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Minneapolis, Minnesota – February 28, 2022 – Minneapolis-based creative agency MONO today announced the addition of five newly created leadership roles as the agency accelerates growth amid new business wins and assignments, including Molson Coors, HelpSystems, and RHYTHM Cannabis.

Four of the five include promotions from within the agency:

• Katie Riddle to Executive Creative Director to manage, lead and drive creative excellence for MONO’s existing and prospective clients. Riddle formerly served as Group Creative Director.
• Julie Vessel to Chief Operations Officer, to drive and streamline MONO’s global operations. Vessel was formerly Chief Talent Officer
• Melissa Mathei to Director of Account Management, to lead the account management team and deepen relationships with MONO’s existing clients, formerly Group Account Director
• Kathleen Flanders to Director of Client Operations to lead client operations and project management discipline, formerly Group Project Leader

In addition, MONO has hired Suzy Langdell to Director of Business Development, from Fallon Group, to accelerate the agency’s new business acquisition efforts.

This bolstered leadership team aligns with MONO’s mandate to simplify and empower, enhancing MONO’s capabilities while expanding client services to support additional growth and continued momentum. In recent months, MONO has added new clients domestically and expanded its remit for long-term partners in the retail and adult beverage industries.

“This is about securing the future of MONO. As we look at our ambitions for 2022 and beyond, we see an opportunity to empower more leaders to fuel best-in-class capabilities, inspire our teams and clear the way for great work to happen,” said Founding Partner Jim Scott.

 “As we celebrate strong growth and look for ways to expand our offering, we recognize the need to have an Executive Creative Director and expanded slate of senior leaders who are 100% focused on driving and inspiring great work for our clients every day, while we help grow and evolve the agency,” added Founder & CCO Chris Lange. 

MONO is part of Stagwell, the challenger network built to transform marketing. MONO sits within The Alliance, an integrated collective of digital, creative, public relations marketing agencies that collaborate on new business opportunities and client work to drive greater integrated value. The Alliance includes Anomaly, digital innovation shop YML, consumer communications group HUNTER, and healthcare firm Concentric Health Experiences.

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About MONO

MONO is an award-winning creative agency for brands in search of ideas that will disrupt the market and define them in the long-term. MONO was founded with a belief that “Simple Always Wins” and an obsession to attack complexity in order to create simple, captivating ideas that move people and move business. MONO works with Valspar and HGTV/SW paints, Thomas’ English Muffins, LifeSpace, Old Dominion, Peroni and Leinenkugel’s. For more information, visit: www.mono-1.com.

About Stagwell

Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world’s most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing.  Led by entrepreneurs, our 10,000+ specialists in 20+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.

Contact: Beth Sidhu
beth.sidhu@stagwellglobal.com  
202-423-4414

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NEW YORK, Feb. 24, 2022 /PRNewswire/ — Stagwell (NASDAQ:STGW), the challenger network built to transform marketing, today announced a meaningful expansion of its global footprint across MENA with three affiliate partnerships: public relations and marketing network Orient Planet Group, data-driven strategy consulting firm, Phronesis Group, and events and talent management firm FLC. Together, the affiliates scale Stagwell’s leading digital transformation, creative production and modern media services while expanding the roster of local and international talent available to Stagwell and its growing global client roster.

Each will collaborate with Stagwell’s flagship global media agency Assembly in MENA and existing regional affiliate partner Brand New Galaxy. Additionally, the new affiliates will benefit from best-in-class product solutions in the Stagwell Marketing Cloud, a suite of business transformation solutions for in-house marketing teams.

“Now in its second year, the Global Affiliate Program continues to allow Stagwell to chart agile global expansion and collaborate with regional experts to drive international value for brands. said Mark Penn, Chairman and CEO, Stagwell. “Our partners at Orient Planet Group are already deeply entrenched with teams across the network, and I’m excited to build on our new partnerships with Phronesis and FLC as we continue our mission to transform marketing.”

The new affiliates are leaders in creative production, digital media, and data-driven strategy consulting:

• Phronesis Group is a global strategy consulting firm which helps clients achieve global growth through more effective and efficient marketing communications executions. Focused on measurable client outcomes, Phronesis is headquartered in Chicago with offices in the UK, EU, Kingdom of Saudi Arabia, UAE and Indo-Pacific Region, where they serve a distinct portfolio of clients. These clients include BOD’s and CXO’s of Fortune 100 global corporations, sovereign wealth funds, private equity firms and ministries from emerging market countries.
• Orient Planet Group is one of the most rapidly growing public relations, marketing and communications consultancies in North Africa and the Middle East. Orient Planet’s expertise in creative communications coupled with contemporary thinking provides unparalleled marketing communications services to its clients across numerous sectors. Orient Planet Group recently extended its strategic partnership with Stagwell global communications firm Allison+Partners, scaling their combined expertise in the region.
• FLC is a leading Dubai-based production & model management agency that services clients across two key verticals – Print & Video Productions and Fashion Shows – while supporting casting via a range of local and international models, casts, photographers, and stylists.

