Native Drop: Vital lessons from Porche's NFT Launch
We release daily LinkedIn and Twitter content that breaks down Web3 concepts and brand case studies. Here are some of the highlights from the last fortnight.
Welcome to the new subscribers who have joined us since the last newsletter! We release daily LinkedIn and Twitter posts that break down Web3 concepts and brand case studies that are likely to drive mainstream adoption. Here are some of the highlights from the last fortnight that you may have missed:
Porche, the German luxury car manufacturer, released its first NFT collection late last month.
CASH GRAB or ICONIC? Let’s break this down:
The fine print:
The collection originally had a total supply of 7.5k NFTs but halted its mint at 2362 tokens when only 16% of its total collection sold after a few hours, as users complained of high minting prices (0.911 ETH each, ~$1,490) and lack of utility for holders.
After community feedback, Porsche announced that it would:
a) halt its mint at 2363 tokens, creating a supply shock and increasing the price
b) expand holder benefits to behind-the-scenes access to the world of Porsche, co-creation of ”Porsche's future of Web3,” and a "private airdrop" in March 2023.
Our take:
“Low effort” and “non-web3 centric” NFT launch:
This launch was met with backlash from the community and served as a lesson for big brands looking to meaningfully build their Web3 strategy.
Brands that successfully entered web3 and sought to provide value to their audiences included:
Nike x RTFKT: Nike spent several years building relationships and learning about NFTs, metaverse platforms and blockchain technology so it could get the project right.
NYX, via GORJS DAO: NYX built the world’s first DAO for 3D creators, increasing aptitude in digital make-up and promoting innovation. Read what we wrote about GORJS DAO here:
Luxury target customers: Despite the bear market, luxury brands command premium prices.
A lot of people are comparing this launch to the Tiffany NFTs (at 30 ETH or $50k per NFT) launched last year:
Tiffany & Co.’s NFT collaboration with Yuga Labs and blockchain software company Chain (i.e. well-known Web3 brands), allowed the luxury jewellers to maintain their integrity and become the third highest selling NFT collection from the Web2 space in 2022.
Unlike Tiffany & Co., Porsche lacked the bandwidth to personally onboard 7,500 buyers for their initial launch.
Porche has set precedent by allowing customers to refund the NFT within 14 days:
In the UK and EU, laws exist to provide consumers with a 14 day cancellation period when buying goods or services online. This also includes digital goods & downloads, i.e., books, in-game purchases, and potentially NFTs.
Porsche gives buyers the right to return the NFT within a 14 day period of minting in exchange for a full refund. It doesn't matter if the floor price is ZERO. You have the right for a full refund.
Are we going to see other NFT collections follow suit?
Read the full post here: https://bit.ly/3l0s0a7
Every year, USD$54 billion is spent on virtual goods (Statista, 2021) and 63% of consumers say they would spend more if virtual goods had real-world value.
A snapshot on three brands that are innovating with virtual goods:
Burberry x Minecraft: Burberry and Minecraft have collaborated on an in-game adventure called "Burberry: Freedom to Go Beyond, which includes includes imaginative elements referencing Burberry, and players can dress their avatars and themselves in collaborative skins and real-life outfits.
MCM x Inverse: MCM has partnered with tech start-up Inverse to create a virtual flagship store called the "MCM'etaverse." Accessible through the brand's website, the MCM'etaverse allows users to learn more about products, access virtual pop-ups, and chat with friends within the virtual world (with no closing hours).
RIMOWA x RTFKT (Nike): Rimowa recently launched a collaborative Original Cabin suitcase with Nike-owned studio RTFKT in both physical form and as an NFT. The launch was accompanied by a gamified challenge to the RTFKT community, in which users could solve tasks to enter a draw for the chance to mint the NFTs.
Read the full post here: https://bit.ly/3XWhBL7
Digital twins are shaping the future of product development.
Here are 3 brands and governments already innovating with digital twins and why you should care:
Firstly, what is a digital twin?
A digital twin is a virtual representation of a physical object that can be used to study and understand how the object is affected by different environmental factors. It is more than just a 3D model and is designed to be as dynamic as the real object it represents.
Why does this matter?
Companies and governments are leveraging digital twins to improve processes, supply chains and facilities management without disrupting physical operations.
Three entities innovating with digital twins:
Energy companies:
General Electric’s digital wind farm has increased productivity by as much as 20%.
The real-time information fed to their digital replicas from sensors on each of the turbines enables more efficient designs and even suggests changes for making each active turbine more effective.
Airlines:
KLM Royal Dutch Airlines has created digital twins of each type of aircraft in their fleet.
The global air carrier has received nearly one million views of its digital twins from ground crews, flight attendants, pilots, and travellers.
Twin cities:
Singapore and Shanghai have complete digital twins that work to improve energy consumption, traffic flow and even help plan developments.
Read the full post here: https://bit.ly/3WQT4pm
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