Many tech-savvy individuals refer to Web3 as the decentralized web. It is the next wave of utility for the Internet, building upon the existing foundations of Web 2.0. It is focused on decentralization, security, transparent processes, and user-based data control.
The key difference between Web 2.0 and Web3 is the migration from a centralized to a decentralized form of control. Web2.0 websites, such as social media, e-commerce, and payment platforms, are in the hands of a central entity or company. They manage user data and dictate the platform’s terms, conditions, and regulations. In contrast, Web3 is coming with a decentralized infrastructure (ledger) at its base, distributed across a network of computers. This is making it really difficult, if not – impossible, for anyone to impose control or ownership of the platform. In contrast, Web 2.0 platforms can be transformed into a weapon for propaganda, or limiting the right to free speech.
Web3 is working via blockchain technology, which gives the ability for developers to build decentralized applications (dApps). These dApps are tamper-proof and are making Web3 usage secure and transparent. Dapps are relying on decentralized networks that are controlled by their respective communities, making them almost impossible to hack into.
We have outlined several main characteristics of the new Internet:
• Decentralization: Web3 is using decentralized technologies such as blockchain and DLT. This makes central authorities useless, as well as intermediaries, and third parties unnecessary. The way Web3 is built means that users would receive control over what data they provide, how much of the data is being used, both their online and offline identities and their assets.
• Trust and transparency: Web3 provides a trustless network where all transactions are reviewable on the distributed ledger. Those transactions can be publicly verified, boosting transparency and security in the given ecosystem.
• Interoperability: Web3 allows different networks and dApps to seamlessly interact with each other creating a decentralized ecosystem that is not limited by silos.
• Tokenization and NFTs: By using Web3 users can now create and exchange digital assets via tokens (in most cases – NFTs). These tokens can act as a digital representation of anything from currency to real estate and digital art. Moreover, they can be both bought and sold or used within different various decentralized applications.
• User-centricity: Web3 prioritizes users’ personal demands and preferences by giving them more understanding about their data and privacy. While in the meantime grants them interaction with the Web3 ecosystem in a seamless and user-friendly way.
What Is Web3 Marketing And How To Do It Properly?
Web3 digital marketing is using marketing strategies and tools to promote and market products or services on Web3’s decentralized nature. It also involves a deep understanding of how the new network works, as well as its users, while getting the most of the new technologies to create tailor-made marketing campaigns. Web3 marketing is also using multi-channel advertising and can include strategies for decentralized projects to reach Web3 audiences.
Pros And Cons Of Web3 Digital Marketing
Web3 marketing can include various advertising tactics such as creating social media campaigns and using special advertising platforms. As well as leveraging influencer marketing platforms, creating NFT-based loyalty programs, and developing referral marketing programs using smart contracts.
Web3 has many tools to revolutionize the way digital marketers operate. However, it is also a subject of several challenges and limitations. Here are some of the strong sides, problems, pros, and cons of Web3 for digital marketers:
• Increased transparency: Web3 is giving marketers the chance to develop their strategies on a decentralized ledger. This results in all transactions becoming transparent and immutable. This increases trust and credibility with their clients, as they can see exactly how their data is being used and who is using it.
• Enhanced security: The decentralized nature of Web3 also makes it harder for hackers to exploit than traditional centralized networks. This is possible as there is no central point of failure and there is always a clean copy of the entire blockchain on all connected machines.
• Direct connection with consumers: Web3 enables marketers to connect directly with clients. Web3 eliminates the need for intermediaries such as social media platforms or advertising networks. This allows for more personalized and targeted marketing campaigns.
• Tokenization: Web3 allows marketers to develop and utilize tokens. This can be a perfect tool to reward consumer behavior, such as sharing data or joining marketing campaigns. Tokens can also be used as a medium to transfer company shares, just like with the stock giveaway corporations use for bonuses to their workers.
• Lack of adoption: Web3 is still in its early stages and adoption is not yet widespread, despite 2022 being all about Web3, NFTs, and decentralization. The lack of adoption means that marketers may not have access to a large enough audience to make it worth investing in.
• Complexity: Web3 is a complex and technical space, which may be difficult for marketers to navigate without specialized knowledge and expertise. For instance, launching an NFT may prove to be much more difficult than just uploading a picture and copying a line of code.
• Limited infrastructure: Web3 is still developing, meaning that it may not be as easy to use as traditional marketing channels. This is due to the fact that the infrastructure behind it is still in its early stages of development.
• Improved targeting: Web3 enables marketers to target consumers based on more granular data than traditional marketing channels. As a result, a marketer can conduct more effective campaigns and higher ROI.
• Greater data analysis and acquisition: Web3 is among the best solutions for marketers to have more control over data. This is because they can store it on decentralized networks rather than putting themselves into the hands of third-party services.
• Increased trust: Web3 is all about transparency and security. It comes with special features to help marketers build consumers’ trust, which can snowball into increased loyalty and customer retention.
• Limited audience: As mentioned, Web3 is still in its early stages and adoption is not yet widespread. This means that marketers may not have access to a large enough audience to make it worth investing in.
