2021 was a highly rewarding year for NFTs. Celebrities like Gwyneth Paltrow, Justin Beiber, Reese Witherspoon, and Eminem joined the NFT bandwagon. These celebrities have millions of loyal followers all around the globe. Thus, it’s only natural that NFT prices are impacted when they make a decision to purchase. It’s similar to a renowned company investing in a startup and the same happens when influencers promote NFTs. Let’s learn how influencer marketing will help you reach the top of your game.
Let’s first understand NFT.
Non-Fungible Tokens or NFTs are digital collectibles transformed into unique cryptographic assets on the blockchain. They have been around since 2014 but gained massive popularity only in 2021 after Beeple’s digital artwork was sold for a whopping $69.3 million at Christie’s auction house.
Fungible tokens are kind of like fiat money like the US Dollar or Hong Kong Dollar. You can exchange a $5 note for another $5 note because they have the same value. In contrast, you cannot exchange non-fungible tokens or NFT like that because each piece is unique.
An NFT represents a digital certificate of ownership. Anything can be converted into an NFT, be it a song, video, GIF, tweet, memes, or digital art. These collectibles will still be available online and can be duplicated a million times. However, the owner will have the tokenized original version.
Defining Influencer Marketing
According to Statista, an average Hong Kong user spends around seven hours on the internet and two hours on social media every day. These stats show how much potential social media has for the promotion of your business. That’s where influencer marketing enters the scene.
Influencer marketing is when an influencer promotes your products, services, and brand on their social media account. These influencers have a loyal following who see them as experts and reliable sources of information. Influencer marketing doesn’t annoy your potential customers, unlike paid marketing. It’s because their followers follow them to see that kind of content only. Some of the top Hong Kong influencers are Elva Ni, Emi Wong, Grace Chan, Coffee Lam, and Lucy Lee.
How can Influencer Marketing help you promote your NFT?
Today, there are influencers in every niche including crypto and NFT. Some of the most famous crypto influencers based in Hong Kong are Henri Arslanian, Joseph Young, and Michael Gu.
Social media content also saw many changes and video content is currently the most successful out of all. Videos are interesting, engaging, and leave users wanting for more. Hence, video is the best marketing content.
Now that you know what content will be best suited for marketing, learn why you should invest in influencer marketing for your NFT project.
- Higher ROI: Influencer marketing is a cost-effective marketing strategy that gives you real-time results. Influencers take up the responsibility of creating the best content to promote your NFT, hence saving you from any extra cost of content production.
- People-centric approach: Influencers create the content liked by their followers. Their content is both engaging and informative. The audience is more likely to pay attention to them because they trust them.
- High audience engagement: The right influencers have a huge following of loyal followers. When influencers promote an NFT, this creates a network effect and their followers are more likely to talk about it in their social circle. This allows businesses to reach a wider audience.
- Quick and relevant reach: Crypto and NFT influencers are followed by crypto enthusiasts. Promoting your NFT through them will allow you to access a genuinely interested audience. Influencer marketing allows businesses to reach the most relevant audience quickly.
Some influencer marketing data to help you make a better decision:
- Facebook (32%) is the most liked platform followed by Instagram (24%) among influencers.
- 71% of customers refer to social media before making a purchase.
- Businesses generate HKD$50 for every dollar spent on influencer marketing.
- 86% of women consumers refer to social media before making a purchase.
- Around 70% of Hong Kongers have access to social media.
- 80% of Hong Kong Instagrammers are employed. Instagram users are highly educated and have higher purchasing power.
- At least 1,000 brands hired micro and nano influencers in 2018, up from less than 200 in 2017.
- The population of micro and macro influencers is increasing at a faster pace at 40% followed by nano influencers at 33%.
- Average engagement rate for micro influencers in Hong Kong is 2.4%; mid-tier 2.3%; Macro 2.7% and top 3.1% in 2021.
- Earnings of influencers per post on Instagram: Micro-influencers- USD$10-$100, Mid-tier influencers- USD$100-1,000, Macro influencers- USD$1,000-$5,000, and top influencers- USD$5,000+.
- The rate of influencers depends upon multiple factors including demand, industry, specialization, type of content, number of followers, and social media platform. However, various studies show that nano and micro-influencers are the most cost effective.
We hope you have understood all about influencer marketing and how you can take its most advantage to promote your next NFT project. If you want to maximize your reach, get targeted leads, and boost your project growth, get in touch with us!