NFT restaurant boom and 3 trends to watch

Chefs like Tom Colicchio, entrepreneurs like Gary Vee, and culinary consultants like Caryl Chinn are all using NFTs to create, fund, and promote new dining experiences. 

Here are the top 3 use cases for which new and existing businesses use NFTs.

FlyFish Club NFT visual that was used for funding

1. Funding/getting started.

We've already seen use cases of NFTs sold to raise funds internationally to start a project or a product. The most infamous announcement to hit the news in 2021 was Gary Vaynerchuk's Flyfish Club. 

Gary V. raised $14M by selling 1,500 tokens to start building the upscale omakase Japanese restaurant. 12% of this funding came from resale royalties alone; that wouldn't be possible if they went with crowdfunding platforms.

Flyfish tokens sold for around $8,200 and offer unlimited access to the 10,000-square-foot dining lounge, restaurant, cocktail bar, and outdoor spaces. The NFTs for Flyfish Club act as membership/VIP access that can be leased or resold anytime, allowing the club member to leave if no longer interested or lend it when not making the most out of it. While Flyfish Club comes with membership perks, some projects prefer to offer shares within the company or club, creating a different incentive and ownership level. There is no right or wrong regarding what to provide holders as long as there is clear communication from day 1.

Membership NFT offering by Kairos

2. Club Membership and loyalty programs

Exclusive clubs have been around since the inception of NFTs. NFTs can easily be traced and identified for their authenticity, and the application to create an exclusive club has sparked the attention of those in the space and mass media.

NFTs' significant difference is their inability to create fakes. No one can sneak into your club!

Some top-of-mind applications include:

  • Access to in-person dining experiences and exclusive events (Ex Dumpling Mafia)
  • Exclusive digital experiences that giveaway metaverse items and art (Ex Bored Breakfast Club)
  • Access to unique global dining experiences and in-real-life connections (Ex. Sho Group)
  • Revenue share through referral programs

3. Reservations

Reservations benefit both the restaurant owner and those who wish to dine. 

Restaurant holders:

  • Can issue NFT-backed reservations, the restaurant's revenue is guaranteed, and they avoid getting stuck with excess inventory.
  • They can benefit from the resale in the secondary market as they get paid a percent in royalties.
  • Quickly discover, offer additional benefits, and reward the most loyal customers by verifying the number of NFTs they hold. Airdrop them an invitation to a gathering or exclusive dining experience.
  • Connect with customers directly and get direct feedback to improve services and experiences. A lot of this information is held by reservation platforms, and business owners don't have direct access to their customers.

As for guests:

  • Reserving a spot will be like purchasing tickets and will be redeemed for a specific location and particular tables. No more "Sorry, that table is taken; we have space at the back of the room," which typically ends up being near the bathroom 😬
  • If timing no longer works for a specific date, it can easily be transferred, sold, or swapped. Instead of paying cancellation fees, they can sell on the secondary marketplace to cover their total cost.
  • They can discover and connect with those who are also frequent customers. 

Over the next 2–3 years, we expect the food industry to experiment more with proof-of-attendance for experiences, collaborations, or loyalty programs and incorporate them into their marketing strategies.

Kairos helps businesses enter the NFT space. Contact us for strategic partnership and to build your crypto infrastructure!

More to read