• Technical expertise required: Since Web3 is a complex and technical space, it may require specialized knowledge and expertise. This is something many marketers may not possess.
• Uncertainty around regulation: Web3 is still largely unregulated, which can create uncertainty and risk for marketers.
• Regulations: There are numerous regulations across nearly all social media networks and Google, which projects must comply with. This is one of the major issues that advertisers experience in the Web3 space.
How To Prepare Your Brand For Web3 Marketing?
Preparing your brand for Web3 marketing requires a solid understanding of the technology, platforms, and strategies involved. Typically, companies rely on specialized Web3 marketing agencies, which can grant their clients the best tools for the job. All this happens while keeping the marketing strategies tailored to the needs of the businesses, markets, and audiences.
Here are some steps you can take to get started in order to prepare your brand for Web3 marketing:
• Learn about Web3 technology: Web3 is an entirely new technology that involves blockchain, dApps, NFTs, and cryptocurrencies. Brands need to get familiar with how these new technologies operate and how they can be properly utilized to create innovative marketing solutions. Also, you can watch how the trends in Web3 evolve to give yourself a head start when the time for campaign deployment comes.
• Develop a Web3 marketing strategy: Your Web3 marketing strategy should be relying on your business objectives, target audience, and the unique advantages of Web3. Finding your right audience is vital for success. This is because Web3 strategies differ and will be completely different for NFTs, metaverse projects, and dApps and in accordance with the specifics of the projects themselves.
• Develop a unique value proposition: Web3 technology offers many unique traits. For example, eliminating the central controls, making the ecosystem clear and transparent for everyone, and almost impossible to tamper with. You need to develop a value proposition that highlights the benefits of the new technology to your target audience.
• Build a Web3 community: Any marketing campaign starts with building a community of engaged users who are passionate about your brand. You can use social media, forums, and other online platforms to connect with your audience and build a loyal following.
• Experiment with new Web3 marketing tactics: Web3 marketing is still in its early stages, so there are many new and exciting marketing tactics to explore. For example, you can launch an NFT collection, host a virtual event on a blockchain-based platform, or create a dApp.
• Evaluate your markets: It is of utmost importance to have a clear vision of the markets that you would like to enter, the acquisition cost of customers across each country/region, and your budget. This is important so you can chart a realistic forecast of what you can achieve for X amount of time. We always work with SMART objectives, and we highly encourage our clients to plan their goals with them as well.
• Reaching your audience: First, you need to evaluate your markets and establish who you are trying to reach, and whether you will need a brand awareness or user acquisition campaign (or maybe a mixture). Then, you need to explore all available options for mediums through which you can reach your targeted users. Do not forget that your message must be very clear and understandable. You must make a strong point about the product/service that you want to promote. Also, you should work towards a plan covering short and long-term objectives, ideally using the aforementioned SMART model.
You can prepare your brand for Web3 marketing and position yourself as a leader in this emerging field. However, since technology evolves rapidly, it is best to leave all the work to a specialized marketing agency.
How We Add Value To Your Web3 Marketing Initiatives
Cryptoken Media is the best Web3 marketing agency, specializing in performance marketing, Web3 affiliate marketing, and Web3 content marketing. Cryptoken Media also utilizes the best practices in Web 2.0 like social media marketing, content distribution, and community management and deployment of Web3 marketing tools. We can offer both brand awareness-focused campaigns, as well as campaigns that strive to acquire new users to your platform, new deposits, new app installs and registrations, and many other user acquisition formats that are available and in line with your operational goals.
А personalized Web3 marketing offer with Cryptoken Media could include services like:
• Go-to-Marketing Strategy (GTM): This is very often the best starting point for each project. We analyze the current market and future trends in your niche, entrance costs, markets that are worth exploring or not. Moreover, we develop short to mid-term marketing plan with clear objectives and execution strategies in line with your corporate vision and targets.
• Blockchain Marketing Strategy: Cryptoken Media can work alongside your brand to create a comprehensive marketing strategy. This strategy will fully utilize the new technologies to reach your target audience.
• Community Management: A key part of Web3 marketing is developing and nurturing a strong and active user base. Cryptoken Media can help you develop and moderate online communities on all leading platforms, including Discord, Telegram, and Reddit, to engage with your audience.
• Influencer Marketing: We can assist you to identify and engage with Web3 influencers marketing to promote your product or service.
• Content Marketing: Cryptoken Media can create and distribute high-quality content that resonates with your target audience, including articles, videos, podcasts, and social media posts.
• Social Media Advertising: We can run effective campaigns on social media platforms like Twitter, Facebook, and LinkedIn.
• Search Engine Optimization (SEO): If you need help with the optimization of your website and content for search engines, we can help you by making it easier for your target audience to find you.
• Analytics and Reporting: Cryptoken Media will also provide you with detailed analytics and reporting on your marketing campaigns. This will help you measure the effectiveness of the campaigns and make data-driven decisions.
In conclusion, as a leading Web3 marketing agency, Cryptoken Media can provide a personalized offer with a mix of services. The proposal will be based on your specific needs and goals. Send us a message at [email protected] and we would be glad to discuss with you the best Web3 marketing practices for your business or brand.