As the popularity of Non-Fungible Tokens (NFT) continues to grow, there arises a question, how can we price them according to the market trend? NFTs have the potential to create and trade assets that are eventually unique and digital. Moreover, this is how NFTs have grown to be a valuable tool for the collector and the creator communities. But, as with anything that possesses value, it is essential that one must know how to price them.
In this blog, we will discuss some of the key considerations you must know before writing the price tag of your NFT. They include several pointers, such as researching the market, analyzing different price models, and the factors that may affect an NFT price.
How to determine an NFT’s price?
Firstly, there is no standard rule in determining the price of an NFT. A creator can quote any fee and sell it in a secondary NFT marketplace. On the other hand, a creator can also fix a price tag at the last minute based on a buyer’s interest. This is called buyer price. To create your own marketplace, employ the best NFT marketplace development services providing firm.
Irrespective of this, a creator will have complete authority to employ the best NFT pricing strategy. However, if the price is higher, then you may have risks in selling it. In the worst case, nobody will buy your NFT. Contrarily, if the price is low, you won’t be able to increase it further for some time.
Usually, creating an NFT involves various costs, such as development costs, tools cost, developer fees, and marketing costs. If you are from a non-technical background, you can use a zero-code tokenization platform to create NFTs.
Rarity and Functionality
The Beeple is one of the rare NFTs that is worth more than millions of dollars. Generally, the most common NFTs have low prices due to their lesser demand, whereas rare ones have huge demand. To be more specific, utility tokens will have more value than other tokens because they allow buyers to get some value in return, either goods or services.
The quality, uniqueness, and audience size will also impact the pricing. Additionally, the market conditions and the type of platform used to trade the asset can also influence the price.
Improve the Visibility Of Your Brand
Still, we are at the edge of the blooming season of NFTs. Thus, it shows that many opportunities await in the future. To utilize them, one must be consistent and show passion towards their brand. Well, reputation will pay off for sure.
Building trust among buyers requires solid marketing strategies such as social media marketing, email marketing, gathering users in communities, and more. Once your brand’s name is registered in people’s minds, their interest in buying your creation will increase.
Sell Your NFTs Like A Professional
There are two ways you can sell an NFT. One is by conducting an auction, and the other is by selling it at a fixed price. Alternative ways to sell NFTs in auctions are timed auctions, Dutch auctions, and English auctions. However, you must set a reasonable price in the first place.
Get The Help To Avoid Blunders
You might be a good seller, but your marketing strategies may differ and be lacking. So, if you don’t want to take a risk, get in touch with a professional NFT marketplace development company to manage everything from creating and selling your NFTs from end to end.