Why TikTok Is the Future of Building Web3 Gaming IPs

TikTok has taken the world by storm, amassing a staggering 1 billion users within just five years of its inception. Within this vast user base lies a relatively untapped market of 500 million individuals who consume gaming content on the platform. With such potential, is this the opportune moment to introduce Web3 to the mainstream? And how does this opportunity compare to building gaming IP on X (Twitter)?

Today, we delve into the advantages and challenges of both approaches and explore Web3 gaming projects paving the way in this industry.

The gaming industry's influence on the entertainment sector is rapidly expanding, evident from the success of TV shows like Arcane and Cyberpunk, which are based on gaming IPs. Gaming is no longer confined to just playing the games; it has become a driving force in shaping various forms of media entertainment. At the forefront of this transformation is TikTok, which is bringing diverse angles of gaming-related content to the mainstream, embracing and celebrating gamer culture.

For studios and publishers seeking to grow on this platform, a different approach is required than what they are traditionally accustomed to. The landscape has drastically changed over the past five years, with users now discovering games through platforms like TikTok, reflecting a migration away from conventional ones such as Facebook. Successfully marketing on TikTok demands studios and publishers to adopt a new mindset – they must actively participate in the community and engage as members, rather than merely promoting their brand from a distance.

The statistics demonstrate the opportunities available on this platform:

500M users watch gaming content

82% of all users game once a week

75% of users discover new games on the platform

36% of users report downloading a game they found

Army of Fortune (AoF) presents a good case study of how TikTok demands a distinctive approach. Instead of solely focusing on gameplay, AoF strategically grows its brand awareness by featuring culturally relevant and humorous short videos starring their characters like "Frog Pikeman". These engaging videos tap into current trends, such as the Barbie movie reference showcased below, allowing the studio to connect with a broader audience and cultivate a dedicated community around their characters.

Remarkably, AoF's emphasis on overall entertainment rather than immediate gameplay has paid off, garnering them a substantial following of over 3 million followers on TikTok, even without showcasing any gameplay. As their games continue to develop, it is assumed the studio will gradually introduce more gameplay-focused content in the future. By initially building awareness through their distinctive characters, AoF capitalizes on their recognizable appeal, creating a halo effect that entices the community to eventually try out their games when they are ready to be launched.

SuperTrip effectively built a large following on TikTok by creating a community around "trippy" content. Over two years, they shared videos aligned with their unique theme, gradually introducing their game characters and showcasing gameplay and development. Despite a transition from their initial content, their videos continued to perform well, gaining substantial attention and engagement. However, the game's development may have been discontinued. Nonetheless, SuperTrip's success demonstrates the power of building a community around a distinct theme for long-term engagement and creating communities.

On TikTok, game discovery largely depends on content shared by creators or friends/followers, coming from users which align with their values and beliefs. This shifts marketing dynamics, emphasizing a community-first approach to advertising. Legendary Heroes Unchained (LHU) utilized this aspect by collaborating with crypto-associated creators and producing engaging content that focused on the game's ownership angle, deviating from traditional ad formats. Empowering creators to showcase their authenticity and interpret the IP in their own way forges a unique connection between users, creators, and the game studio, resulting in a highly invested and engaged audience.

While not gaming-related, Pudgy Penguins has successfully built a strong IP and garnered a substantial following on TikTok, offering valuable lessons for gaming projects seeking to grow their brands on the platform. The key takeaways include:

A highly distinctive branding strategy, incorporating consistent color schemes and their penguin characters, while promoting a positive ethos of "good vibes & positivity" in all their videos.

They excel in creating relatability, with a majority of their content resonating with viewers and encouraging viral sharing among friends.

A willingness to experiment and iterate, identifying the content that best resonates with their target audience. Noted by a clear difference between the content they made initially, and what the content looks like now.

Despite the numerous benefits TikTok offers, such as its large gaming audience and viral potential, there are some downsides to consider. Firstly, TikTok being a video-native platform, makes maintaining a consistent flow of content time-intensive, requiring dedicated resources to handle various tasks like testing different content formats, engaging with comments, and collaborating with creators. This might necessitate a full-time employee solely focused on TikTok, which contrasts with most marketing roles that cover multiple channels.

