When people think of blockchain, the first thing that comes to mind is buying and selling cryptocurrencies; however, its uses are way more far-reaching than the financial world. The blockchain technology is now making waves in the digital marketing world as it helps companies solve some of the most significant hiccups in the industry – the lack of transparency and the presence of intermediaries.
This article will discuss the impact of the blockchain, and how it is helping marketers minimize skepticism and develop a decentralized environment for their companies as well as clients.
Why blockchain marketing?
The blockchain is a record-keeping method which creates a ledger of transactions that are not just transparent, but also impossible to tamper with. Knowing this, the question then becomes, what sets it apart from other data-storing technology?
Uniformity: No one is in charge of the block – every participant in the globe is responsible and is informed of all transactions that go into it.
Immutability: Once the information is encrypted, it cannot be changed. No one can alter it. This explains why blockchains are very secure.
Decentralization: There is nothing like a central place where data is stored in a blockchain – every block links to the previous one, making it a strong network with no central point. This is what shields blockchain from malicious attacks.
How blockchain is influencing marketing.
Helps business to interact with the right audience
According to some recent study, about 70% of marketers fail to target audience with behavioral data, and 1 in 1000 adverts gets a click in an online display advertisement campaign. Technically, advertisers have consumer information but still pay considerable fees to middlemen. And still, they are not able to engage the right audience. With blockchain technology, it’s possible to create decentralized search engines to help marketers get their businesses in front of their potential clients.
Helps businesses to prevent ad fraud
Ad fraud is a serious problem in the marketing field – paying for false impressions and clicks has become a norm today. In 2017 alone, 1 in 5 pay-per-clicks was fraudulent; this is according to PPC Protect. Unfortunately, the ad fraud is not only taking up much money from companies but also twisting their analytical data (which in the end influences their strategic decisions). But thanks to blockchain technology, advertising sites can highlight all clicks in real time. They can also assist marketers by renting out their ad space and attracting quality traffic.
Helps with data collection and crowdsourcing
Good data is the basis of communication in any campaign; and while there are numerous tools in the market today, advertisers still find it hard to hit the accuracy mark with consumer data. Blockchain technology, together with crowdsourcing, makes it possible for businesses to encourage consumers to share their information in exchange for some form of compensation. By putting clients in the middle of the data economy, the information acquired will be highly relevant and authentic.
As client experience continues to be at the center stage, marketers will be trying to come up with innovative ways to enhance their strategies. Blockchain, along with other marketing technologies has attained excellent results, customer satisfaction, authenticity, and relevancy. Leveraging its real potential can help marketers create transparent, secure and authentic consumer experience. Marketers who are unaware of how to tap into the blockchain world can work with a blockchain marketing agency to help them get started.