Digital collections have a wide range of application scenarios. Personal profile picture (PFP) Metaverse, art collections, games, sports, cultural relics, music, etc. can all be uploaded to the chain and issued in the form of digital collections. In the international market, personal profile pictures account for the majority, while domestic art collections and cultural relics collections are the main products.
Digital Collections + Art Collections
In 2021, the global auction market for traditional art collections will be about 26.3 billion US dollars, returning to the right track of growth after a sharp drop due to the impact of the epidemic in 2020, of which my country accounts for 35%, surpassing the 33% of the United States, and becoming the world's largest art market Collectibles market. And the top 5 auction houses in the art auction market in Asia are all affiliated to my country, namely Christie's Hong Kong, Sotheby's Hong Kong, Beijing Poly Auction, China Guardian, and Hong Kong Phillips;
In the traditional art collection market, there are mainly two stubborn problems of counterfeiting and pricing, while digital collections endow artworks with additional value through technical means such as physical digital mapping and metadata on-chain, broaden their dissemination channels, and fully mobilize artwork creators And the initiative of consumers is a new product form that promotes the continuous growth of my country's art collection auction market.
Application value analysis of digital collections in the field of art collections
- The digital mapping of physical artworks on the chain can track transaction records
- Nodes on the chain share ledgers to ensure the authenticity of digital collections
- Broaden trading channels, expand audience range, and achieve more comprehensive market pricing
- Digital communication lowers the threshold of viewing and is conducive to cultural transmission and inheritance
Creators of art collections: the right confirmation mechanism guarantees the copyright of creators, solves the problem of rampant piracy, expands the scope of dissemination of works, and improves the enthusiasm of creators
Consumers of art collections: Digital collections empower physical art collections, creating scarcity and making ownership of digital collections publicly visible, increasing consumers' enthusiasm for purchases
Digital Collection + Brand Marketing
my country's Internet advertising market continues to grow, and digital marketing is an important entry point for brand digitization
At present, brand digital transformation is the general trend, and marketing digitalization will be an important entry point. In my country's advertising market, compared with traditional media advertising, the Internet advertising market has greater growth potential. In 2021, the scale of my country's Internet advertising market is expected to exceed 600 billion yuan, with a compound annual growth rate of 20.4%, which is much higher than the overall advertising market of 11.2%. The average investment in online marketing accounted for more than 50% of the total marketing expenses for two consecutive years. And 85% of brands will increase or maintain their existing digital marketing investment in 2021, and only 15% of brands will reduce their digital marketing expenses;
Obtaining private domain traffic, directly forming sales conversion, and accumulating customer data are the main purposes of brand digital marketing. Compared with "one-shot sale", for brands, it is more hoped that the target users behind the public domain traffic will be deposited in the brand's own private domain traffic pool, so that the marketing behavior will be transformed from a single touch to multiple, repeated Reach out, solve the problem of brand traffic dilemma and rising marketing customer acquisition cost, and realize the sustainable development of the brand.
Digital collections are born online, and may become a standard for brand digital marketing in the future
In the acquisition of brand private domain traffic, digital collections have the gene of "born online", and the brand itself can accurately gather target users through its own channels, enhance the value of brand IP, and obtain private domain traffic; digital collections use blockchain Technology, its technical features can help brands build a membership management system based on digital collections, and provide new ways for brands to operate brand users in the virtual space; in the long run, digital collections provide users with fun, social, and scarcity The content is conducive to maintaining a longer-term relationship between the brand and users;
Overseas, many brands have rushed to use the NFT technology behind digital collections to carry out digital marketing. For example:
- LV launched the NFT-based game application "Louis: TheGame";
- Burberry launched the "SharkyB" series of NFT goods in the "BlankosBlock Party" game;
- McDonald's launches limited edition NFT "McRib";
- FlyfishClub provides membership to diners in the form of NFT.
And domestic brands have also begun to try digital collection marketing, such as:
- Nayuki's tea adopts a full set of planning of "live broadcast + blind box + trendy play + digital collection" to release digital collections;
- Anta released the digital collection of the Winter Olympics commemorative edition around the theme of ice and snow;
- Yili launched the "Champion Shining 2022" digital collection;
- Midea released the "Midea 2022 Dr. M" digital collection avatar, which is given to users for free.
Digital Collections + Sports
The combination of digital collections and sports promotes the development of the industry through various channels, and endows the sports industry with huge commercial potential. The value of sports digital collections is highly consistent with the original value of the mapped sports assets, and the consensus of the fan group on sports digital collections is also an important factor affecting its development. For fans, sports digital collections have both collection and practical value. Digital collections such as recording exciting moments of sports events, signatures of sports stars, and tickets for large-scale sports events meet the collection needs of sports fans; some digital collections issued by sports stars include The relevant rights and interests of fan interaction make the relationship between the two closer; in fixed scenarios, sports digital collections can be used as a symbol of fans’ identity verification, such as purchasing digital collection tickets issued by a certain team can get peripheral gifts from the team , to strengthen the identity of the fan community;
Globally, the most successful project in sports digital collections is undoubtedly the "NBA Top Shot" jointly created by Dapper Labs and the NBA. As of April 2022, the sales of this project rank sixth among all NFT projects, and rank first among sports projects;
In China, the International Olympic Committee launched the "Bingdundun Official Digital Blind Box" during the Beijing Winter Olympics to guide the combination of more domestic sports IP and digital collections, a brand-new product form, to provide digital exploration and sports for the sports industry. The digital inheritance of the spirit opens up a vast space for imagination.
Digital Collection + Music
In the past ten years, the revenue of the global streaming music industry has grown rapidly at an astonishing compound annual growth rate of 38.8%. In 2021, the total revenue will reach 16.9 billion US dollars, which has already replaced physical records as the pillar of the global music industry. Under the streaming media carnival, streaming media platforms and copyright owners have become the biggest beneficiaries of profit distribution, while most musicians, as content creators, lack the right to speak in the value chain and lack sources of income. Music digital collections can make musicians Get rid of middlemen to achieve independent income. The digital collection is based on blockchain technology. Musicians can cast and distribute works by themselves, fully own the copyright, and most of the income will be attributed to the musicians themselves. In addition, the combination of music and digital collections also has added value such as permanent and unique collection, expanding fan rights, and giving opportunities to newcomers;
Based on the popularity of the overseas NFT market, music NFT casting and publishing platforms first appeared overseas. The current mainstream platforms include sound.xyz, Rocki, Audius, etc. In February 2021, musician 3LAU’s Ultraviolet NFT album auction raised US$11.7 million, breaking industry records; Tencent Music’s “TME Digital Collection” is the first music digital collection platform in China, and will release digital albums and limited peripheral products to tap music The unique collection value of works of art.
The above content is compiled from Yiou Think Tank
Yuanhuashuzang, a one-stop NFT digital works service, an out-of-the-box digital collection SaaS system.
