is revolutionizing community development.
To instill a sense of exclusivity and scarcity around NFTs, it offers a secure and verifiable means to monitor ownership of digital goods. The passport also lets companies track how involved their customers are, like how often they use a product or interact with it. Future product development and marketing plans can be informed by this data.
In general, a digital product passport is an important tool for building a community in the digital age. Since MyLime is at the front of this movement, businesses that use this technology will be in a good position to build strong communities around their digital products.
