Unlock the Metaverse: How Community can Power Web3 Success
Although it's early days in web3, (the much-hyped next version of the internet), one truth is becoming abundantly clear. Brands that understand how to build a community are well positioned to master the metaverse. Why? It’s the evolution of social engagement beyond what’s possible on platforms not owned by the brand. Likes, comments, and shares are great for top-of-mind awareness but do they really drive growth? Deepen brand love? Foster innovation? Hardly.
Centralized Web2 platforms like Facebook and Instagram monetize users while limiting how brands can organically reach their own follower base that many have spent millions of dollars building. Hard truth: a brand's followers on social media are not a community.
Recently referred to by Vogue Business as the “Soho House of Web 3.0”, the community platform Discord gives brands a deeper way to connect that transcends the feed. There’s a reason why innovators like Gucci, Adidas, and Prada recently launched their own private Discord communities –– unfettered access to brand fans and high-value customers.
Building a community that people truly want to join means understanding their passion points, connecting around shared values, and leveraging the ownership aspect of the blockchain to reward them in ways not possible in a web2 world.
Rule #1 – Give them skin in the game
Prada and Adidas recently teamed up to bring their latest Re-Source collaboration into web3. The first-of-its-kind crowd-sourced NFT project allowed anyone to submit a photograph using a custom filter which scrambles 40% of the image making it anonymous. Three thousand of the photos were then selected by a raffle and minted by Adidas as NFTs.
These images were combined as tiles into one mass patchwork NFT, designed by digital artist and creative coder Zach Lieberman. This “Beeple-style” NFT will then be auctioned on digital art marketplace SuperRare, and displayed as an art installation in Prada and Adidas flagship stores. Those who submitted the artwork remain owners and can sell their NFT on the secondary market. At an average value now over $600, it’s no surprise that the Discord community for the project topped 50,000 members in its first few days.
Rule #2 Team up with innovative NFT communities
Gucci recently launched their Gucci Vault Discord channel together with vinyl toy brand Superplastic, quickly surpassing 28,000 members. The first 20,000 received special access to SuperGucci, the brand’s first collaborative NFT collection. Priced at 1.5 ETH (currently ~$4k USD) the NFTs were designed by Gucci creative director Alessandro Michele and Superplastic. The digital NFT comes with an exclusive physical ceramic sculpture, a smart way to win over first-time buyers skeptical of spending so much on a digital image alone.
Having previously launched several successful NFT collections (Headtripz, Pillz, and Crypto Jankys) Superplastic has built a cult-like following of active members who also happen to share a passion for Gucci. Teaming up for the launch gives Gucci a digital beachhead, maximizing hype and sales while minimizing barriers to entry by appealing to Superplastic’s crypto-carrying members.
The drop instantly gives holders of the 480 NFTs a deep connection to the Gucci brand and community, a way to signal status (through featuring the NFT as their profile pic), and offers a shared upside as holders can sell the NFT anytime they like on OpenSea (within hours after launch the average value reached $41k). Regardless of whether they bought an NFT or not, thousands of Gucci community members were welcomed into web3 by a network of new friends that can guide them deeper into the metaverse.
Rule #3 Build community around shared missions and values
We all know Gen Z and millennial consumers want their favorite brands to share their values. What many brands struggle with however is how to accomplish this in a meaningful way. The shift into web3 offers brands an effective solution – partner with DAOs (Decentralized Autonomous Organization) and values-focused NFT collections to build community around a shared mission.
To effectively build community and deliver real value that goes beyond virtue signaling, brands can partner with DAOs whose missions align with their customer’s values. MyBFF.xyz for example is a DAO created to “help women and non-binary people get educated, connected, and financially rewarded in crypto and web3.” A mission like that has an appeal for fashion, beauty, CPG and luxury brands alike. Alternatively, NFT collections centered around inclusivity and equal opportunities for all like World of Women and Boss Beauties, have seen meteoric growth and are actively partnering with brands to help make their mission a reality. This collaborative effort between consumers, brands and DAOs fosters loyalty and trust, critical elements for a strong community.
In Summary
It’s clear that having a strong community is becoming foundational to success in web3. Brands that focus on getting this base element in place first will have a distinct lead over laggards still chasing their tail to get more Instagram followers. When you own the community you own the relationship, and when you own the relationship, you’re ready for the metaverse.