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NFT pricing strategy: How should you price your NFTs?

NFT pricing strategy How should you price your NFTs

NFT can be fixed-price or sold during an auction. But creators should consistently sell to demonstrate a proof-of-concept for boosting the NFT’s floor price.

In early 2021, markets for NFT (non-fungible tokens) started to gain some notoriety. By the end of March, this new crypto market for digital assets had a total lifetime traded volume of around $550 million. Any digital asset can be a non-fungible token, including artwork, collectables, video game characters, digitized sports and virtual world objects.

A blockchain, usually one on the Ethereum network, is a place where an NFT’s ownership is recorded. But, the sale of this digital asset results in ownership transfers and the recording of the blockchain of the crypto payment received. This doesn’t mean cryptocurrencies and NFTs are the same.

Generally, one of the basic properties of cryptocurrencies and fiat money is interchangeability or fungibility, whereas the nonfungibility feature of NFTs makes them worth it.

How to determine NFT prices?

Though there are no fixed strategies to price NFT, NFT sellers may prefer selling them at the listing price in a secondary marketplace. Otherwise, they may eventually sell at a price that a buyer wants to pay, a known buyer price.

Nevertheless, being the creator, you have full authority to select the best NFT pricing strategy. But, if your price is set too high, the risk is there and it’s never possible to sell that item, and if you choose your price too low, it would be hard to increase it gradually. So here are a few things you need to consider before determining the pricing of an NFT.

Adding value to your NFTs by offering unlockable

For Non-fungible tokens, unlockable content makes utility for owners. The artist can increase the token’s real-world worth by creating unlockable content outside the digital token. There is a setting for unlockable when configuring NFTs. Unlockable content is basically hidden content to be viewable by non-fungible token owners only.

Redeemable discounts and physical objects such as high-resolution videos and signed products are all instances of unlockable content on NFT. This strategy aids NFT sellers to build brand equity and sell their work at competitive prices.

How to sell NFTs ideally?

The initial step to successfully sell and price your NFTs is to understand the industry fully, the blockchains used in NFT development, marketplaces for NFTs, major types of NFTs already sold by artists in the space and their usual price range. Then the next step would be choosing an NFT marketplace that fits your goals and determining the minting, creation, service, and selling costs before defining your token’s different value proposition. Therefore, can you price an NFT at any price?

Moreover, you can price a non-fungible token, at any rate, you find suitable. But, understanding what makes your NFT different from the competition is essential to charge a more price for your NFTs thereby attracting more buyers if you have a different and appealing value proposition. Then, research the ways to sell your NFTs. The ways and methods you can use to sell your NFTs depend on your preferences.

NFTs can be sold using two most common methods: At a fixed price/ an auction, where NFTs are offered for sale on the open market. You can set up a fixed price for NFTs during the process of minting, or if you want to check the market, select an auction in which your Non-Fungible token is won by the bidder who successfully makes the highest payment eventually, often known as an English auction.

However, one can go for a timed auction, a specific English auction in which an NFT is up for bid for a pre-determined time, with the highest bidder winning at the end. Moreover, a Dutch auction is an option available, and it is a declining price auction in which the price keeps decreasing until your NFT is purchased.

If NFT sellers are interested in earning revenue every time their work is sold, they can select the royalty option. Eventually, set a fair price for your NFT after considering the abovementioned substitutes.

How to price your NFTs on OpenSea?

NFT sellers can sell crypto art or NFTs on OpenSea. You can follow the below-mentioned steps:

  1. By clicking the “Profile” button in the top right corner of the OpenSea page.
  2. Choose the NFT from your wallet that you want to sell.
  3. Then, Click “Sell” on the top right of the item page.
  4. Choose the price as a timed auction or fixed price, select a default sale period or enter a particular duration using the calendar.
  5. The item can be set aside for a particular customer by typing the wallet address into the “Reserve for specific buyer” field under the “More Options” section. OpenSea charged a 5.5% fee for this sale, including a 3% creator fee or a 2.5% service fee.

Can you sell NFTs without marketing?

Marketing is at the heart of selling NFTs, like any other product. Therefore, if you are wondering why your NFT isn’t selling, this may be due to a lack of awareness among the NFT community. Therefore, how hard is it to sell an NFT?

Every artist has personal preferences: Some choose to be publicly visible, whereas others like to remain unknown. But, to raise a non-fungible token project’s profile, inform buyers of your professional background, including experience with blockchain technology. This also includes crypto art or other NFTs, which is of paramount importance.

Therefore, what kind of NFTs sell best?

Also read: NFT Calendar: The Best Tool For Finding NFTs Beforehand

Wrapping up

Though there is no definite answer, NFTs with a solid presence on various social media channels and showing clear roadmaps may sell better than others. For example, suppose an artist usually tweets about their digital artwork and joins the conversation about NFTs. In that case, it will help them build a brand, attracting people to buy their work.

Alternatively, an attractive website listing that includes your NFT collection with an accurate description will show genuineness to the community and aid convert website visitors to actual buyers. But, avoid under-promising over over-delivering to make customers confident in your work.

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