“Phronesis is excited to be joining Stagwell through their affiliate partnership program. After an exhaustive review, we found that Stagwell possessed the extraordinary talent, services and will to challenge the traditional holding company status quo with an execution ecosystem that our clients expect,” said Jeffrey Hupe, Chief Executive Officer of Phronesis Group.  “Unlike other strategy consulting firms, we partner with our clients through the entire process from strategy to execution to help them realize growth outcomes that deliver business value.  Our highly disciplined delivery and services execution model is now aligned with a global, premier marketing services holding company that will finally meet client demands by truly integrating their arsenal of services.

“Orient Planet Group is well-entrenched in the Middle East and North Africa with in-depth understanding of the local landscape,” said Nidal Abou Zaki, Founder and Managing Director of Orient Planet Group. “As the regional affiliate of Stagwell and Allison+Partners and having maintained a strong network and long-standing partnerships over the years, we are encouraged to see more organizations engaging and connecting with their markets across a diverse population.”

To date, Stagwell’s Global Affiliate Program has added over 50 partners representing countries across Latin America, MENA, Asia-Pacific, and Eastern Europe. In addition to expansion via this program, Stagwell in January 2022 launched an international office in Singapore to accelerate its growth in APAC.

About Stagwell Inc.

Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world’s most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing.  Led by entrepreneurs, our 10,000+ specialists in 20+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.

Contact: Beth Sidhu
beth.sidhu@stagwellglobal.com 
202-423-4414

Originally released on

New York, New York – February 23, 2022 – Stagwell, the challenger network built to transform marketing, today announced an expansion of its global marketing services into Africa via new affiliate partnerships with three firms: Incubeta in South Africa, SBI Media in Nigeria, and Orient Planet Group, whose footprint spans North Africa, including Libya, Tunisia, Algeria, Egypt, and Morocco. As part of Stagwell’s Global Affiliate Program, these firms will collaborate with agencies across Stagwell’s network to scale omnichannel media, content, and production capabilities for leading global brands. 

“With the cementing of our partnerships with Incubeta, SBI, and Orient Planet Group, our Global Affiliate Program now empowers Stagwell to scale our modern marketing expertise across six continents, driving further value for our clients,” said Mark Penn, Chairman and CEO, Stagwell. “By 2025, two-thirds of African households are expected to have increased consumer power in the global economy. As a worldwide leader in culture-moving creativity and modern marketing services, Stagwell’s growth in the region will guide global brands to engage authentically with consumers across Africa.”

The new cohort of affiliates represent best-in-class digital media and global communications services:

• Incubeta is a digital-transformation focused network of experts in marketing and technology committed to driving business-wide growth for modern brands. Incubeta has steered digital growth for clients across multiple sectors, including retail, travel, finance FMCG, iGaming, entertainment, automotive, app development and more.
• Based in Lagos, Nigeria, SBI Media is an innovative full-service agency with a deep focus in media planning and buying. SBI Media’s capabilities span branding, strategy and planning, PR strategy formulation, media management and digital marketing. With SBI Media’s expertise, Stagwell will tap into a rapidly growing digital and traditional media environment with a hyper-localized approach.
• Orient Planet Group is one of the most rapidly growing public relations, marketing and communications consultancies in North Africa and the Middle East. Orient Planet’s expertise in creative communications coupled with contemporary thinking provides unparalleled marketing communications services to its clients across numerous sectors.

“Incubeta is a market-leading specialist that uses the power of digital to unlock and amplify business growth potential. We do this through bespoke, localized digital solutions, powered by global expertise,” said Roan Mackintosh. “Stagwell’s focus on digital-first marketing solutions is a strong complement to our expertise, and we’re excited to collaborate with its network to deliver and enable our client’s growth.”

