Digital marketing is a familiar concept to every business who wishes to use the power of the internet to promote and grow their business. Digital marketing is crucial to the process of making a business visible to a global audience using the power of websites or social media.
It is one aspect of marketing that is growing with rapid speed similar to another technology-Blockchain. These new technologies like AI or chatbots are changing the world of digital marketing for the better. Blockchain technology is gaining immense notice as it levels the playing field for the consumers, who are getting power back.
In this blog, we will look at how blockchain technology is evolving digital marketing. But before that, let’s find out:
What is blockchain technology?
Blockchain is a structure that records information which makes it challenging to change or hack the system. It is a ledger which is digital and holds all transaction records and doesn’t involve a third party. Since the data keeps duplicating, it becomes hard for anyone to track it, making it less vulnerable.
Its main function is in finance or cryptocurrency, but the underlying technology is becoming beneficial for marketing as well.
How it is affecting digital marketing?
- It affects consumer data and privacy
When a consumer visits a site or an app, they provide some data. Using this data, a company creates a consumer profile according to the products bought, searches, and more. When a consumer shares data online, there is always a chance that the data will leak. But with the use of blockchain technology, you can prevent this. It ensures that the data remains with the customers only, and there is no leak in the system anywhere.
It gives the power back to the customer who can decide what data they would like to share with the customers or not.
- It provides transparency and authenticity
The consumers these days care a lot not just about the product, but where it was manufactured or by whom? Previously, when consumers bought products, they weren’t sure if they were getting organic and authentic products or not? They didn’t even know where the products were designed? But with blockchain technology, all this changes.
It provides a chance for the customers to have complete transparency and know every detail about the service or products. The manufacturer now knows the information related to design, warehouse, workers, and more. It helps them pass on the details to their customer and so that they can make an informed choice.
- No middlemen
When it comes to digital marketing, a lot of businesses depend on Google for advertisement. Google is an intermediary which gets a percentage of the money that you earn from advertisements. But with blockchain, there is no need for intermediaries, adding more value to a brand’s ad campaign.
Due to blockchain, a digital marketer doesn’t have to work with a website for placing an ad campaign using the help of Facebook or Google. Now, it happens on its own once the contract is signed, which saves a lot of costs that usually goes to intermediaries.
- Modifying the advertisement campaigns
As a digital marketer, you want to grab the attention of the customers through your advertisement. But unsure of what they will like, you end up sending tons of advertisements, which may or may not be per the likes of the customers. It annoys the consumers because firstly, the ads take up the whole space on the screen. Second, it slows down the speed of the site, and lastly, it takes up too much battery and bandwidth of the device.
All of these problems annoy customers, and you can avoid them with ease using blockchain. That is why companies with this technology are creating new apps for this. It will provide a clear path for interaction between companies, customers, and publishers.
Using these steps:
- An advertiser will purchase an ad campaign
- The user will see and pick the categories of the advertisement they wish to see. If they come across any such ad, they earn a little money as well.
- The publishers also get money for this, but it is slightly higher than what the consumer is getting.
What are your thoughts on the effect of blockchain on digital marketing? Share in the comments.