How much Blockchain influences Digital Marketing
Nowadays, majority of people think that blockchain is only used for buying and selling crypto currencies. But its usage is far wider and doesn’t just involve the financial world.
In particular, this technology will also change the digital marketing area.
Blockchain technology is a peer-to-peer network system used to login, edit and navigate on websites. It can be used to help customers getting an insight about the origin of certain products in order to increase their trust.
Most businesses can use blockchain and digital marketing together. For some people, this combination could sound unusual, but it opens new areas of benefits. For example, when selling a product digitally, all incomes remain to the owner because the blockchain does not have a owner, so the transaction takes place without middlemen. This also implies a significant increase in the income of digital marketers due to the cutting of cost previously paid to intermediaries.
Blockchain is affecting data privacy
One of the ways blockchain is influencing digital marketing is the prediction of changes consumer’s data sharing. Today, the privacy during online activity is a very important topic, since companies stores profiling information for each consumer, based on visited sites, purchases and searches made. Using blockchain technology, all the consumers’ personal data remain secure. The architecture of a blockchain has in fact the possibility to improve the privacy of digital data: instead of sharing our date of birth over and over again, we have one permanent record of the information on the blockchain, and it provides a temporary permission to access the data when needed.
In this system, public information e.g. as tax records, government records, and local school budgets can be public while personal data or data about corporations can be private and secure. In a blockchain system, the user has his/her private ownership on data, being the only one with the ability to access it.
In this way, the user can have control over the data and determine how much information to share. As a consequence, there will not be automatically gathering of the data, so companies will have to undertake different strategies to collect information from consumers.
Changes in digital advertising
There is one issue that annoys the consumers — abundance of ads.
Companies so far had a tendency to show a lot of advertising content to the user, instead of just sending advertisements in his scope of interest. This happens because there is lack of understanding of consumers’ behavior and preferences.
Indeed, advertisers had to face an over increasing expense for ads.
With the blockchain, the process is more transparent — advertisers can get information about who is watching their ads, and if they are targeting right audience or not.
About that, blockchain-based companies are starting to use some tools as Basic Attention Token (BAT) that can change the interaction between publishers, advertisers and users in order to get advertising and attention-based services. The base of utility of token lays on user attention, which implies a person’s mental engagement. As we all know nowadays, digital marketing functions on a model where a central middleman under the form of trusted media sites, facilitate the advertising process. Blockchain started to disrupt this established model by allowing advertisers to directly buy and sell to the user. For example, BAT allows advertisers to pay people directly for viewing their ad, or rewarding them with premium content and services. The reward is calculated by anonymously monitoring the viewer’s attention.
Measured attention could indeed be matched with customer interests using local machine- learning algorithms, which allows for a smarter advertising campaign and a better experience for their customers. Advertisers receive a better targeting, while publishers receive BAT on user’s attention. It leads to less inefficiency and, consequently, an increase of revenue.
Getting paid to post on social media
Over time, users’ participation in different social media accounts has taken a massive swing. But the majority is disappointed with the fact that the benefit of their posts, in terms of monetization, are more related to the website then to themselves, but now with the usage of Blockchain people can gain benefits and be rewarded for their influence.
For example, Steem is a decentralized reward platform that allows publishers to monetize content and grow community, through the use of its social network, named Steemit.
Blockchain Technology will have an Impact on the Presence Of Fake Content
In today’s social media platforms, it is easy to post and publish a fake content. Using blockchain technology, social media networks will distribute content according to verified information and traceable data. This ability to block fake content with the contributors is very convenient for brand builders and marketers. (sources: https://www.leewayhertz.com/blockchain-fake-news/)
Due to the transparency and decentralization nature of the blockchain, the problem of fake news can be solved effectively. This includes a numerous way to verify the content and its source, for example involving:
- News Agencies — to provide news to the journalists.
- Journalists — to upload the images or video on the platform.
- Editors — to write, modify and publish the news on the platform.
- Crowd Auditors –to approve or mark news as spam by scanning the QR code on it.
Blockchain could bring the following benefits:
- Transparency — The authenticity of the news will be based on specific criteria defined in the contracts.
- Traceability: Blockchain enabled applications to trace the authenticity of news from the start. It will prevent the readers to read fake news.
- Unchangeable Approach: News content, videos or images saved on the Blockchain cannot be altered, changed or deleted.
What do you think ? Did you start using Blockchain to solve the diverse processes inside your company?