“We are pleased to join Stagwell, the world’s challenger marketing network. Stagwell’s vision to transform marketing communications is not only in-sync with our DNA, it is at the core of what we stand for at SBI Media Group,” said Rotimi Bankole, Founder and CEO, SBI Media Group. “In 2013, we floated SBI Media Group, and the Nigerian media and marketing landscape has felt our impact. Our story, culture and impact have transformed the way agencies exist in the larger economy.”

 “Africa’s growing economies and the boom in digital technologies provide strong potentials for innovative communications to thrive in the region,” added Nidal Abou Zaki, Founder and Managing Director of Orient Planet Group. “Orient Planet Group is well-entrenched in the Middle East and North Africa with in-depth understanding of the local landscape. As the regional affiliate of Stagwell and Allison + Partners and having maintained a strong network and long-standing partnerships over the years, we are confident to see more organizations engaging and connecting with their markets across a diverse population.”

Stagwell’s focus will initially be in the North and South African markets, with continued engagement and collaboration in Central Africa, supporting the localized needs of consumers.

Stagwell’s Global Affiliate Program is an agile solution to global expansion, enabling Stagwell to partner with regional experts to drive added value for clients and scale marketing capabilities into new regions. To date, Stagwell has added over50 affiliates to its roster, representing countries across Latin America, MENA, Asia-Pacific, and Eastern Europe.

About Stagwell, Inc.:
Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world’s most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing.  Led by entrepreneurs, our 10,000+ specialists in 20+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.

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Marketing Frontiers is a new series from Stagwell exploring the methods, mediums, and messes modern marketers will grapple with over the next decade as they chart transformation in the discipline. This March, Stagwell is exploring Audio.

TL;DR:

Consumers desire a single platform to satisfy all their listening needs, making the audio streaming wars a hotter competition for attention than video and TV. 

The success of global entertainment content in recent years  presents a clear opportunity for content development in audio.   

Audio streaming is still a nascent space – so prioritize identifying early gaps or “deserts” that can become substantial growth opportunities 

The audio streaming wars have been back in the spotlight in recent weeks following a high-profile boycott of Spotify launched by rock legend Neil Young in protest over COVID misinformation on the platform. Across social media, there has been fierce debate about how much responsibility streaming services should take for the content they host—and what ethical and financial obligations these platforms have to the creators who depend on them. 

There’s a reason that these debates attract so much media and consumer interest. It’s becoming increasingly clear that the audio wars are a zero-sum game—much more so than TV and film. As a result, it’s impossible to separate the fate of giants like Spotify from the fate of the audio streaming industry at large. 

Why is it zero-sum game?  

Unlike video streaming, where the average consumer has a subscription to five different services, 83% of Americans prefer to turn to a single audio app to satisfy all their listening needs. And 86% of consumers say that they’re unlikely to start paying for a new audio streaming service within the next six months. 

The barriers to entry in this market are exceptionally high. Most consumers simply aren’t willing to use multiple services to track down all the music and podcasts they want to listen to. And once they’ve found a service they like, they’re unlikely to jump ship—especially since doing so usually means abandoning the playlists they’ve lovingly curated over time. 

So, what can brands do to attract new users with audio content such a cut-throat and competitive environment? Here are three recommendations from our research: 

Find ways to make your users feel closer to the creators they love 

Consumers don’t want to be passive listeners anymore; they want to immerse themselves in the creator economy and feel like part of an active, thriving community. 69% of listeners say that they want to do more to support their favorite creators—for example, by buying merch, attending live events, or engaging in micro-payments. And two thirds of them are interested in one day learning how to create audio content themselves. 

Focus on creating a truly global content library 

The success of overseas streaming content like Squid Game and Money Heist demonstrates that Americans are increasingly willing to engage with media from outside their own country. And the data suggests that this is just as true for audio content. 7 in 10 Gen Zs and Millennials use podcasts as a way of virtually travelling to new places and hearing new perspectives, and 42% of consumers say they’ve started listening to cross-cultural podcasts within the past year. 

Identify “audio deserts” and create content to fill those gaps  

Despite the boom in audio content over the last few years, not all audiences have been equally well-served by the content on offer. For example, Black and low-income consumers are more likely than other groups to say that they’re not interested in the audio content currently available on the market. Identifying and targeting these audiences that have, so far, been left behind by the streaming boom can help your platform create a resilient niche for itself. And as evidenced by the strong mix of more diverse content dominating the entertainment wars on social and streaming properties, engaging with these audiences can be great for driving growth.  

For more on the listening habits of consumers, and what they mean for streaming services, see our full report: Welcome to the Future of Digital Audio. 

