The Early Days of NFT Marketing for Brands

Startups like Novel and Glow Labs are raising money to build products and services to help brands use NFTs as marketing tools.

The Early Days of NFT Marketing for Brands

As NFTs become a more serious marketing tool - brands of all types are trying to figure out their NFT marketing strategy. Beyond PFPs and digital art, most brands look to NFTs as a vehicle to acquire new customers and provide some sort of benefit to retain and engage them. We don't have decades of playbooks of NFT marketing, so many companies need help in understanding how to approach NFTs. Several startups are launching in order to address this opportunity.

Novel is a startup that helps retailers, brands, and content creators mint and sell NFTs. They recently raised $6 Million in a seed round valuing the company at $21 Million. In some of their taglines, they describe themselves as 'Bringing Web3 to DTC' and 'Shopify for NFTs.' They help retailers--particularly e-commerce brands--create and sell tokens, build online storefronts implementing unlockable benefits and content, and presumably provide general guidance on NFT strategy. In many ways, Novel helps position NFTs as a tool for e-commerce brands to supercharge their currently exisiting loyalty program.

Glow Labs is a similar company that creates white-label software enabling companies and creators to build their own loyalty programs and use NFT collections as a marketing tool. The startup recently raised $4.15 Million to follow through with their growth plans. Glow Labs essentially creates blockchain-driven rewards programs for brands, with NFTs as a critical part of the formula. While the initial Glow Labs clients have been Web3 companies, the biggest opportunity is definitely bringing their software to more traditional companies.

Both traditional organizations and Web3 organizations will have to ask the question whether they should build an NFT strategy in-house, or use 3rd party software and services. Novel and Glowlabs are just two examples of many young startups looking to be the best 3rd party NFT provider. It is still the early days of NFT Marketing and the market is going to evolve dramatically over the next couple of years.