Circulation coins may be facing something of a decline, but the collectors (numismatics) market is booming. A couple of years ago, the market was valued at approximately $17.6 billion annually 1. Some are predicting growth in the double figures over the coming years, but for this happen, new approaches are necessary to tap into this valuable sector of the market.
Enter the Coiniverse app, an initiative developed and launched by the Mint of Finland that has recently seen the launch of v2.0 to engage collectors through various social features. Containing nearly 80,000 coins from 157 countries, the Coiniverse database currently counts over 30,000 registered collectors from around the world as users – a number that is growing all the time. Interestingly, nearly half of those are under the age of 45, representing a key demographic that needs to be attracted to maintain and grow the market going forward.
Coiniverse demonstrates that, as the world becomes more digitalised, not least as a result of the pandemic, the coin industry is no exception. The Mint of Finland had already embarked on its digitisation journey long before COVID-19 struck, looking at different ways of making ‘fintech into Finntech’ (see CN February 2019). Working with multiple partners, gathering data, and following the creation of over 50 varying digital concepts, the Mint prioritised as its first project the development of the first global mobile application of its type for coin collectors.
Developed with mints from around the world and with the help of the collector community, Coiniverse allows users to browse and create coin collections, with the capability to shift physical coin collections to the digital through the scan feature which utilises AI technology. Joining Coiniverse since its launch last year are six further mints – Monnaie de Paris, Lithuanian Mint, Real Casa de la Moneda (FNMT), South African Mint, and more recently, Swissmint. The seventh and newest member mint, Münze Deutschland, has just been announced.
Work on Coiniverse began in the summer of 2020. Version 1 (v1.0) was launched at the World Money Fair in January 2021. Initially the app displayed euro coins in English only, but has since been expanded to include coins from around the world and the option of five languages (English, French, Spanish, German and Finnish). Each coin listed contains a description of the coin, including its background, the characteristics of the coin such as material, weight and producer (mint), plus information about the designs on the obverse and reverse on the coin. Images of the coin are present at the top of each listing, with the option to browse any varieties minted.
Whilst not currently holding the option to buy within the app, a one-click-buy functionality and even a trading marketplace are envisaged in future rounds of development. In the meantime, Coiniverse does display collectibles from various mints, with collectors then able to go to the relevant mint directly to purchase items. Collectors are also able to add coins they would like to collect to their own personal wishlist. For the time being, the coins are limited to current and recent circulating and commemorative coins (ie. not historical or ‘archaeological’ coins).
Released last month, Version 2.0 of the app includes new features aimed at increasing the ability of users to connect with fellow collectors. The updated app now provides the ability to set public profiles and collections which are visible to other users, including the option of adding profile interests. This enables users to find and like coin collections of interest which have been created by fellow collectors.
Likewise, the ability to create a virtual collection enables collectors to share coins personally collected at the touch of a button, even those not currently included within the app, without having to display the ‘real-world’ versions. Collectors can now transport their collection wherever they go. On the reverse, the option to keep a specific collection private ensures that collectors are able to keep their own private collections secure if they do not wish to share them.
Looking at the future of coin collection, as noted above, the app aims to attract a younger audience to the hobby and expand numismatics to a wider more digital audience. Currently 40% of the users registered are aged under 45, with those aged 55-70 comprising around 25% of users.
Much of the advertising focus outside of the mints has been through social media channels, such as Facebook, YouTube and Instagram. These types of social media campaigns enable target marketing at different user groups in various countries and are, unsurprisingly, particularly effective with younger collectors and perhaps those more inexperienced or newer to the hobby.
However, the app is not just aimed at those younger or more tech savvy audiences. It is designed to be used by all and aims to interest both more established collecting enthusiasts as well as boost the market by introducing new generations to the world of numismatics, and therefore the coin industry.
According to Mikko Sievänen, Head of Digital Development at the Mint of Finland who was brought in to develop Coiniverse, whilst other apps for coin collectors are out there, none offer the same functionality, and in particular the opportunity to carry, add to and share collections ‘on the go’. Added to that, it is the only app developed and managed by the mints themselves, so has the key element of consumer trust that other numismatic outlets lack.
At the moment, the costs of the app are being met by the Mint of Finland. There is no direct revenue stream as yet, and the Mint says it is still in development mode. But in encouraging a wider (and younger) audience, the app will help drive sales of collectors’ coins, thereby boosting the numismatics market.
The launch of Coiniverse during the pandemic was opportune, it said. The rapid digitisation of just about everything that can be digitised across all sectors, no more so than in the traditional numismatic community, has assisted the take-up of the app. And even when life goes back to normal, the use of new tools and the new way of collecting coins won’t be reversed.
In addition to the mints already on board, all other mints are invited to join in developing the application and service, with the eventual aim of all official mints becoming part of Coiniverse. The Mint of Finland sees the application as part of a future oriented programme, with mints showing their interest in digital coin collecting and subsequently being able to understand and therefore cater to future collectors in a more digitised world.
The Coiniverse app is free to download and available on both the Apple App Store and Google Play.
Click here to find out more about the app.
1 - https://mhojhosresearch.com/2020/05/06/coin-collecting-market-analysis-global-and-europe/