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Virtual worlds are on the rise – and the time people spend in them is only going to increase. With popular artists such as Justin Bieber, Travis Scott and Ariana Grande having already performed in the metaverse, brands know that the future is virtual and that the possibilities of marketing in the metaverse are seemingly endless. In the last few months, we’ve seen an explosion of brands using NFTs to connect with and engage their consumers.

As AOR for Budweiser, Allison+Partners supported the brand’s entry into the metaverse with the launch of the Budverse Heritage Collection on Cyber Monday 2021. The brand’s first-ever NFTs are a curated set of unique digital cans representing 1936, the year the first Budweiser can was created. This launch marked the brand’s first foray into the world of unique digital assets on the blockchain and represented Anheuser-Busch InBev’s first owned NFT marketplace, Budwesier.com/NFT.  Each Heritage Collection token is a one-of-a-kind digital asset generated using designs from throughout Budweiser’s history and was available to consumers of legal drinking age via two different token types at launch – Core Heritage Cans and Gold Heritage Cans. The Gold Heritage Cans are rarer, with only 36 in existence and included access to and/or exclusives for future Budweiser in-person events and early access to future brand NFT launches. There were 1900 Core Heritage cans released.  

The launch was incredibly successful, with the collection selling out within an hour, a fact the team quickly added to media follow ups, with efforts resulting in 243 million impressions, including coverage in Entrepreneur, Decrypt, and multiple stories in AdAge.

For an iconic brand like Budweiser, there are numerous benefits to being seen as an early adopter in this space. The brand has been a major influencer and contributor in sports and entertainment and NFTs represent the future of where consumers are going to socialize and be entertained. In addition, NFT marketplaces enable Budweiser to provide consumers with a richer and deeper brand experience, leveraging technology for increased engagement.

Late last month, the A+P team supported the brand’s release of its second NFT collection, The Budweiser Royalty Collection, which also quickly sold out. The brand partnered with 22 of the world’s top emerging music artists to drop their first-ever NFTs and provide them with a global platform they might not have access to otherwise. The drop also allowed fans the opportunity to support artists directly and potentially unlock exclusive experiences with them. Through the Budweiser Royalty Collection, Budweiser continues to give local artists a global platform and support their journey towards becoming the next Kings and Queens of the music industry. Coverage resulted in 144 million impressions and included stories in Benzinga, Medium, INSIDER and many more.

Earned coverage of Budweiser’s entry into NFTs successfully positioned the brand as an innovative leader in the space and demonstrated how AB InBev is leveraging technology to engage brand fans in an entirely new way. Both the Budverse Heritage Collection and the Budweiser Royalty Collection offered consumers the ability to collect and own a digital piece of the Budweiser brand, as well as gain exclusive access to brand experiences.

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Americans swear by the marketing value of the Super Bowl and a host of mythologies surround ideal slot placement, annual “best of” lists, and more. But price tags, declining viewership, and the global pivot away from traditional TV advertising makes us wonder. As the Super Bowl concludes and the Olympics continue, we asked global leaders from Stagwell and our affiliate partners for their thoughts on this key question: what is the value for modern brands in major sporting tentpoles like the Super Bowl, World Club or Olympics? Explore four POVs below. 

WTF (Where’s the Freaking Value?)
Toby Southgate, Global CEO, Forsman & Bodenfors

Welcome, both linear and on-demand viewers, to the annual season of marketing insanity that is the Super Bowl. Welcome to lists, best-ofs, some epic voiceover casting and – for a limited time only! – music licensing and talent fees that’ll make grown adults weep.  

This year, as happens with frequency on our rolling global events calendar, we get to layer the Winter Olympics on top of the Super Bowl boondoggle. “Where should I be investing my media dollars?” comes the plaintive cry of marketers across the land. “Who cares, it’s the freakin’ Super Bowl! Snap it up while you can!” And when snapping up comes in at a couple hundred thousand dollars a second – airtime only – then maybe a cynical voice of reason somewhere should ask the simple question: WTF? Where’s the Freakin’ Value?  

Whoever it was who really said “half my marketing budget works, I just don’t know which half” could probably hold up the Super Bowl, or any one of the other tentpole global sporting properties, as the primus inter parus examples of this dichotomy. If you’re there and you get it right, people will talk about you. If you’re there and you get it wrong, people will talk about you. If you’re not there, people will talk about you not being there.  

