Friday, November 27, 2020

5 Ways Blockchain Will impact Digital Marketing and Advertising


 When it comes to choosing one of the most promising technologies that have immensely impacted the different segments of the industries, then we have to mention Blockchain. A technology that started in 2009 as the underlying framework of Bitcoin is now finding multiple use cases across the different business verticals. 

From food to finance, the prominence and impact of Blockchain could be seen. Some of the leading names in the business like Amazon, Walmart, IBM, Volvo are either planning or have started implementing this technology. The role of Blockchain technology has predominantly increased with time, and we are witnessing a huge impact in the digital marketing and advertising segments. 

Blockchain: The future of seamless business operations

It won't be wrong to claim here that delving deeper into Blockchain is the future that we are looking at, and the only way companies can remove the bottlenecks that are halting the businesses from becoming a success. As per the Q1 2018 report of Blockchain Marketing Technology Landscape (BMTL), blockchain-based marketing and advertising technology grew by 400%. And this number is expected to increase with time. 

5 Ways Blockchain Will impact Digital Marketing and Advertising

So, why there is so much buzz about Blockchain's intervention in marketing and advertising, it's a fact that there is an intervention of middlemen in the conventional system, and data breach is a common problem. Every day, our personal information is getting tracked in the form of hidden cookies, and permissions that we give unconsciously. 

As per Juniper research, in 2019, advertising losses reached $42 billion and is expected to reach $100 billion by 2023. With Blockchain, we can expect this problem to lessen by providing transparency in serving ads and paying only for real human interaction and not automated traffic. Let’s elaborate on how this happens.

Blockchain's impact on digital marketing and advertising:

1. Reducing the role of the middle man- One of the first areas where Blockchain shows positive outcomes in reducing the role of a middleman. As per an analyst from Forrester Research,  the intervention of middlemen increases the Cost Per Thousand Impressions from $1 to $5. Moreover, Blockchain also enables the companies to pay to their audience for viewing their ads, thus removing the need to have a middleman. 

An example of this is Brave which is a blockchain-based ad-blocking web browser that makes use of Basic Attention Token or BAT that allows the advertisers to pay directly to the user for viewing their ad without the need of an end-user to share their data. 

Google Ads are very common, and the reason for this is that Google has a host of credible clients, ensuring that the brand's image is not tarnished. But it plays the role of middleman between the advertiser and the owner of the website, and thus takes away some portion of the money. This becomes an additional cost, with the assistance of Blockchain, we can cut down on this. 

One of the examples that we would like to quote here is that of BitClave. It focuses on search data private, thus ensuring that the user has complete control over their data. With the aid of the Blockchain platform, the company can directly connect with the customers without depending on a middleman. 

5 Ways Blockchain Will impact Digital Marketing and Advertising

With such direct interaction between the customer and the company control over the expenditure can be established. 

2. Smart contracts- The next prominent application of Blockchain is a smart contract. It helps digital marketers to improve the services provided to clients across the globe. These are a programmable contract which has pre-set conditions. Once the conditions are met, the contract is executed. This ensures timely payment.

Besides, automated transaction execution, this smart contract makes the transactions are executed and can be easily traced. Marketers can guarantee via these smart contracts timely payment to the contractors. There it enhances transparency in the system and also saves the time of both the marketer and the contractor. 

3. Data security- The next important benefit of Blockchain for digital marketing and advertising is data security. The conventional digital platforms that we use are prone to threats and data breaches. But with Blockchain, we can surely curb this threat. Since the Blockchain platform has all the data is encrypted cryptographically and is time-stamped. 

Thus any alteration in the data can be easily detected. Moreover, with the intervention of the per-missioned Blockchain platforms like Corda, Hyperledger Sawtooth, the apprehension surrounding the public Blockchain has also been taken care of. With the use of such per-missioned Blockchain platforms, marketers and advertisers can assure complete data security.

4. Preventing Ad Fraud- The problem of paying to fake clicks has become very common, and this has led to an increasing number of Ad Fraud cases. Some of the reports of 2017 claim that one out of 3 PPC is a fraud. 

This not only leads to wastage of money but at the same time, it also distorts the analytical data which impacts the strategic decision of the company. But, what if the marketers get to know that they are only paying for the right-click. This is possible via Blockchain technology. Names like adChain and BitTeaser are working on this. 

5 Ways Blockchain Will impact Digital Marketing and Advertising

5. Enhancing transparency in the system- Another key advantage of Blockchain is that it enhances the transparency in the system. Provenance is the key feature of Blockchain which means that every piece of information present on the DLT is easily traceable, thus allowing the customers to trust the system and also get to know about the source of the product. This eventually helps in building trust in the brand, and it also helps in making the supply chain system seamless. 

Concluding thoughts: 

These are a few of how Blockchain can prove helpful to marketers and advertisers. The objective is to create a more transparent and trustworthy system.

Blockchain is poised to become of the key players in defining the mode of business operations. Having a career in this is going to help you gain professional excellence. Blockchain Council is providing the right learning platform to those wish to get Blockchain certification

With this certification program, one gets to know about Blockchain conceptual knowledge and practical applications. To know more connect with Blockchain Council today. 

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