As one of the possible options, blockchain can be applied in various areas of business, including marketing. In this article, we’ll share how blockchain will improve marketing and advertising.
When companies launch a marketing campaign, they buy ads on websites and global platforms such as Google or Yandex with money from the advertising budget. These sites act as an intermediary. And the more popular the site, the more expensive the advertising. Often times, companies simply lose their budget this way. Blockchain allows instant transactions between two parties without the support of any agent.
That is, by using blockchain, you can bypass ad networks. More precisely, you can use it to create your own ad network by connecting with other partners in an open space.
Security and privacy are perhaps two of the most exciting things for internet users. There have been many precedents on the web when data leaks occurred from consumers and customers of various companies. And this is only about large companies. On the one hand, all transactions on the blockchain are transparent and visible to other users. But on the other hand, no one can see who is behind them, so all participants remain anonymous.
Companies collect personal information to help them resolve disputes in the future. All this complicates business processes and affects the final price of products and services. Using smart contracts, companies and their customers will be able to trust each other. Smart contracts ensure that the terms of the deal are enforced by both parties. It makes business easier and allows users to have a better experience with companies. This approach will put the company head and shoulders above its competitors not only at the expense of prices for services and products but also at the expense of convenience.
Smart contracts eliminate the risk of fraud, which will allow users to trust companies more and to purchase products and pay for services without unnecessary fear.
Traffic and advertising quality
Companies collect a variety of information about users by reselling it to third parties – other commercial organizations that use consumer data for their own purposes. This allows companies to provide their services for free. For example, Google search and YouTube video hosting are free, but have you ever wondered why? But they have millions of users, and to support such a large network requires huge costs for network equipment, its maintenance and data storage. Yes, these companies store all data about their users and sell it. As a result, by subscribing to the services of one company, they then receive intrusive advertising from other companies.
At the same time, users themselves do not receive a penny for information about themselves. And this is where blockchain comes to the rescue again. With the help of blockchain, you can allow users to determine for themselves what data about themselves to provide and what not. Decentralized technologies will provide consumers with the opportunity to receive rewards for their personal information themselves. Moreover, it will be a personal choice: to sell or not. This approach will become one of the main foundations of the new tok economy.
At first glance, it may seem that this will be bad for the business: if users do not want to provide data about themselves, then how to monetize free services? In reality, everything is as good as possible. Companies will thus get exclusively interested users. Ultimately, both the company and the consumer will receive targeted information – the one they need. Those. traffic for companies will be of higher quality, and users will only get access to the ads they are really interested in. Consequently, advertisers will also generate leads at a lower cost, as ads will more accurately hit the target.
Selection of employees
The search for high-quality personnel is a complex, lengthy, and labor-intensive process. Companies are regularly faced with hiring unskilled employees. It often turns out that the employee does not have declared competence. So the company has to fire him and start the whole cycle all over again. Each staff change is costly, and bad employees reduce business performance.
The blockchain can store complete information about employees and provide reliable data: jobs, characteristics, results, etc. This will allow companies to obtain more qualified personnel and reduce the costs of finding the right candidates for the position. In addition, the time spent on finding the right employee will be significantly reduced, and the process itself will be easier.
Fakes on the Internet are one of the common problems in the market. Fake reviews, likes, and reviews give the wrong impression of a product. At the same time, it is difficult for users to verify the authenticity of this data. Often competitors are engaged in such methods – they buy fake negative and distribute it over the network. In such conditions, both the companies against whom the negative is directed and the users who are deliberately misled are the losers. Users trust companies and their products less and less. This makes marketing ineffective, and the profitability of companies decreases due to distrust of advertising.
The blockchain will make sure that the budget spent on advertising will be directed specifically to interested users. Companies will interact directly with end-users without intermediaries. Users will be able to track company and product data along the entire chain, verifying the authenticity, resulting in increased marketing efficiency.
Blockchain allows you to “clean up” traffic, which increases the effectiveness of your marketing campaign and also improves the user experience. All this increases trust in companies and has a positive effect on reputation. This, in turn, helps improve market performance. In addition, blockchain technology, due to the above advantages, will allow smaller companies to fully compete with large conglomerates.