What is Blockchain?
Blockchain is a decentralized, public ledger of transactions. It’s like a database that can be shared among different users and companies.
Blockchain technology was first introduced in 2008 as the underlying infrastructure for Bitcoin. But today, Blockchain is used in a wide range of applications, including supply chain management and real estate transactions, etc.
Some Astonishing Statistics
Blockchain technology is one of the fastest-growing and most promising technologies in recent times. In fact, it’s been so popular that it has generated a lot of buzz around the world. And this is not without a reason.
For instance, in 2017 alone, the total investment in blockchain projects was $1.4 billion and is projected to reach $2.3 billion by 2021. The technology has been used in a wide variety of sectors, including finance, healthcare, education, and even entertainment.
In fact, the world’s leading companies such as IBM, Microsoft, Google, and Facebook have been investing in blockchain technology and have been using it to solve some of their most complex problems.
In fact, the technology has been used in a wide variety of sectors, including finance, healthcare, marketing, and real estate.
Implementation of Blockchain Technology in Digital Marketing
If you think blockchain is only about currency, you’re missing out. Blockchain technology has the potential to revolutionize digital marketing by making it more transparent and efficient.
Store Information: For example, a digital marketing company can use Blockchain to store information about its clients in the form of digital “blocks” that are then stored and distributed among different users. This means that companies can store data without having to rely on a central server.
Analyze Customer Behaviour: Blockchain technology also makes it possible for digital marketers to analyze their customers’ behavior in real-time and adjust their marketing strategies accordingly.
Secure & Trackable: Blockchain technology can also be used to create a digital ledger of transactions that is more secure and transparent than traditional methods. This will make it easier for advertisers to track the results of their marketing campaigns.
Precise Targeting: Blockchain is also expected to make it easier for advertisers to target their customers based on a wide range of criteria, including location and demographics. This will be especially useful in the mobile marketing space, where location-based services can be used to deliver highly targeted ads.
Reduced Payment Processing Time: It is also expected that blockchain will help advertisers reduce the amount of time required to process payments from their customers.
Copyrights Protection: Blockchain will be useful for advertisers and publishers that want to protect their copyrights, as well as for those who want to ensure the accuracy of their audience metrics.
Personalized Ads: The use of blockchain will make it easier for advertisers to analyze their customers’ behavior and preferences, which can be used to deliver more personalized ads. This is especially useful when combined with the growing use of artificial intelligence in digital marketing.
Finding The Right Publisher: Blockchain will also make it easier for advertisers to find publishers that are a good fit for their ads, based on the types of content they publish and the audiences that visit those sites.
Pros of Blockchain in Digital Marketing
Decentralization: All transactions are recorded on a public ledger, which means that no single party can control the information. This makes it easier for digital marketers to prove their legitimacy and protect their reputations.
Data Protection: Blockchain can help advertisers and publishers to protect their data, which will make it easier for them to share information with each other while maintaining ownership of that data.
Blockchain can help advertisers to save money by reducing the costs associated with intermediaries.
Therefore, Blockchain in Digital Marketing offers numerous advantages –
- Improving Marketing and Digital Advertising Campaigns
- Fraud Prevention
- Establishing Trust and Credibility
- Boosting Transparency
- Strengthens Content Monetization
Cons of Blockchain in Digital Marketing
Blockchain is still in its early stages and has not yet been tested on a large scale, so there are many questions regarding how it will perform when used by millions of users.
The cost of implementing and maintaining a blockchain may be too high for many small businesses.
Blockchain is only as secure as the devices on which it is stored. If your information is hacked, you may lose all of your data.
Crypto’s Effects on Digital Marketing
Cryptocurrency will make campaigns with four parties less complicated. Cryptocurrency would address the platforms over which advertisements are hosted, such as Google, Facebook, and YouTube. Blockchain technology has the power to remove the platform from which companies place their advertisements businesses completely. Instead of paying them, these businesses will locate their advertisements in a blockchain and only those members who wanted them will see them. What this means is that in the future, digital marketing takes place among three groups: consumers, advertisers, and blockchain.
As this technology and virtual currency become more efficient with consumers, businesses must understand the benefits and drawbacks of incorporating them in marketing strategies and defending against their limitations when gathering data through this technology.
Firstly, social media websites like Reddit, Discord, Twitter, and Facebook will incentivize interest in the websites by using advertising to reward those who visit their pages on other platforms.
Secondly, advertisers will use blockchain technology to target specific demographics and customers. For example, if a user is interested in music festivals or has liked an event on Facebook, the user may receive advertisements for tickets to a music festival. On the other hand, if a user is interested in cryptocurrency or has liked an advertisement for it on Facebook, the user may be targeted with advertisements for cryptocurrencies and related content.
Thirdly, advertisers will utilize blockchain technology to reward customers for their attention and time spent on advertisements. For example, if a user is interested in cryptocurrencies or has liked an advertisement for it on Facebook, the user may be rewarded with cryptocurrency for watching an advertisement or reading a post. This reward system will create more positive associations between users and advertisements.
These are the ways that blockchain technology will shape digital marketing in the near future.
Blockchain technology will be a major factor in the future of digital marketing. While it is still early and many details are uncertain, marketers can prepare by learning more about blockchain technology and how it can be used in their field. Blockchain technology will change digital marketing in the near future.