How to Build Community in Web3 Gaming

Meet Johnny, the Web2 Gamer:

Johnny is a casual gamer. He finds most games through ads on trusted platforms like FB and Google, downloads right away, and starts playing. He’s quick to uninstall games he finds boring and is constantly trying out new games. He loves playing games to pass the time and will spend money on games that really hook him.

Meet Alexi, the Web3 Consumer:

Alexi is an active Web3 investor, owning multiple cryptocurrencies and NFTs. Her first experience with crypto was an ugly one, though. She bought 1.6 Bitcoin in 2014 for $750 (now worth $43,000). She was trying to buy something a little risky on the internet, sent the money to the seller, and then got ghosted, losing her 1.6 BTC. She still invests in crypto but is highly skeptical since getting scammed and does a ton of due diligence before investing. But, the hope of a big win keeps Alexi looking for new games or projects in the Web3 space that may eventually make her rich.

What’s the difference?

Their reasons for playing games are entirely different. Johnny wants to have fun, and Alexi wants to make money. Given each player has a different goal for why they’re playing a game, typical marketing strategies from Web2 don’t apply in Web3. 

Web2 Gaming Funnel:

Let’s start by taking a look at the Web 2 gaming funnel:

Awareness:

‍A player finds games on trusted sites like Facebook or Google and downloads games on trusted platforms like the App Store or Google Play Store. They get ads of exciting gameplay and want to try it out for themselves. They don’t fear getting scammed, especially since most games are free-to-play. Overall, these players don’t take much convincing to get them to install a game. 

Consideration:

‍A player has the game installed and is ready to play. At this point, it’s up to the gameplay to keep a player hooked. If the game is exciting and engaging, they’ll continue to play. Otherwise, they’ll delete the app and move on. 

Conversion:

‍The player continues to play, and maybe they get frustrated when they can’t pass a certain level or maybe don’t want to play with ads, so they start monetizing in-game through in-app purchases as they continue to play. 

Loyalty:

‍They’re hooked. They come back every day for their daily rewards and new challenges. They continue to spend money and promote the game to their friends. 

The web2 funnel is very dependent on the product itself. If the game isn’t sticky, players leave. The top of the funnel focuses on showing people how fun this game can be. As a brand, you don’t need to convince players that you aren’t going to rob them because trust is built into the process, and usually, these games are free to play.

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Now, let’s compare it with the Web3 funnel:

Web3 Gaming Funnel:

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Some context: many Web3 games are token-gated, meaning you need to have an NFT before you can play the game. Although some NFTs are free, it’s usually the case that a player has to buy an NFT. Additionally, several games have a long, complicated onboarding process that is much harder than just installing a game from the app store. So players must be fully convinced of a game before they even play. 

‍Awareness:

Since crypto and blockchain games are restricted on most social media platforms, discovery tends to happen on organic channels. A player learns about new Web3 games on Twitter, Discord, or through friends. They heard there is a potential to earn money through the game and are curious to learn more. 

‍Consideration:

‍Experienced Web3 consumers are always on the lookout for scams; think back to Alexi. To evaluate a game, they join the game’s Discord, follow the game’s Twitter, and start researching. They look for signs of trust, like seeing if the team is “doxxed” - a term incorrectly used to describe a team that uses their real names instead of pseudonyms. They also look for the potential upside of the game: will they make money? Will the assets appreciate? Why is this worth their time? 

‍Conversion:

‍They’re convinced now that they’re not getting scammed and that investing in the game is worthwhile. They’re ready to play the game and buy an NFT to get started. They then go through the convoluted process of downloading the game. Most games are played through APK downloads, web downloads, installers, etc. Basically, a player can’t just go to a trusted app store and download the game. Finally, they play the game.

Loyalty:

‍They play the game, make some money, and stick around. They promote the game, hoping others buy into it to help grow the in-game economy, making their game assets appreciate. 

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For the Web3 consumer, the gameplay is hardly a selling point. There are a significant amount of obstacles a Web3 consumer has to overcome before even playing the game. As a Web3 brand, there needs to be enough content to alleviate players’ concerns and convince them that the game is worth their time.

