Marketing has changed a lot in the last decade, but it will go beyond another transition, with the recognition of blockchain. While most of us associate digital marketing with things like AI and analytics, blockchain can be the most disruptive technology that can still exist for advertisers in all sectors. Blockchain is changing digital marketing and is definitely its future.
WHAT IS BLOCKCHAIN?
As the name suggests, Blockchain has blocks containing information shared by all devices connected within a peer-to-peer (P2P) network. These blocks are data structures that integrate transaction collections and distribute the same across all nodes in the P2P network. Each block is protected by a very special cryptographic key.
In addition, each block contains a Block Header- metadata – which verifies the legality of the block.
WHAT IS THE ROLE OF BLOCKCHAIN TECHNOLOGY IN DIGITAL MARKETING?
Blockchain is a relatively new technology and is the way information is stored and distributed electronically. Blockchain in digital marketing offers clarity, security, and access to cash and data flow. It can improve digital marketing for consumers, benefiting businesses from spending more on digital advertising campaigns. With this new technology, consumers can share and sell their information directly to advertisers.
Data is driving the market these days. Blockchain technology has the potential to restore data control to data owners targeted at digital advertising. Creates direct data exchange between consumers and products. User tracking employment is high quality, leading to greater reliability and use of customer data. Let’s take a look at some of the key points on how Blockchain can prove to be profitable in digital advertising.
WHY IS IT IMPORTANT IN DIGITAL MARKETING?
In the middle of the customer model, there is one business (or more) known as the server that stores all the information, and you (the client) should contact the server for access to the information. For example, if you need to send money to someone online, you need to do so by going to an average person like a bank.
In line with the addition of the average person, the average model becomes vulnerable to many threats such as data leaks.
On the other hand, the P2P network is still distributed. There is no single source of information. In fact, as shown earlier, all network segments keep data in place. So, if you want to send money to someone, you can do that directly without sending it to the middle person.
The second factor is the consistent security of records. Once the block is verified, the data stored on it cannot be changed. Even if someone tries to trick a block into a blockchain, it will drastically change the data and hash of its previous blocks. Since the whole blockchain has changed now, it cannot be verified by any other node. Anyone trying to get into the blockchain needs to convert records to all nodes, which is not possible at all.
Since blockchain is a distributed digital ledger, all users in the blockchain have access to what has been done. While this feature may raise some eyebrows, there is no need to do so because even though transactions are available to blockchain users, users’ identities remain hidden.
Improving advertising and digital campaigns
With Blockchain, it is possible to connect marketers with advertisers who provide data transparency, clicks, and connections, prevent fraud and eliminate the middle ground. Information from digital advertising campaigns can sometimes be inaccurate, so development can be difficult. Monitoring real-time marketing campaigns is possible with Blockchain to get reliable metrics.
Top brands like Unilever use Blockchain to improve the effectiveness of digital advertising.
The Blockchain network authorizes the recording of digitally certified sites and tests certified advertising methods against fraud prevention registers. These ratings can be safely shared with only authorized participants. There are potential sites such as digital advertising, bots, click-through farms, and ghost websites where fraud can occur. Major brands such as Toyota have been using Blockchain programs in digital advertising to reduce fraud in its digital advertising campaigns. They have seen a 21% increase in website visitor traffic
Establishing Trust and Integrity
Businesses choose Blockchain because they can securely store, and share information with multiple groups, eventually gaining trust. Blockchain has indeed helped to build trust over the past few years.
It can be difficult for small businesses to make a mark in the market where there are already players in the industry. With Blockchain, business owners will be able to prove where their products come from and show off their sales to build resilience among their customers.
Strengthens Content Monetization
Content is one of the most important aspects of a business when it comes to advertising. Strong content is the ultimate need to promote products and services. Blockchain allows consumers, bloggers, and streamers to create regular content for a more direct reward than third-party content platforms.
By giving advertisers space, social media givers make millions as the audience watches them while visiting the website. Many platforms eliminate third parties by rewarding users directly with crypto micropayments for content creation.
While AI and analytics have benefited businesses more than consumers, the blockchain can measure the playing field by empowering data back to consumers themselves.
One of the great things about blockchain is that it provides value for data back to consumers. To date, many companies have benefited from being able to pull data from their customers. Blockchain is transforming digital marketing by eliminating companies’ ability to pull data from customers without offering a refund.