For Super Bowl specifically, there’s a purity of value by association that no other event can command. This remains the most-watched live event on the planet. It happens in one evening (unlike the Olympics or the FIFA World Cup), and – here’s the incredible part – it’s maybe the one televised event where real people in the real world will engage in conversations about the advertising they see. You could probably run a very simple segmentation analysis and find 3 major buckets of Super Bowl advertising – the funny, the emotional, and the weird. All have the power to engage and stimulate, or to isolate and offend. But what unites every marketer committing to this opportunity is the knowledge that just being there is no longer enough.  

What happens around the 30 seconds your brand is on air? If you do break through sufficiently to provoke a conversation in the real world, how do you keep that momentum moving? How do you translate it into commercial impact? If your agency partners aren’t pushing that agenda as hard as they are the creative execution of the timing of the placement, then they’re not helping you resolve the “which half works?” question. Because now it’s all linked. And it all has to work.  

Unifying Moments Make the Investment Worth It
Anna Panczyk – Chairwoman of the Supervisory Board, Brand New Galaxy, UK

For me, the answer is built into the question. Yes, the world is fragmented and people do feel disconnected – and so now, especially after the past two years, there’s a renewed impulse for people to find reasons to connect and be together. Sport offers a great way for brands to connect to families, groups of friends and fans – and sometimes even a whole country – with a straightforward common understanding and message.   

Sports allows brands to generate this reach and awareness on a huge scale, but also to tie itself into those personal feelings of togetherness, connection, pride. Sport involves powerful emotions – and let’s not forget, playing, watching and sporting is enjoyable and fun.    

On the other hand, being directly commercially involved in these sort of events is one of the most expensive routes to market. Brand Keys research (https://brandkeys.com) showed that only about 20% of the brands that advertise during prestigious events like the Super Bowl actually emotionally engage viewers. So, you could say – and many do - that involvement like this s a waste of money. But the actual impact of these things is harder to measure. There are plenty of Olympic or Super Bowl ads that stay with you, resonate beyond, become shared, transform into memes. And there are plenty of lower–level activation that don’t carry the same cost, but still allow brands to benefit (activations on social media, sales promotions etc). 

What sporting events prove to us every time is that it is always about the journey you take, not just the ultimate goal. And the same logic applies to those great campaigns which – yes, at the level of buying a Super Bowl ad, can also be hugely expensive. But brands continue to recognise the fact that these are rare and unique moments to be shared with their potential users or brand lovers. Moments of national unity, mass awareness, positivity, togetherness and fun – which brand wouldn’t want to get involved?!

Sport is the New Fireplace in a Modern Household
Ashish Khazanchi – Managing Partner, Enormous Brands, India  

Where does broadcast stand in the time of Reels, Stories, OTT and the severely divided attention economy? Sport, for most, is possibly the last remaining bastion of appointment viewing across the world. The bigger the stage, the bigger the draw of it.

Events like the Super Bowl, FIFA, Olympics, IPL are important for brands for reasons larger than just the univariate way of looking at it for pure reach. The key for brands really is the intense engagement. Sport for most audiences is a part of identity, and identity narratives. There’s intense identification with the heroes and the myths and their teams. This makes big sporting moments the last remaining lean-forward viewing platform in the era of skip ads and incessant scrolling. Sport is the new fireplace in a modern household. It gets families, friends and communities together. There’s joy, conversations, laughter, tears, jubilation and people huddled together over shared nervous energies. These moments are prime for brands to tap into this energy and audience engagement to drive the conversations towards greater brand love.

How Can Culturally Important Moments Help Tell Brand Narratives?
Daniel Felipe Cuervo – Strategic Planning & Growth VP, Buentipo, Colombia   

Culturally important moments for each country, such as the Super Bowl, World Cup, or Olympics, are moments that brands should take advantage of, for the good and not for the bad. These types of events are perfect for brands to talk about their values and beliefs beyond the product they want to advertise or sell.

The budget investment that brands need for these spaces should be leveraged as a  long-term strategy, rather than their bottom lines in the short-term. Our recommendation to brands: Be smart. Take advantage of this space to create advertising pieces that are highly relevant and above all, tell a story that answers why your brand exists. Go beyond the hunger to sell your product and use this as a chance to communicate your purpose, values and beliefs as a brand.  

Follow Stagwell on LinkedIn to keep up with the latest news, work, and perspectives from the global Stagwell network. 

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Everyone is trying to figure out what to do about non-fungible tokens (NFTs). These modern tools, born out of the crypto boom, have been viewed as both a passing fad and a future tool for artistic compensation.