Secondly, the existing social media audience of a project may differ significantly from the audience on TikTok. While targeting similar interest groups is desirable, the demographics and user needs on this platform can vary significantly from platforms like Instagram and X. This requires time and iteration to discover and connect with the right audience on TikTok. Additionally, the change in community dynamics may present challenges for some gaming projects in understanding and effectively leveraging it to their advantage.

In this upcoming section, the significance of X will be explored and its role in Web3 gaming. Serving as the primary hub for the crypto audience, X naturally became the go-to platform for Web3 gaming studios to establish their presence. The decision to choose X stems from the initial need to target a crypto-savvy audience, specifically those interested in purchasing NFTs and tokens.

For many gaming studios venturing into Web3, X remains their platform of choice. However, relying on an audience primarily driven by financial gains may not guarantee long-term sustainability. Consequently, these developers have had to adapt their incentive structures and focus on creating more engaging games. The pressing question is whether X can effectively attract an audience genuinely interested in a game beyond individual financial gains.

Dimensionals RPG, a Web3 gaming project, has set its sights on building a cross-media franchise with the ambitious goal of creating the “next $100 billion universe through gaming”. Their strategy begins with the gaming sector, featuring a catalog of captivating characters, including the likes of Eve, which they plan to expand across various media formats.

Presently, they are focused on X as their primary social media platform, releasing content related to world-building through comic book series and character introductions. Recently, they have shifted their focus to showcasing alpha gameplay. While their current audience on X primarily comprises crypto and NFT enthusiasts, it appears that Dimensionals has the potential for mainstream appeal akin to that of Pokémon and may venture into building a presence on TikTok in the near future.

The Grapes, another remarkable Web3 cross-media IP using a gaming-first approach. Within a short span, they have successfully launched Grape Juice, Grape Solitaire, and are currently developing Grape Tycoon, creating an ecosystem of casual games. This approach allows players to engage with the IP through various games. Moreover, the project aims to extend the use of its IP into different games, including Fortnite and Roblox experiences.

On their X page, The Grapes predominantly caters to the crypto audience, sharing game metrics, revenue numbers, and regular updates. However, this type of content doesn’t have mainstream appeal. Furthermore, unlike other gaming IPs, their emphasis is less on developing connections with characters, story, and world-building, and more on accessibility and recognition.

TikTok and X differ significantly in how projects are building IPs on these platforms. Firstly, X attracts a crypto-savvy audience primarily interested in financial gain, while TikTok's audience is more diverse. Building a TikTok following involves connecting with people who share similar values and beliefs, using content that goes beyond gameplay and “price go up content” to engage them.

Secondly, X is text-based, while TikTok focuses on short videos. As user media consumption changes and attention spans shorten, maximizing engagement through video format becomes crucial. Videos allow for conveying the emotions and joy of a game more effectively. Additionally, some studios experience that TikTok is more effective in converting to Discord signups, sales, and leads to better engagement compared to X.

Beginning by building an audience and IP on X can be a useful strategy to kickstart a following and trigger word-of-mouth growth. However, it's essential to consider that the audience's primary focus on financial gain might hinder the ability to gauge genuine interest. For reaching a broader mainstream audience, X may not be the ideal platform, and instead, platforms like TikTok could offer a much more effective approach.

In conclusion, TikTok is emerging as the future of building Web3 gaming IPs due to its massive and diverse user base, offering opportunities to reach mainstream audiences. Its unique platform dynamics demand a community-first approach to advertising, engaging users through relatable and entertaining content beyond just gameplay. Successful gaming projects on TikTok have harnessed the power of creative storytelling, distinctive branding, and experimentation to captivate and grow their audiences.

TikTok also presents challenges, such as the need for dedicated resources and the requirement to adapt to a different audience. While X remains a popular platform for targeting the crypto-savvy audience, it may not ensure long-term sustainability or reach a broader audience. Ultimately, the potential of TikTok to bring Web3 gaming to the mainstream makes it an exciting platform for projects to explore and leverage in their journey to success.