Even though the technology is relatively fresh, cryptocurrency is currently making waves in numerous businesses. Specifically, there are people who believe that it is going to alter the face of marketing and finance forever.
Despite its relative infancy, cryptocurrency has already impacted the advertising world fairly considerably, even as specialists work to comprehend the dangers and benefits involved. Below are a few reasons why you need to be paying attention to cryptocurrency, in addition to a few explanations of this revolutionary technology, to get you started on mastering it.
First off, what is cryptocurrency?
Cryptocurrency is a blockchain technology, the technology that Bitcoin along with other dispersed ledger systems are predicated on. Fundamentally a massive ledger of transactions, blockchain is an open and common database which works in a decentralized system format. It helps users to move and add information to it anonymously, without any safety compromises.
To put it differently, cryptocurrency, such as Bitcoin, is an anonymous monetary system which employs blockchain technologies to function. Rather than using a charge card to pay for a product on the internet, users may utilize Bitcoin or a different kind of cryptocurrency. It is becoming pretty popular, in November 2016, the market capitalization of both Bitcoin along with other cryptocurrencies attained $13.8 billion.
It is important to keep in mind that lots of applications of cryptocurrency in advertisements are still a couple of years away, since there isn’t much happening in this area just yet. But, there is no harm in being ahead of the trend. The Bitcoin exchange rate is constantly fluctuating so keeping your eye on the trends is crucial to be ahead of the game.
Cryptocurrency can make it harder to get consumer information.
Using cryptocurrency may make it more challenging for marketers to gather the sort of data on customers that often informs advertisement strategies. In this respect, 86 percent of net users have attempted to eliminate or reduce their electronic footprint on the web; and cryptocurrency can make this simpler than ever, since it is going to deplete the quantity of consumer information available
Presently, it is rather simple to collect enormous quantities of information on prospective clients to pull leads. This is mainly because the system you use, such as Facebook or even Google, owns the information and sells it to you. Marketers can use this information to work out audience sections, test which ads work better than others, forecast customer behaviour and much more.
With cryptocurrency, lots of buyer and leads information will get anonymous, encrypted and secure, which makes it hard for businesses to figure out who purchased what, and how customers are reacting to advertising strategies. People are going to be in more control over their private information, which might make it almost impossible for businesses to collect it and create marketing strategies around it.
For all these reasons, marketers will need to begin figuring out new ways to gather information to advise their plans, should they wish to stay informed about consumer needs and wants. In the gaming world, cryptocurrency is making its mark in the gaming industry with game testing and paid promotion.
Customer care and data may be more expensive.
One way marketers can navigate the possible absence of customer information is by simply paying users upfront for their private information, to be permitted to promote to them online, rather than paying the programs they use.
Considering that the blockchain technology supporting cryptocurrency implies that no one entity can control or own networks, users are going to be responsible for Cryptocurrency itself further complicating the matter, as companies eventually will be not able to tell who purchased what service or product. Businesses may need to go straight to the users to promote to them, rather than the platforms such as Facebook or even Instagram.
As an example, new social networking platforms 21.co and Steem (that has over 30,000 present user account and is rising) enables marketers to interact with customers for the chance to find gain their private details which would otherwise be inaccessible as a result of cryptocurrency. Businesses must do the legwork to reach out to customers, and the costumers can then determine if they wish to engage.
The tricky part here is that the ordinary customer will need more compensation for their buying and other information than a platform may charge for the exact same data today. The plus side, however, is that when the customers let you get their information, that individual is more inclined to be interested in your brand.
We are aware that talks on cryptocurrency demand a great deal of hypotheticals, mainly since we do not yet fully understand what it is going to do to promotional methods.
But, although cryptocurrency might not influence your own company promoting model, it is a powerful representation of where electronic trends are going in the coming years. Even if the changes are not as dramatic as today thought, it is a great idea to prepare. Businesses such as it consulting services in Melbourne or in Syndey or wherever in the world are just an example of those using cryptocurrency in today’s day.