Category Archives: Crypto
All change.. in the sports world for web3 rights acquisition, to create products such as NFTs. Overall we see this as a positive change, the market has leveled moving toward Sponsor led activation focused on fan engagement.
The Pitfalls of the Old Model for Web3 and NFTs in Sports Brands
1st off big vendors & blockchain software firms offered large MG’s (Minimum Guarantees) for the exclusive ownership of a Rights Holder’s digital assets to create NFTs.
The products weren’t diverse enough, and standardisation meant an emphasis on aggressive marketing rather than aligned engagement, to achieve revenues.
Revenue forecasts were not realistic & revenue splits don’t cover the upfront costs the solution provider invests. The success of projects such as NBA TopShot was encouraging globally, but fan-centric engagement & core principles such as Utility, Access, ESG & Value were missed in many offerings. Meanwhile, NFTs surged generally with consumers understanding that digital assets absolutely can have value & come in many forms.
If you you’re a solution provider working with sports brands to create NFTs and other digital assets, make sure you’re prioritising fan engagement over aggressive marketing.
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By aligning with core principles such as utility, access, ESG, and value, you can create products that truly resonate with fans and drive long-term sustainable value.
The Crypto-Winter by association, (although one that should be much more distant, more on that to come), meant that doors closed, people lost money & the potential upside looked like it was very much downhill rather than a ski-jump.. the question started to be asked – how do we use web3 to create long-term sustainable value… ?
Sponsors are seeking deeper value exchange and 360 fan view
What we see and part of our remit at The Digital Moon is utilising rights holders assets, IP & content to create a new type of value exchange that engages fans, educates the ecosystems, and appeals to the natives in Gen Z & A ultimately growing the audience.
Sponsor-led web3 activations lead to valuable data – Sponsors need more meaningful relationships from their brands & web3 can offer this – they are looking for this deeper value exchange and 360 fan view , created with permission.
It works. Plus, back at base, the enterprise sponsors are all looking at the same thing. How do I engage with fans i.e. those who have made a decision to engage with us; how do I grow that base &, and how do I serve & diversify revenues for my brand ecosystem?
If you’re a sponsor looking to build more meaningful relationships with fans, consider leveraging web3 technologies to gather valuable data and create 360-degree views of your brand ecosystem.
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By offering a deeper value exchange and engaging fans in relevant ways, you can grow your audience and diversify your revenues over the long term.
The Future of Digital Rights Acquisition in Web3 and NFTs for Sports Brand
Ultimately this new model makes sense allowing for products & experiences that are valuable & relevant to fans, players, sponsors & stakeholders alike.. Web3 is a long-term journey through to mixed reality, not a sprint to sell digital assets.
Digital rights acquisition is not dead, in fact, it’s coming alive! The mindset is changing & knowledge is growing.
Overall, a good shift that should add to a super productive coming year in the world of web 3 in sports.
What does this mean for your sports brand?
If you’re a sports brand looking to connect with fans in a meaningful way, consider exploring web3 technologies and sponsor-led activation. By engaging fans in a deeper value exchange and offering more relevant products and experiences, you can build a loyal following and diversify your revenues.
‘Crypto Winter’ & under performing NFT projects.. Sport is not seeing the best of what web3 has to offer – even at these early stages. Sports brands and rights holders have an opportunity to leverage web3.
Overcoming the Crypto Winter: Opportunities and Challenges for Sports Brands and Rights Holders in the Digital Age
Everyone is talking about the ‘Crypto Winter..’.. brrrr..!! However, rights holders & sports brands, don’t be quick to associate all things web3, including NFTs with the negativity we’ve seen recently with the likes of FTX collapsing and unsuccessful NFT drops earlier in the year – especially in Football. They are not one and the same! There is hope, light & a massive amount of opportunity to engage fans & the whole ecosystem, creating more value for everyone including all-important sponsors.
Bridging the Gap: How Web3 and NFTs Can Connect Sports Fans with Digital Engagement
Fans and audiences love their sport; sport is as strong as ever and will continue to grow – if anything, sport is becoming rightly, more available to everyone with examples such as significant growth & success for Women’s teams, ambassadors, and as a result, a wider fan base. There is a way to go but we can say – sport is a growing sector.
Sports fans are however changing. Generation Z & A build brand affinity differently, they handle their data differently & they look to engage with brands, including sports rights holders, in a far broader digital manner. More traditional fans also expect to interact with digital behaviors – Apps, e-tickets, cashless environments, social media content, mobile messaging & online commerce are all shaping interactions.
This is where we can create the bridge. There should not be a massive ‘gap’ to jump over before everyone feels the benefit of this new digital era we term web3.
Beyond Cryptocurrency: Exploring the Many Benefits of Web3 for Sports Brands and Rights Holders
Web3 is not just about Cryptocurrency – in fact, it can build, grow & support fan engagement, community, and valuable data-driven exchanges (for everyone). It aligns with the amazing ‘stuff’ that comes from sports..
NFT’s in the form of digital collectibles have tangible value, create utility and connection as well as offer new levels of access & engagement for fans, attracting wider audiences. This is just one very small example.
However if we just try to ‘sell’ new things that are not understood, and no bridge is created, we will see more failing projects.
Building a Sustainable Future: The Role of ESG and CSR in Web3 Sports Initiatives
Key elements such as ESG & CSR, utility, gamification & inclusion are key to educating all fans & pieces of the brand ecosystem re what’s achievable now and into the future & how this integrates with current digital initiatives.
Web3 is not defined by Cryptocurrency – there are many more types of value on offer, ultimately with much less risk!
Ready to take your sports brand or rights holder to the next level of fan engagement?
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Discover how web3 and NFTs can help you build loyalty, drive revenue, and create memorable fan experiences