Mo’ Bitcoin Mo’ Problems
The growing value of kinetic currency and experience economy
2017 was the year of currencies: from the euro vs. the pound to headlines about bitcoin to the more abstract talk of ‘social currency’ on social media. But there’s another type of currency brands can deal in every day that has the potential to unlock new levels of engagement and untapped revenue streams.
‘Kinetic Currency’ is a term for the engagement generated when consumers become actively and physically involved in a brand experience. And in today’s consumer-led landscape, and thanks to emerging technologies, its value is strengthening by the day.
In the past, experiences only held value if consumers physically arrived at pop-ups, festivals or events. While effective, they had no scale. But now with everyone fully submerged in the digital world and with the rapid advancements in tech, brands are waking up to the concept of creating scalable experiences that engage consumers and offer a ‘return on interaction’.
Pokeman Go set the benchmark in 2016, turning what seemed like half the world from passive observers into active participants in the most powerful example of value exchange to date. It not only created an experience for a market of millions but also made it personal. Creating this notion of kinetic currency, Pokemon Go offered exclusive content in return for people’s time, energy and involvement.
Since then emerging technology has continued to develop and transform live and location-based event activity, which in turn is providing richer content experiences and more interactive participation. Just look at Taylor Swift, who, in the lead up to the release of her latest album, teased content globally across digital and social channels to great effect.
However, this type of experience is certainly not exclusive to music artists. Nike’s virtual sneaker drop using geo-location or our work with Thomas Cook, virtually transporting consumers to Singapore to sample the sights, sounds and tastes of the city are good examples of brands in different sectors being able to harness marketing campaigns which involve live, interactive brand experiences. Ones that encourage people to exchange their ‘kinetic currency’, trading their involvement with a brand in return for a rewarding experience.
One of the more interesting impacts of this type of marketing is developing an understanding of just how far a potential customer will physically go for an experience. Realising the value of an experience allows brands to develop a deeper knowledge of what it is that makes consumers tick. This not only gives them the upper hand but represents a massive opportunity for brands and businesses to deliver against this new economy.
Today, the quest for unique experiences is opening the door to a whole host of new business models. The smart brands are investing in an experience economy where consumer audiences can immerse themselves in large scale, live interactive marketing events often boosted by the latest technologies.
Therefore, the future is a combination of the two; taking the exclusivity of a physical experience and combining it with the scalability of digital and social content. The new bottom line is a value exchange between the two participants: the customer giving their precious time and physical effort, getting rewarded or recognition from the brand in return.
Story-Living is a publication of Intermarketing Agency.