Recent research from The Harris Poll and R&CPMK found that about half of consumers familiar with NFTs (47%) are interested in brands offering them as a commercial product, providing new use cases for brand marketers to capitalize on the hyper-relevant digital tokens that occupy so much consumer mindshare. When leveraged correctly, NFTs offer several applications for driving increased revenue and awareness around brand products:

1. NFTs as an incentive for a larger purchase. 

Big-ticket items such as festival tickets, cars or trips can make most consumers hit pause and consider purchases. Unlike impulse buys – such as food, beverage or CPG products – these larger ticket items often require repeated exposures to creative campaigns or an extra incentive to push consumers over the line on a purchase.

Our research indicates that NFTs could offer marketers another tool for pushing customers through the funnel, with 30% of Americans stating they would like to receive an NFT as a gift with a purchase.

Indeed, the possibility of attaching an NFT to a purchase teases several value creation possibilities for brand marketers. For live events or travel, an expiring NFT offer could provide a sense of urgency to the purchase as an added incentive to buy now. NFTs could also offer a a seal of authenticity. For example, luxury brands such as Gucci are experimenting with NFTs tied to the purchase of their products. The NFT in this case serves as a luxury indicator, marking the occasion of the purchase and proving the authenticity of the brand to others or third-party buyers.

Whether driving immediacy for an upcoming purchase or as an addendum to prove the authenticity of a luxury item, incentive-based NFTs provide marketers innovative ways to leverage this new technology. By tying a unique token to a physical product or experience, it marks that purchase as special. And the specialized, unique value of NFTs can boost sales, create differentiation and ultimately increase the perceived consumer value of a product.

2. NFTs as commemorative memorabilia to deepen consumer connections

Much like apparel, figurines or trinkets, an NFT represents a myriad of options for marketers looking to create unique, commemorative items for specific events. Instead of tying an NFT to a purchase, marketers can use NFTs as a subsequent item to deepen consumer connection within a marketable moment in time as a token of appreciation.

In fact, 38% of consumers aware of NFTs in our survey stated that they prefer an NFT over physical memorabilia to commemorate their time at a sports or entertainment event. Memorable entertainment and sports events, which rank especially high on consumer passion indexes, have a unique opportunity to sell or give away NFTs to commemorate the occasion.

Sports leagues, teams and venues could distribute NFTs based on notable moments that took place during a game, such as a home run, game-winning goal or even a championship. Music venues could also craft NFTs representing the location, year and artist performing. Similarly, art festivals or exclusive cultural events could offer NFTs celebrating attendance.

Live Nation CEO Michael Rapino noted that NFTs are a major future-looking strategy for the company’s concerts and events, stating, “We envision Live Nation participating within the [NFT] marketplace by looking at some of our concert moments as magic moments that we could mint and attach to our ongoing ticketed festivals.”

Several sports teams, including Mark Cuban’s Dallas Mavericks, are also experimenting with NFTs to layer onto ticket sales. With so many moments to commemorate during an immersive live fan experience, NFTs present marketers with new ways of deepening consumer relationships by leveraging digital tokens that can capture those same moments and make them endlessly accessible to fans. In a not-too-distant future, fans may hear, “Thank you for coming, here’s an NFT.”

3. NFTs as additional revenue streams

As opposed to offering an NFT as strictly a purchase incentive or as memorabilia, they are also sellable products themselves—providing brands new ways of generating additional revenue beyond the initial purchase price. The tokens can represent almost anything, allowing brands to apply them liberally across different products.

Of consumers familiar with NFTs, 41% say they are likely to buy one, according to our research. And these potential buyers are most interested in purchasing the following types of NFTs:

34% would consider buying an NFT of a video game asset (e.g., characters, special armor)

33% would consider buying an NFT of artwork

30% would buy an NFT of a social media post

30% would buy an NFT of a video (e.g., event recording, interviews, blooper reels, etc.)

One of the most compelling applications is tying ancillary benefits to the purchase of an NFT. For example, the band Kings of Leon offered fans an NFT in exchange for a digital download and vinyl copy of its newest album, “When You See Yourself.” Taking the practice one step further, a higher value NFT gave the buyer lifetime front-row seats to Kings of Leon shows and special backstage passes. These benefits created new subproducts for the band, independent of album or ticket sales, that generated more than $2 million.

Entertainment, sports, the arts and cultural events are the industry categories where consumers are most likely to buy NFTs. For those consumers considering an NFT purchase, they were most likely to buy from a streaming platform (28%), an artist (27%), a blockchain trading platform (27%), a sports organization (19%) or at an in-person/virtual event (18%). For those innovative brands willing to experiment with ancillary NFT products, digital tokens offer fantastic ways for companies to increase their bottom lines.

