Exploring the Shift: Why Web2 Brands are Embracing Web3 Technology
The world of business is ever-evolving. With the advent of new technology and digital advancements, the way we conduct business has changed drastically. The internet has already transformed the way we work, socialize and communicate.
And now, with the emergence of web3, businesses have the opportunity to revolutionize their operations and take their growth to the next level. In this article, we will explore why web2 brands are transitioning to web3.
Adidas' Web3 Transformation: Driving Innovation and Growth in Retail Industry
Adidas revolutionizes the retail industry with web3 technology
Adidas is committed to providing customers with high-quality, innovative products, and is constantly exploring new ways to enhance the shopping experience. By collaborating with VeChain, a leading blockchain technology provider, Adidas is leveraging web3 technology to create a more transparent and secure supply chain, reduce the risk of fraud and counterfeiting, and drive innovation in the retail industry.
- Greater transparency and security in the supply chain, which builds trust and loyalty with customers
- Enhanced customer engagement and differentiation from competitors through technology and innovation
- Getting integrated into Metaverse by empowering Customer Experience
- Opportunities for growth and revenue expansion through new use cases for web3 technology
Adidas' transition to web3 technology has already yielded positive results, with revenue increasing by 10% to $25.9 billion in 2022 and net income rising by 12% to $2.8 billion in the same period. The company's blockchain-based ID system for shoes has also helped to build customer loyalty and trust, while setting the stage for future web3 solutions in the retail industry.
The world has undergone a permanent change that has affected lifestyles and habits. The introduction of web3 technology is not just a new chapter in modernizing society, but it is also a new era of uncertainty where the physical and digital worlds have merged.
Web3 and its tools inside are just the new stage of Internet development that could not be skipped. The benefits of this new technology include Metaverses, Tokens, NFTs, Digital Identities, Communities, Decentralized Finances, Blockchains, and VR.
Transitioning to web3 technology does not mean discarding current business practices, but rather incorporating battle-tested fundamentals while leveraging the empowering benefits that web3 offers. Web3 transformation is not a wish, but a necessity nowadays.
Early adopters and trendsetters in the tech industry, such as those who embraced websites, applications, CRMs, digital banks, IT platforms, and smartphones, have always come out on top. Therefore, why would big corporations such as Apple, Amazon, Shopify, UFC, Meta, Gucci, Netflix, and Google be considered foolish for choosing to adopt web3 transformation? Imagine what would happen if web2 brands decided not to change anything.
A Cautionary Tale of Technological Resistance
Why Big Corps Embrace Digital Revolution: Web3 is a Necessity, Not an Option
Web3 transformation can help businesses transform their business models, attract more users, improve their metrics such as LTV, ROI, and EBITDA, increase their capitalization by chaining their assets and making them tradable, and reduce their costs through AI integration.
Businesses in various fields such as real estate, e-commerce, fashion, healthcare, financial services, auto-services, art, education, entertainment, and law firms can reap huge benefits from the web3 transition.
RealT: Redefining Real Estate Investment Through Web3 - A Success Story
Learn how RealT leveraged web3 technology to offer fractional ownership of real estate properties.
RealT is a US-based real estate investment platform that has transformed the industry by allowing investors to buy fractional ownership of properties using blockchain technology.
With fractional ownership, investors can benefit from rental income and property appreciation, without having to invest large sums of money.
RealT's success is driven by its transparent and secure platform, recording all transactions on an immutable ledger to provide investors with a tamper-proof record of their investments.
As of 2022, RealT has over 50,000 registered users and has tokenized over $100 million worth of real estate assets.
- Increased customer loyalty and lifetime value through NFT-based loyalty systems
- Capitalization of assets by tokenizing and trading on blockchain
- Redefined business models and boosted ROI with community-driven incentivization
- Attraction of web3-native users and revenue growth in new digital niches
- Enhanced customer experiences through integration with Metaverse and AR/VR
- Increased asset volume and turnaround with integration into Decentralized Finances
- Personalized experiences using data and technology to tailor products and services to individual needs and preferences
- Collaboration with communities to develop new products and turn them into loyal fans
- Prioritization of user privacy with encryption and decentralized identity solutions
- Expansion of reach by partnering with existing web3 brands
- Streamlined workflow and reduced costs with AI techniques
- Launch of fundraising campaigns and scaling up with own tokens offered to investors.
Tokenization and the Web3 Revolution: Unleashing New Market Growth Waves
Web3 is about getting mass-adopted. Everything that can be tokenized will be tokenized, and web3 is enabling this next market growth wave. Web3 is not just a technology; it's a movement that is reshaping the way businesses operate and connect with their customers. The potential for web3 to revolutionize industries and create new business models is vast, and early adopters are already reaping the benefits.
Kodak is a prime example of a company that rejected technological advancements and ultimately lost the game forever. Kodak was once the leader in the film industry, but its failure to embrace the digital age resulted in the company's demise. This serves as a warning to businesses that resist adopting new technology.
According to trend reports and examples of web3 adoption, the marketing and product landscape is rapidly redefining, and the tendency is here to stay. The earlier a business steps into the game, the more chances it has to successfully outperform its competitors.
How Early Adoption Can Help Businesses Thrive?
But really. Think about the flow of values that seamless onboarding brings! Web2.5, as we call it.
Web3 is a game-changer for businesses, offering a wide range of benefits including:
Web3: A Necessity for Business Success in the Digital Age
In conclusion, the shift to web3 is not a choice, but a necessity for businesses that want to stay competitive and relevant in the digital age. Those who embrace the technology and incorporate it into their operations will be better positioned to succeed in the long run.
With web3, businesses can attract new users, increase revenue, reduce costs, and transform their business models. The transition to web3 may be challenging, but the rewards are potentially huge, and the companies that are bold enough to make the change will be the ones that thrive in the years to come.
"Everything that can be tokenized will be tokenized, #Web3 is enabling this next markets growth wave"
– Monty Metzger, CEO & Founder at $LCX