The sudden rise of blockchain technology in just over a decade of its launch has surprised many people in the finance world. During its introduction, the blockchain was limited to digital currency use cases. Currently, a big chunk of industries is leveraging its power.
Business marketing is one of the leading sectors trying out blockchain technology. Companies are looking to gain a foothold in today’s digital market. For instance, brokers are trying to market binary options strategies, manufacturers are marketing their products, and firms in the tertiary sector are marketing services.
This is where the blockchain steps in. This revolutionary technology has the power to transform the marketing and advertising sectors.
This article will explain blockchain technology and its uses in business marketing.
Breaking down Blockchain Technology
For those new to the term ‘blockchain,’ it is like a database. It comprises several blocks connected, establishing a chain. The blocks contain data that can be sent to users via a peer-to-peer (P2P) network.
The security of the blockchain lies in cryptographic tech that foils attempts made by people without authorization to gain access. The information contained in the individual blocks follows a set of rules agreed upon by users of the network.
Blockchain technology can be very easily audited and viewed by anyone in the world. The users in the network have equal standing in the decisions made. Also, the blockchain can’t practically get hacked because there’s no single point of failure.
The Use of Blockchain in Business Marketing
Here are some uses of blockchain in Business marketing:
Targeting a Specific Audience to Market Goods and Services
Even though websites widely collect data on user behavior, business marketers still find it challenging to target the right audience. Apart from this, advertisers also pay hefty amounts of money to intermediaries.
Blockchain technology is set up to allow specific subsets of an audience to have access to ads they like. This is due to the decentralized search engines that enable marketers to reach their intended audiences. The blockchain also has the potential to reward customers for sharing personal information.
Elimination of Intermediaries in the Marketing Industry
Big tech companies like Google and Facebook receive grossly considerable revenue passing through the digital marketing industry. While it is true that these big firms implement honest policies to avoid uninterested customers from clicking ads, marketers spend a significant amount to popularize their products.
Blockchain tech eliminates big tech advertising firms by connecting the customer and contractor. Also, the transparency of blockchain tech guarantees advertisers that they get genuine and interested visitors only. Since users in the network will possess their unique signatures, advertising budgets won’t be spent on bots.
Establishing Reward Programs
Reward programs are one of the factors that keep customers. The blockchain facilitates the attachment of gift cards, allowing users to get rewarded for patronizing businesses.
In conventional reward programs, points can get accrued and still become useless. Leveraging blockchain tech allows these points to be converted to coins and tokens. Users can then spend and enjoy their loyalty points.
Improved Quality of Collected Data
Even when adequately analyzed, low-quality data doesn’t make a difference in business intelligence decisions. Lots of marketers possess inaccurate data even though they use various tools to get this information. Only customers can give a business correct and quality data.
The blockchain provides a solution by incentivizing users to part with their data. Crowdsourcing can take place on the blockchain, and individuals would get stimulated to give out their data. Submitting the data would lead to some form of reward, facilitating a symbiotic relationship between marketers and customers.
Decentralization of Online Shopping
Blockchain tech has increasingly been decentralizing the process of online shopping. The creation of decentralized marketplaces allows direct interaction between seller and buyer. Any customer intending to purchase a good or service would simply head to the platform and connect to the seller.
Providing Solutions to Privacy Concerns
The internet browsers and internet service providers used by most surfers collect a lot of information. Browsing history, account logins, and internet banking details are some of the data they collect.
Verified signatures on the blockchain will aid business advertisers in storing customer data on their own servers. This way, the need for third-party services becomes eliminated. Internet users can then gain access to improved anonymity measures while surfing the web.
The revolutionary blockchain tech has disrupted the world of finance and the marketing industry. The blockchain, which is a set of interconnected blocks, can be leveraged by marketers to target audiences better and eliminate the need for big tech advertising firms like Google and Facebook.
Other key benefits of blockchain tech in the advertising industry include the decentralization of online shopping, providing solutions to privacy issues, improving the quality of collected data, and establishing reward programs.