As digital representations of the modern world with nearly zero creation costs, non-fungible tokens provide brand marketers limitless upside potential. They provide incentives for larger purchases by creating immediacy, additional value and marks of authenticity. And they can serve as unique memorabilia to deepen consumers’ connection to memorable moments, concerts or sporting events. Lastly, NFTs offer brands innovative ways to package digital products alongside physical ones to drive additional value. The only question that remains is, “What can you digitally dream up next?”

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Marketing Frontiers is a  series from Stagwell exploring the methods, mediums, and messes modern marketers will grapple with over the next decade as they chart transformation in the discipline. In February, Stagwell is exploring the rise of NFTs. 

NFT craze is a strong case study in three behavioral psychology concepts: Scarcity, Social Proof, and Signaling. 

Marketers who leverage these concepts to drive NFT adoption are poised for growth. 

Marketing is all about creating value above and beyond a product or services’ inherent value. How can I charge more for my bottle of water that’s basically the same as the one right next to it?  

NFTs are perfect for studying marketing. Most NFTs have no inherent physical value. Most do not ‘do’ anything in the physical world (though some do have a physical component such as restaurant reservations or social clubs). Most can be copied with a simple screenshot or screen record. Their value is predicated on someone else wanting the same NFT.  

So how do you get someone to buy something with no inherent physical value? Marketing and psychology. 

This article is going to cover some of the psychological principles behind the current explosion of NFTs and the lessons they provide for marketers.  

Scarcity

Scarcity is one of the most well-known economic and psychological principles. As supply decreases, demand increases. Humans tend to want resources that are difficult to obtain or are in short supply. 

NFTs are an interesting case of scarcity because almost all NFT scarcity is artificial. Some of the best-selling NFTs are programmatically created (such as Bored Ape Yacht Club). They’re made using a computer program that varies several factors (facial expression, facial features, clothes etc.) to create different characters. It would be simple to create more characters or more copies of the same characters. They are not constrained by raw materials, production costs or distribution.  

However, NFT producers limit their supply. In fact, their limited nature and sense of exclusivity is partly what makes them appealing despite it being entirely manufactured. NFTs have seemingly been able to avoid criticism for artificially constricting supply. This has often not been the case for brands selling physical products. Some speculated whether Nintendo’s supply problems during the launch of the Wii in 2006 were really production issues or a strategic play to drive up sales. High end fashion brands are often criticised for burning their unsold clothes to control their prevalence. Despite this, some brands, such as Supreme, have thrived by limiting stock and driving up demand. 

The current culture around NFTs seems to allow brands to artificially constrain supply without much public backlash. However, this could quickly change, especially if consumers realize they’re bidding on something where supply is being artificially constricted. 

Social Proof

More fuel to the NFT fire is social proof. Humans are social creatures. We’re heavily influenced by the behaviour of others, especially role models. NFT sellers have done a good job of breaking into celebrity culture. The list of celebrities owning NFTs is extensive (Eminem, Jimmy Fallon, Steph Curry etc.). This adds to their legitimacy (and drives up prices should they ever wish to sell their NFTs). YouTuber and boxer Logan Paul and businessman Gary Vee (9.7m and 22.1 mil Instagram followers respectively) have been extremely vocal about their NFT collections.  

Those looking up to these celebrities are more likely to follow their lead and purchase NFTs for themselves. Abercrombie and Fitch used a similar strategy. They marketed to younger people. This in turn led to older people buying their products to stay ‘trendy’. NFTs that manage to get a celebrity sale will also get sales from other people looking to ride the hype train. 

Signaling

Linked to social proof is signaling. We like to display our status. It helps us to judge ourselves and our in-group vs others. What better way to show that you’re an affluent, tech savvy, early adopter than to buy a digital image or video with no inherent value?  

Many people buy NFTs and then share them on social media to show off their purchase, proof of the power of signaling.  Signaling is the primary motivation behind many luxury goods. Further, many social acts such as voting and switching to electric vehicles are being encouraged through signaling such as ‘I voted’ stickers and green number plates respectively. As the world becomes even more digital, NFTs could become the ultimate signaling, luxury good. What’s better than a luxurious coat? A luxurious line of code.  

Ultimately, people buy NFTs because they’re scarce, new, celebrities & business leaders are buying them, and they say something about the owner. Or, like cryptocurrencies, they’re bought simply to be sold later for a profit.  

