The tech-forward Wow Bao chain on Wednesday launched the first phase of a move into the metaverse.
The Chicago-based fast-casual Asian concept will extend its Bao Bucks rewards program to add an NFT-based access pass, which will be available in early 2023, though fans can join the wait list now. Holders of the NFT will be granted access to a club where they can earn virtual dining rewards, as well as participate in monthly giveaways and exclusive discounts.
Geoff Alexander, Wow Bao’s president and CEO, said the idea is to offer a line of digital collectibles, which in this case are little bao characters with varying features, that have layers of benefits. There will be three tiers, with more benefits available in the highest tier.
Unlike the existing Bao Bucks program, which is more a straightforward rewards offering, the NFT move is designed to build more of a community, Alexander said.
The idea is to open a dialogue with guests by giving early access to new flavor launches, for example, or asking them what they’d like to see next, he said. “This is the next phase of loyalty.”
Wow Bao plans to initially mint about 2,500 NFTs, but Alexander said it probably won’t be limited to that number. The price has not yet been determined, but the goal is to keep it accessible, with a starting price in the high single digits or low double digits.
“When you’re only making so many of something, there’s a lot of exclusivity that comes with it. But we want to be inclusive,” said Alexander.
And, unlike earlier versions of NFT offerings, buyers do not need to use cryptocurrency to claim them. Wow Bao’s NFTs can be purchased with a credit card and email address.
In the next phase of the strategy, Wow Bao plans to launch virtual incarnations of their hot food vending machines in the metaverse.
It’s not clear yet what games or platforms might host the virtual vending machines, but Alexander said the goal will be to allow those playing in the virtual world to approach a vending machine and buy a bao that can be delivered in real life.
The metaverse version of the vending machines are inspired by Wow Bao’s real vending machines. The concept currently includes roughly 25 vending machines in Georgia, Florida and Las Vegas among its outlets. Developed with Automated Retail Technologies, the kiosks are expanding primarily in nontraditional locations and offer a selection of refrigerated dumplings that are cooked to order.
Wow Bao’s metaverse strategy, which was developed with customer intelligence and advisory firm Brightloom, will also include a presence in the play-to-earn car racing game Riot Racers, as a car and tournament sponsor. Fans can purchase a Wow Bao car to race in the game, but the brand is also planning various promotions and giveaways for players within the platform.
Wow Bao has long been a technology pioneer, as one of the first chains to launch self-ordering kiosks in 2010, and a fully automated cubby pickup experience in 2017. The chain has also grown to 600 outlets across the country using a ghost kitchen strategy. In some markets, Wow Bao is using commercial ghost kitchens like Reef or Kitchen United to grow, but the vast majority of outlets are other restaurants that are generating extra revenue by offering Wow Bao as a delivery-only brand.
In October alone, for example, more than 100 virtual Wow Bao outlets came online, including a large deal with TGI Fridays, Alexander said.
Wow Bao joins a growing number of brands that have made Web3 moves, despite evidence that consumers are not as interested in playing in the metaverse as was initially projected. Still, Chipotle, Wendy’s, Applebee’s, IHOP and White Castle have experimented with inserting their brands into virtual worlds or selling NFTs.
Alexander said there are people who are very interested in the metaverse and people who are not.
“But innovation and evolution is at the heart of what Wow Bao does,” said Alexander. “Will the metaverse in 19 months look the same as it does today? Everything evolves and we want to be part of that evolution.”
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