Presently, concerns regarding privacy and data-security are at all-time high. While people are becoming more aware and have their guards up about the data they share online, advertisers also prioritize brand security above anything else. These potential data-security & information breaches can be eliminated if businesses start using blockchain for their digital marketing efforts. Blockchain technology provides both ample transparency and optimum security.
The term ‘Blockchain’ might be relatively new for many. Blockchain is a technology in which data is linked and secured using Cryptography. Most people erroneously consider Blockchain to only pertain to cryptocurrencies of which Bitcoin is the most popular. However, blockchain technology is also heavily associated with finances and digital ledgers via a decentralized peer-to-peer network.
In a Blockchain network, Information is stored in a chain-like configuration known as ‘blocks’. Blocks can be built upon, but they can’t be changed/altered/tampered. This makes blockchain a secure, transparent, and revolutionary internet technology. So, now that you know what blockchain is all about, let’s understand how it can help in digital marketing.
Advertising is a multi-billion dollar global industry. Companies pay a dearly to acquire potential customers. But there is no guarantee that this will help them convert leads into sales numbers. Also, nearly 50% of traffic is generated by online-bots which deliver no actual value. When you integrate your digital marketing efforts with blockchain, you can solve many problems associated with traditional platforms and advertisement methods.
How Blockchain Technology Can Transform Your Digital Marketing
1. Verifying Online Ads
As brands become more concerned about their security, they are pulling away from heavy online spending.
The idea of implementing blockchain for ad-verification can prove to be valuable for marketers.
Blockchain can help marketers in building a mechanism for brands through which they can know where their ads are placed on the net. Also, considering how expensive auditing of ad-delivery can be these days, blockchain-technology can provide an alternative – decentralized-ad-auditing, at a fraction of a cost. You can take ad-deliveries from the server and deliver them to mining machines, which will do all the hard-work and let you know about any fraud.
Adchain, a platform based on the open protocol in Ethereum, was launched by MetaX and the Data & Marketing Association in June 2017. It tags a piece of information and also follows it on the net to ensure the desired ad-delivery to the target point and shows what action was taken on the ad.
2. Eliminating the Middleman
Middlemen have been part of the chain of digital marketing for as long as anyone can remember. But because of these intermediaries, companies get perhaps only half the value they invest in advertising. Blockchain technology can be a solution to this issue, generating much better value for ad campaigns.
Rather than communicating with the website through these intermediaries, Blockchain would enable you to communicate directly. Blockchain can help validate the users, as well as providing click-through data. This function can be utilized by the website owners as well as those who are interested eliminating the need of signing any agreement with any mediator.
Ultimately, blockchain-powered digital marketing is helping to decrease the overall costs involved in ad-deliveries, thereby, increasing your profit margins.
3. Providing Transparency
Nowadays the most prominent problem companies face is user-trust. Customers are skeptical of many things. For example, they can be concerned about where the raw material of their food was sourced, and what conditions it was stored or processed in.
One job that a marketer has is to build the trust between customer and brand that is essential to make a successful sale.
With blockchain, companies can be more transparent in the use of consumers data. They can provide the consumers with insight on how their informational data is being utilized. Also, as blockchain is a decentralized peer-to-peer technology, data stored on the network can’t be modified or altered.
Companies can assure their consumers that the information they hand over can’t be tampered with. This transparency will also ensure consumers that the data they have provided will not be manipulated.
4. Branding
Just to start, companies which accept cryptocurrencies such as Bitcoin, as a payment method, are considered forward-thinking. Continuing on the same track, implementing blockchain based digital-negotiations can work in your company’s favor.
Not only does it make the whole system more secure, but it also helps in branding from a marketing perspective. Companies that incorporate emerging technologies are termed as innovators. Other brands follow their lead rather than the other way around.
Indeed, one can also gain a lot of coverage on the topic by dedicating a PR strategy just for that. This will help the businesses be the topic of timely conversations, and attract attention to your brand.
5. B2B Smart Contracts
In the era of influencers and bloggers on social media platforms such as Instagram and YouTube, this makes for an efficient B2B cross-promotional marketing opportunity. Interacting with these influencers can be fruitful for your marketing campaign. However, it comes with its own set of challenges.
Since there is a lack of any standard or any third party to regulate the terms of the contract, there is a need for such a function. Because of this, cost variation is huge and depends entirely on the individual you sign a contract with.
With Blockchain, obligations from all the involved parties are enforced automatically to ensure that amount is transferred to the concerned party only after the terms of the contract are met.
For example, a contract between a company and a blogger will only get executed by smart contract. So, for example, the blogger will get paid only when s/he publishes an article about the brand on social media. The terms are followed step-by-step and eventually when all the contractual terms are met; contracts get executed automatically.
6. Providing Accountability
Spending cash on a counterfeit product can be the worst and most frustrating thing for a customer. Blockchain can aid in verifying each step of the supply-chain, and thereby improve merchant’s accountability.
Blockchain provides a tamper-proof digital-ledger system which facilitates transparency.
Customers can also utilize such a service to track whether a product is genuine or not, know where it is bought from, and other additional details.
In short, it empowers the user and facilitates in improving his or her purchasing experience.
Conclusion
There’s no doubt that blockchain is a powerful and robust technology. For innovative marketers who aren’t afraid to jump onto the platform, it provides endless possibilities. Blockchain can do wonders in the field of digital marketing if implemented correctly. This technology has already been adopted more widely than many people realize, and it would be a brilliant idea to grab the opportunity right now to make the most of Digital-Marketing!
How About You?
Are any aspects on Blockchain of particular interest to you? Might you consider adopting smart contracts? Please tell us your thoughts on this important technology.
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