Do you want to capitalize on the NFT hype but don’t know where to start? It can be overwhelming and I have struggled at times myself. But rest assured this guide will help you understand.
But before we start let’s talk about what exactly is an NFT. Put simply NFTs are proof of ownership. It is a record on the blockchain which cannot be falsified or duplicated. The most common form is art. In this guide, we will be going through the difficulties of selling NFTs and how to overcome them. On that note let’s get right in.
How hard is it to sell an NFT?
To cut a long story short, it is really hard to sell an NFT. Like any product, you need an audience. After all, why would they buy your NFT over the thousands of others? Ultimately, you need to develop a relationship with your community and have excellent marketing. Yes, your artwork is important but if you haven’t built up a reputation you will struggle to sell.
The difficulty is determined by several factors:
You need to find your niche. This is an area where there is little competition and you can establish yourself over others. In a competitive industry like NFTs it is important to find a sub-sector where you can compete before branching out. Nobody wants to buy their 10th Bored Ape Yacht Club clone.
Maybe you start by creating food-related NFTs starting with an Ice cream-themed collection then you can branch out to desserts etc. Over time you will build authority and dominate the competition.
Not only that, but once you’ve defined your niche it becomes a hell of a lot easier to market. You will have a better understanding of where to focus your marketing and who your target demographic is. The more collections you release the more feedback you will get on what works and what doesn’t
Just uploading your NFT collection to Open Sea won’t suffice. You need to market yourself. Whether this is through Twitter, advertisements, or word of mouth. Generate excitement. Maybe you host giveaways on Twitter. This will expand your outreach while also giving back to your community.
Another way is to be active in the community. Collaborate with other artists and be active in forums. Many artists become popular just by being helpful. These are all important ways to get your work out there.
Even with stellar marketing, you will need to build a community. In a space dominated by scams it’s important to create a community that trusts you. People want to feel a part of something.
Set up a discord group where people can share ideas and get help. Host events. Every Friday could be dedicated to sharing art. Really develop a sense of community and people will want to support you.
In the end, price determines demand. You need to analyze your competition to see what the appropriate price is. When you start out you want to set your price lower to gain market share, then as you build up a reputation you can increase the price. The more sales you get the better understanding you will have of the right price to set.
In a nutshell, it’s extremely hard to sell NFTs. The space is competitive and unless you distinguish yourself from others you will struggle to succeed. You need to build a community that trusts you and set the price appropriately. However, if you follow these steps and create fantastic artwork then I am sure your NFTs will sell like hot cakes. Want to Learn about where to sell NFTs? Then you can read my previous article – NFT Marketplace: The top 5 for Beginners.