Web 3.0 and Blockchain in Marketing
Digital marketing is constantly in a state of flux. Occasionally, a technological innovation comes along that completely recontextualizes our collective understanding of digital platforms and how advertising works on them.
A few years ago, Web 2.0 came along and changed the game. Then, social media became a thing and the nature of marketing changed again. And now, we stand on the cusp of the next generation of digital experiences with the advent of Web 3.0 and Blockchain.
How Web 3.0 and Blockchain will change marketing
The Semantic Web: Web 3.0 represents a more interconnected, context-driven framework where information can more easily and securely be shared among communities, corporations, devices, and users online.
Two of the key components making the semantic web possible are Artificial Intelligence (AI) and Natural Language Processing (NLP). With an increased proliferation of AI and NLP under Web 3.0, computers will be able to use metadata to understand content better. Their ability to interpret natural language will make it easier for computers to provide accurate solutions.
The advent of Web 3.0 is allowing marketers access to a higher degree of information about what affects purchasing decisions. This means they can now create campaigns that are more personalized and accurately reflect the customer’s motivations.
Decentralization: One of the central tenets of Web 3.0 is decentralization.
Under Web 2.0, computers communicate with information stored on single servers at specific locations. But with Web 3.0, information will be held in several locations across the internet simultaneously, reducing the reliance on gigantic databases controlled by single authorities.
Decentralization has several benefits for marketers and individuals, such as:
As things currently stand, data breaches and manipulation of information happen routinely over centralized platforms.
With Web 3.0 and Blockchain, individuals will have more control over their data and can directly exchange value amongst each other without involving a third-party.
Without any central servers, you won’t have to worry about server failures which occasionally happen on services such as Google Docs. Centralized servers also come with the risk of data breaches which can be avoided with decentralization and blockchain.
Additionally, without large corporations acting as stewards of your data and selling it to advertisers, individuals will own their data and have their fundamental privacy rights upheld on Web 3.0.
When both brands and audiences have faith in the integrity of the network vis-à-vis confidential information, commercial communication can be more hassle-free. Marketers can create more intricate and immersive customer experiences over websites, messaging platforms and mobile apps which users can willingly participate in knowing that their data is secure.
The introduction of Blockchain to the landscape allows marketers to provide customers a secure commercial experience where their confidential data is protected from any kind of fraud or breaches.
Blockchain’s transaction ledger can be viewed by the public, which adds a high degree of accountability and transparency to every transaction. This puts the onus on brands to create responsible marketing campaigns and execute them with integrity. In the age of extreme online skepticism, transparency is one of the major drivers of conversion.
Transactions on the blockchain are encrypted and linked to the previous transaction. This creates a chain of trust that is impossible to change.
Marketers can use smart contracts which are self-executing and automatically go through with a transaction once both parties involved meet their ends of the deal.
Unfiltered and irrelevant leads are the bane of many marketing campaigns. With the rise of digital identities via Blockchain, marketers can go directly to consumers for their data collection and incentivize them to submit their information to a lead magnet like a newsletter.
Having more qualified leads will tighten your sales funnel and improve the ROI of your campaigns. Marketers will spend less time on leads who don’t care about your business and aren’t looking to buy from you.
Click fraud (bots/people who have been incentivized to click your ads over and over purely to boost metrics with no actual intention of purchasing anything) costs advertisers worldwide billions of dollars in lost revenue. Some site owners indulge in click fraud to boost their ad revenues.
With blockchain and smart contracts, advertisers can ensure that clicks and impressions on their campaigns are authentic.
Web 3.0 is going to fundamentally change a lot of the ways digital advertising and content consumption on the web work. The rumblings are apparent – Facebook focusing on the Metaverse, Square rebranding themselves as Block to showcase their focus on cryptocurrencies and blockchain etc.
Businesses will grow to be increasingly user-centric and decentralize their information. Users will be empowered with greater control over their data and privacy.
As we move to an age of commercial communication that prioritizes privacy and transparency, marketers should go back to the drawing board and build their campaigns around creating meaningful customer relationships and mutually beneficial partnerships.
With the rise of Blockchain, AI and Web 3.0, the next generation of marketing will be exciting to behold.
For businesses looking to create high-quality customer experiences on Web 3.0, solutions like Wisely are a natural fit. Wisely is a CPaaS developed from the ground up to offer trusted experiences for consumers, global enterprises, suppliers, and regulators using cryptography, blockchain, AI and machine learning. Wisely’s blockchain implementation ensures maximum regulatory compliance, complete transparency and zero dispute settlements.
For more insights about digital marketing, make sure you stay tuned to the Tanla blog. For businesses that are serious about dramatically upgrading the quality of their customer experience, take a look at Wisely.