Growth Strategies for Web3 Gaming

Understanding the stark differences in consumer journeys, it’s clear that marketing strategies that generally work in Web2 aren’t going to cut it in Web3. Web3 gamers think of themselves more as investors than they do gamers. And investors typically seek to answer three questions: 

• Trust: Can I trust that this team is committed to their work and won’t scam me? 
• Fear of Missing Out (FOMO): Am I missing out on something by not investing?‍
• Sticky Product: Is the product good?

Trust

To build trust with a community, a Web3 brand can implement 4 strategies:

1. Team Visibility:

‍Web3 gamers want to know who they’re getting involved with. So, a Web3 company should openly share its team members, provide regular public product updates, and maintain open lines of communication for community questions through platforms like Discord, Twitter, or weekly “Town Halls” and “AMAs” (Ask Me Anything).

2. Partnerships:

‍Gaining public endorsement from reputable individuals or projects in the Web3 space signals to potential players that your brand is credible and trustworthy.‍

3. Word of Mouth:

Statistics show that 88% of consumers trust a brand more when it’s recommended by a friend or family member. Many potential players research Web3 games in ‘Alpha Groups’ - private groups that exchange ‘alpha’ or new, less-known information that can give a tader an advantage in the market. If a web3 brand is discussed favorably in an alpha group, it can significantly boost trust. 

4. Press:

‍This may seem straightforward, but noteworthy press coverage about company funding, team achievements, and partnerships can add to a team's credibility.

Trust can quickly be shattered, though. Whether it’s missing a public-facing deadline, having poor risk mitigation during a hack, or even something simple like not being active on Twitter for a week, so as a brand, be careful not to put yourself in a position where you can easily break trust.

FOMO (Fear of Missing Out)

Once trust is established, it's time to stoke interest. What unique experiences does your game offer that players would miss out on otherwise? Utilizing FOMO tactics can drive a player's intention to engage and push them further down the funnel.

1. Utility:

This refers to the exclusive benefits attached to an NFT. Some games, for instance, provide game pass NFTs that reward owners with in-game advantages or early access to beta testing. A web3 game should have a compelling utility offer to persuade players effectively. 

2. Events:

‍Like utility, owning an NFT linked with a game can offer admission to exciting events. Take 'Ape Fest', an annual music festival hosted by Bored Apes for NFT holders, featuring notable past headliners like The Strokes, Eminem, and Snoop Dogg.

3. Community:

‍The intangible perks - who will a player interact with if they engage with your game? Is your community entertaining, friendly, helpful, exclusive, or supportive? What reputation do they gain by joining your community? Could this community help boost a player's Twitter following or give them access to 'alpha'?

4. Appreciation:

‍Can a player anticipate growth in the value of their in-game assets? Whether it's an in-game token, an NFT, payouts, and so on. The potential for asset appreciation can be a significant draw. But be careful - DYOR and make sure you aren't in violation of any security laws here. 

A Good Product

Leave this one to your product and games team. Make sure they build a game that can retain all the players you're going to attract after you've won their trust and generated FOMO. 

Paid User Acquisition 

Paid user acquisition tends to flop in Web3. It's usually because new games rush into paid ads without having enough content that both builds trust and creates FOMO. The attention they get from these ads goes to waste when players are left with unanswered questions or concerns. Once a brand has sufficient content that establishes credibility and stimulates FOMO, paid user acquisition can really come into its own and boost marketing efforts.

The Future of Web3 Gaming

In the world of Web3 gaming, we're aiming for a seamless blend where players can't tell the difference between Web2 and Web3 games. This means straightforward onboarding, with scams becoming a rare sight. In the end, game quality will be the deal-breaker. But, in today's market, just being a good game might not cut it. As onboarding gets smoother and less of a headache, the actual gameplay will play a huge role in drawing in players. But for now, your top priorities to drive growth should be building trust and sparking FOMO.

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