Rafa Avelar, Partner and CEO of Adventures
When it was based in December 2020, Adventures mixed the digital advertising space with a method to create DVNBs (digital vertical native manufacturers), digital manufacturers by partnering with celebrities or athletes. Gradually, nevertheless, the group based by Rafa Avellar, Ricardo Dias and Gerard Roure started to observe an more and more technological path.
In February of this yr, a R$50 million funding led by supervisor Provence Ventures additionally included the participation of Mercado Livre, which grew to become a business companion in e-commerce and logistics. The firm quickly entered the e-commerce space by buying e-Can, competing with corporations corresponding to Infracommerce.
Now a new technological part is added to this puzzle. The firm is creating Adventures X, which is able to convey manufacturers nearer to matters corresponding to the metaverse, NFTs and stay buying and selling.
“The ambition has at all times been to construct a robust advertising platform, and the know-how arm completes the plan,” says Avelar. NeoFeed. “It began with constructing manufacturers, moved to e-commerce, and ended with the third finish, which is characterised by the improvement of proprietary applied sciences.”
Adventures X matches into this technique by permitting manufacturers to additionally work with instruments corresponding to metaverse, web3, sensory commerce advertising and voice functions. In observe, this could imply something from creating an indication for a star to operating advertising campaigns fully in a digital setting. “Over the subsequent 12 months, many corporations that work with massive manufacturers must transfer in the route of artistic economic system”says Avelar.
The idea artistic economic system, which the entrepreneur refers to, interprets right into a type of monetization of content material produced and shared on digital platforms. This comes from, for instance, a digital influencer who earns a charge to advertise a model in posts on Instagram or TikTok. With new applied sciences like the metaverse and NFTs, this mannequin has gained new types of monetization.
“There is a requirement in the digital influencer marketplace for viewers monetization to be accomplished by merchandise, not simply model actions,” says digital advertising and social media knowledgeable Douglas Gomides. “Tokens, as a result of they’re associated to the cryptocurrency trade, are inclined to develop on this market.”
The concept of making a division on this market was born in 2021, however this yr it accelerated. In current months, Adventures has employed greater than 20 individuals for the space, which is led by Conrado Caon, the group’s CTO. The firm plans to triple the quantity of workers in the know-how sector by 2023.
In addition, Adventures X has additionally signed agreements with two corporations working with asset tokenization and blockchain initiatives: Lumx Studios and Block4 from Rio de Janeiro. The former has already carried out initiatives for digital influencer Boca Rosa and clothes model Reserva. Block4 is an investor in 2TM, the holding firm that controls the Bitcoin market.
Adventures X’s first job might be launching a marketing campaign for the Brazilian model in the metaverse over the subsequent 60 days. The consumer’s identify is saved confidential. Another challenge is accomplished utilizing tokens. The concept is to problem and promote fan tokens from corporations and celebrities.
These digital artifacts can assure house owners unique advantages, corresponding to reductions on merchandise and prizes. In addition, the token may also be traded on the secondary market, making it an funding asset.
The mannequin is not new, however it enjoys larger recognition in the sports activities world. Socios.com, for instance, already operates with the know-how and has agreements with numerous sports activities, together with soccer golf equipment. Anyone who acquires a fan badge from a specific membership can vote to decide on the man of the match, which might be written on the workforce’s captain’s armband and even assure tickets to observe matches at the stadiums.
The euphoria round tokens and NFTs, nevertheless, appears to have died down. On OpenSea, a serious resale platform for crypto belongings, the every day transaction quantity, which as soon as reached 400 million USD, is now round 8 million USD. The worth of digital artifacts has additionally plummeted. The NFT purchased by Neymar, for instance, has misplaced greater than half of its market worth since its buy.
Advertising + know-how
The merging of promoting and know-how is a pattern. Last yr, WPP, the world’s largest communications group, purchased DTI Digital from a Minas Gerais firm whose essence is to develop software program slightly than to create communications methods for giant corporations by know-how.
Another instance is the case of Accenture, a consulting agency that since 2015 has acquired greater than 30 advertising-related corporations in a number of international locations round the world, together with Brazil. Here, the firm acquired the digital company AD.Dialeto in 2015, and the advertising company New Content in 2018.
In Brazil, Zmes, based by former McKinsey Marcelo Tripoli, is attempting to occupy this space between promoting and know-how. Founded in 2020, the advertising company desires to make use of digital instruments with synthetic intelligence capabilities to serve clients.
Another transfer in Brazil that exhibits tech corporations desire a share of the promoting and advertising market has been given to Stefanini. In July 2020, the firm acquired Haus Holding, a communications group based in Porto Alegre that owns promoting company W3Haus, along with Brooke, Caps, Huia, Hopo and Now3.
Adventures is additionally going this manner. Last yr he made M&As that introduced dwelling studio Homem de Lata, consulting agency Fellipa Consulting and sports activities advertising company Go4it. The firm additionally has a partnership with Religion of Sports, a media startup co-founded by American quarterback Tom Brady.
These strikes had been strategic for the creation of DNVBs, which started in late 2021 with the launch of youngster actress Sienna Bell’s model. Vertical received even stronger this yr with a collaboration with singer Gustavo Lima, who has over 44 million followers on Instagram. Six extra manufacturers are anticipated to launch in the coming months.
E-commerce is one arm that helps DNVBs, however it additionally competes on the excessive seas. The Adventures division already operates 77 manufacturers and has been strengthened by the acquisition of execution company E-Can. Together with Mercado Livre, the firm is attempting to finish all the pieces from digital retailer creation and gross sales administration to CRM, SAC and logistics community providers.
With all these strikes, Adventures forecast to double its income this yr. In December final yr, run price (annual recurring income) from Adventures reached 90 million roubles, and Ebitda reached 10 million roubles. Almost all income got here from providers to main manufacturers.