Pudgy Penguins has sold 750,000 physical toys. What is the business strategy behind this?

The blue-chip NFT project Pudgy Penguins has sold over 750,000 sets since launching physical toys, and has captured a potential customer list of over 55,000 through QR codes on the toys, preparing for future product sales or promotions.

This article is not investment advice.

Pudgy Penguins Toy Sales Exceed 750,000 Sets

In April 2022, after obtaining approval from the Pudgy Penguins and Lil Pudgys communities, physical toys were launched on Amazon, integrating with Pudgy World serial numbers to create online-offline integration, successfully attracting market attention.

Pudgy Penguins' physical toys were listed on Amazon and sold 20,000 units in 48 hours! Cultivating a Web 3 audience from a young age.

Since its launch nine months ago, the total sales volume of Pudgy Penguins toys has exceeded 750,000 units. Calculated at $25 per doll, the toy sales revenue alone amounts to $18.75 million, undoubtedly a considerable income to sustain the project's continued development.

Channel Marketing with Brand Management

Pudgy Penguins toys have successfully entered top channels such as Walmart, Toys "R" Us, and Macy's, with official channels covering nine countries, strengthening channel marketing strategies.

In addition to winning multiple mainstream awards from traditional brands, such as Amazon's Best Seller, leveraging media coverage to increase visibility, including CNBC, Yahoo Finance, Fox News, among others, all contribute to enhancing brand awareness and trust in the market.

Pudgy World Captures User Lists

By attaching a QR code to the physical toys, users can be linked to the online metaverse project Pudgy World. This not only drives traffic to new product lines but also allows for the capture of user email addresses, obtaining precise potential customer lists.

Blue-chip NFT Pudgy Penguins will launch the online game Pudgy World next year.

Currently, Pudgy World has accumulated approximately 55,000 accounts. Assuming half of the accounts are driven by physical toys, the conversion rate is approximately 3.6%.

Complete Business Strategy of Pudgy Penguins

Continuously Market at Low Cost

Pudgy Penguins, through low-priced toys and multi-channel approaches, engages potential users at a low threshold, directing them to new online products via barcodes on toys to capture customer lists. By combining media coverage and traditional awards to increase brand trust, they have successfully maximized marketing effectiveness at a low cost.

Brand Value and Revenue

In an environment where attention is scarce in Web3, naturally driving market attention to OG NFT projects, price increases are inevitable. Currently, the floor price of Pudgy Penguins NFT is approximately 18 ETH.

Even without considering brand premiums, if toy sales volumes are maintained, it is expected to generate approximately $25 million in revenue annually, making it highly competitive among most Web3 projects.

Next Steps for Pudgy Penguins: Scaling

With the achievements mentioned above, the Pudgy Penguins team has completed market testing and achieved Product-Market Fit (PMF). The next step is rapid growth.

Pudgy Penguins' next plan is to continue increasing customer lists, launching Pudgy World officially to enhance list conversion and retention, or introducing more product lines to further grow with customer list sales.

However, the market environment changes rapidly, and major projects have been active recently. Whether Pudgy Penguins can have the last laugh is influenced by many factors.

This article is not investment advice.