Unlocking the Power of Non-Fungible Token (NFT) Marketing: How NFT Perceptions Foster Brand Loyalty and Purchase Intention among Millennials and Gen-Z

Abstract

Non-fungible tokens (NFTs) have garnered attention among marketers; however, their utilization in branding campaigns remains largely underexplored. The present study examines the perceptions of Gen Zers and millennials toward branded NFTs and the impact of these perceptions on their attitudes and behaviors toward both the NFTs and the brand. The study proposes and tests a model based on the technology acceptance model and the theory of reasoned action to explain how NFT perceptions (perceived usefulness, ease of use, playfulness, risk, and scarcity) influence their evaluations of branded NFTs, willingness to purchase branded NFTs, brand attitude, and ultimately brand loyalty and purchase intentions, via a quasi-experiment. Findings showed that the perceived usefulness, playfulness, and scarcity of NFTs, as well as NFTs as a low-risk purchase, helped strengthen brand purchase intentions. More important, attitudes toward branded NFTs, willingness to purchase NFTs, brand attitudes, and brand loyalty positively mediated this relationship. Also, perceived descriptive norms of NFTs positively related to willingness to purchase branded NFTs. These findings advance both theory and practice in NFT marketing, representing one of the first empirical studies in this area.

Keywords:

• Brand loyalty
• brand purchase intention
• descriptive norms
• NFT marketing
• NFT perceptions
• technology acceptance model

Disclosure Statement

No potential conflict of interest was reported by the author(s).

Ethics Statement

This study has Southern Methodist University IRB Committee approval (Protocol ID No. 22-115).

Additional information

Funding

This work was supported by the General Board of Higher Education & Ministry of The United Methodist Church under the Sam Taylor Fellowship Fund.

Notes on contributors

Quan Xie

Quan Xie (Ph.D., Ohio University) is an Assistant Professor, Temerlin Advertising Institute, Meadows School of the Arts, Southern Methodist University.

Sidharth Muralidharan

Sidharth Muralidharan (Ph.D., The University of Southern Mississippi) is an Associate Professor, Temerlin Advertising Institute, Meadows School of the Arts, Southern Methodist University.

Steven M. Edwards

Steven M. Edwards (Ph.D., University of Texas at Austin) is a Professor, Temerlin Advertising Institute, Meadows School of the Arts, Southern Methodist University.

Carrie La Ferle

Carrie La Ferle (Ph.D., University of Texas at Austin) is the Marriott Endowed Professor of Ethics and Culture, Temerlin Advertising Institute, Meadows School of the Arts, Southern Methodist University.