The future of NFTs is hard to predict. The housing market bubble leading up to 2008 popped partly because people realized the underlying value of the asset was far lower than was being portrayed. If everyone keeps believing in the value of NFTs, they will continue to prosper. However, even if the NFT bubble bursts, it’s been a quintessential lesson in how value can be created where there is none, with scarcity, social proof and signaling. 

Matthew Hellon is a Senior Research Executive at Northstar Research Partners, a full-service global insights agency in the Stagwell network. Hellon was named Young Researcher of the Year in 2021 by the Market Research Society for his contributions at the intersection of marketing and behavioral science. Connect with Matthew on LinkedIn.

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Marketing Frontiers is a new series from Stagwell exploring the methods, mediums, and messes modern marketers will grapple with over the next decade as they chart transformation in the discipline. This February, Stagwell is exploring NFTs.

NFTS are an opportunity brands shouldn’t pass on. 

Two strategies are driving value: incentivizing real-world action with NFTs, and using them to build loyal long-term consumer segments. 

In the old days, marketing companies incentivized consumers with free toasters. Today, they give you an NFT, a digital good that may be even more useful. It’s easy to confuse the NFT craze with other emerging new technologies but they stand apart as offering several unique areas of potential value. First, they provide individually usable coupons or discounts that can be tracked; Second, they offer permanent digital copies of paper goods; and third, they offer collectible opportunities that could soar in value,

Brands want to experiment with NFTs but are struggling to determine whether it’s a fad or an effective long-term brand strategy. They must balance wanting to be first movers on exciting new tech that is racking up serious investment while pursuing virtual items as ways to connect digital and in-person experiences. But barriers make this investment difficult, including the expensiveness inherent in producing some types of NFTs, the wild fluctuation in selling prices, and the knowledge gap among consumers who are confused or otherwise skeptical about the technology.

While it’ll be a while before we can gauge the long-term impact of the NFT activations in the market now, it’s clear from early experiments that two styles of NFT activations are proving successful: those that connect digital incentives to real-world action, and those that help build long-term, loyal consumer segments for brands – either within or beyond their usual consumer base. Sports marketers and luxury fashion brands are leading the charge on effective NFT adoption.

Incentivizing and Rewarding Real-World Action: Sports Brands

This Super Bowl, the NFL and Ticketmaster are partnering to provide in-person spectators free NFTS that commemorate their tickets and serve as digital keepsakes, giving an added boon to die-hard fans for their commitment to filling stadiums and solving for consumers who want a souvenir from the experience but are prone to losing ticket stubs. In addition to the free, wide-cast NFTs, a set of limited-edition tokens will be released to commemorate past Super Bowls hosted in the city of Los Angeles.

Giving consumers something meaningful for attending in-person events that taps into fandoms, hometown loyalty, and the desire to remember exciting experiences is one avenue of common-sense NFT adoption. These are not the flashy, expensive digital art being auctioned the NFT world is known for, but affordable, scaled and tied directly to an activity that fans have already shown engagement with: collecting stubs. These efforts teach a simple lesson about how to forge new paths with emerging technology: don’t reinvent the wheel; look for ways NFTs enhance or supplement existing real-world action.

A screenshot of the N.F.L.’s Virtual Marketplace for NFTs and other collectibles. 

Building Loyal Long-Term Consumer Segments: Luxury Fashion and Apparel Brands 

NFL/Ticketmaster’s effort doubles as a window into how NFTs are tapping into supercharged fan bases to build long-term, loyal consumer segments. Beyond sports, luxury fashion brands use NFTs to engage up-and-coming, nascent consumer segments and prime them for long-term engagement. Louis Vuitton rolled out an adventure game commemorating its founder’s 200th anniversary birthday, featuring a selection of hidden NFTs and a set of ultimate prizes tied to exclusive, real-world offerings. And this year, NYFW goes virtual – presented by Decentraland, the popular Metaverse destination. Decentraland will host a digital component to NYFW that includes runway shows and immersive experiences, branded NFT collections, and other collectibles and digital tokens. These efforts engage a younger set of consumers who may not yet have the disposable income for luxury material purchases in real-life but are attracted to the exclusiveness of the brand and excited for the digital follow-through.

We think NFT’s are too important an opportunity for today’s brands to take a pass on. We believe every brand needs to play in the space in coming years and integrate NFTs into their campaigns. Fans want digital assets of their favorite players; traceable coupons make great targeted assets to enhance customer experience; and everyone loves to collect something that could be valuable.

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