Although this story is now over a year old, we believe that it is an excellent example of how NFTs can be used to offer utility to a creator’s die-hard fans.
In early 2021, the band Kings of Leon dove headfirst into the world of crypto by releasing their ‘When You See Yourself’ in the form of NFTs. The token holders received a unique token containing exclusive album artwork and a limited edition vinyl along with the audio files.
In addition to these sales, they also sold six ‘Golden Tickets, ’ granting each holder four front-row seats to one show of every Kings of Leon headline tour for life, exclusive meet-and-greets with the band, and a slew of VIP benefits at the concert of their choosing. Of the over $2 million raised by their NFT sales, most of their revenue is attributed to these tickets.
Although many bands have since followed in Kings of Leon’s footsteps, they were one of the first major bands to release their music through NFTs.
While digital music is a promising domain, the ‘When You See Yourself’ album is available for anyone to listen to for free on YouTube and other streaming services. If all you are looking to do is listen to the music, you do not need to own an NFT.
The real value of the NFTs is in the exclusive artwork and limited edition vinyl. Kings of Leon used NFTs to give their biggest fans the ability to purchase a digital collectible — like the tour merch they sell at their concerts — to their biggest fans.
We believe that digital collectibles, especially those that provide exclusive benefits to owners, are compelling reasons for creators to consider NFTs as their next merchandising option.
Not everyone will be able to afford backstage passes and front row seats to a concert, and that’s okay. Creators should focus their energy on building a community inclusive of all supporters, regardless of how much money they can spend.
That being said, creators have supporters who are willing to spend a lot of money on things like exclusive access. Providing utility through NFTs enables those fans to purchase high-cost experiences while also having the ability to sell their tokens.
Merely having the ability to recoup some money from the initial investment in something like a ‘Golden Ticket’ inherently gives the token more value because it is an asset that can be openly traded.
