The marketing landscape is as dynamic as the rest of the technology sector. Marketing strategies and the means to implement them adapt with evolving tech to become more effective. Since AI came into existence, much of the digital marketing process relies on AI systems to target the right audience. It was nothing short of a revolution how AI increased the ROI on marketing campaigns and reduced cost of research and implementation.
Blockchain technology can potentially have an impact of the same scale on digital marketing. And while AI mostly benefited the companies by advertising their products to an audience with a very specific interest(s), blockchain is more focused on bringing equal value to the community and the marketers or advertisers.
There are three major solutions blockchain offers the marketing industry.
Reducing loss of marketing budget due to bots
According to a 2013 study, brands worldwide lost $6 billion of their marketing budget due to fake clicks made by automated bots. The net annual loss due to similar ad frauds was projected to hit $16.4 billion in 2017. In 2019, the amount rose to 19 billion — or 9% of the total digital advertising spend.
Blockchain can bring back authenticity in the marketing industry and save billions of dollars for companies by ensuring clicks made only by legitimate human users are registered into the system. Digital identities verified through blockchain and smart contracts can help the marketing sector securely assess real users and count out clicks made by bots, hence, saving unnecessary spend on pay per click (PPC) ads.
Bring value to the community
Social media and content creation platforms like Facebook, Instagram, and YouTube run on revenue earned through advertisements. Brands pay them as they have a community of billions of people who engage with ads on the platform. But sadly, when it comes to revenue sharing, these platforms exclude the community.
Blockchain platforms, on the other hand, reward community members for their engagement with ads shown to them. Users can also easily opt-out and not view ads. This way, everyone involved in the marketing process is rewarded for playing their part.
Enforcing data privacy and control
Social media platforms have been clumsy while handling user data, either by mistake or on purpose. Of all others, Facebook tops the list of platforms mishandling user data and giving it out to hackers. Additionally, users have almost no control over their data, and social media platforms often use it for their own benefit without compensating users.
With rising data security concerns among users, it’s the best time to implement blockchain for data privacy across social media platforms. Blockchain can help users stay in full control of their data. They can store all their personal internet usage data and willingly decide to share it with companies in exchange for proper compensation.
The social media and digital marketing sectors are rife with vulnerabilities that blockchain can solve. To say the least, blockchain can lay the foundation for a completely new form of social media platforms and digital marketing — one that values everyone involved in it.
Alacrity is a blockchain platform that is creating such a user-centric network that rewards all its participants based on their activity. Alacrity infrastructure and economy have been designed keeping in mind both creators on the network as well as application users. It will be a truly decentralized platform that brings control back in the hands of the community.