Blockchain technology, as we know it, allows digital information to be distributed but not copied and was originally positioned as digital currency, Bitcoin. However, for some time now, it has found other possible uses – also used in the advertising and branding market.
What is the relationship with cryptocurrency?
Although similar to cryptocurrency, new transactional use cases are emerging for blockchain, such as digital purchase and marketing or advanced television advertising inventory, reducing fraud; whitelisted authorized sellers, campaign agreements, allowing for smart contracts to simplify the ORI process, licensed advertising assets, etc., providing transparency and scalability in an ecosystem where parties do not know each other.
Blockchain and Marketing
It is necessary to shed light on the problems within the advertising field as well as in the marketing realm that could benefit from this emerging technology solution. The scope of blockchain in advertising lies in data management, alongside targeting and engagement. Brands are still seeking agencies to advise on effective strategies to manage their media investments in relation to precise audience targeting. It is a fact of the industry that often, certain investments are untracked and return on investment is generally an estimate.
Blockchain technology helps closely monitor these expenses with a fine-tooth comb; optimizing it in real-time and achieving the best output for the money spent on various projects and plans.
The extent and scope of blockchain is a game changer. Everything is set to revolutionize many businesses across various sectors, and advertising will be one of them. The core of Blockchain is built on shared trust where no single entity governs it all, which is much needed in the advertising world where issues of assurance, transparency, and data veracity, to name just a few, have been repeatedly contested.
Looking closely at the same thing, if blockchain becomes as successful as anticipated, there will come a time when clients will undoubtedly reach their consumers without intermediaries, including Google and Facebook. However, it may seem almost impossible, but that is what blockchain has the potential to achieve.
Blockchain and Data
Data is the main ingredient for building a thriving digital advertising ecosystem. From calculation to targeting, players who obtain and utilize useful data have increasing authority over players who do not. Unsurprisingly, some see how blockchain technology can address the challenges and difficulties related to data.
While it is still early days for mass implementation, a few companies are already in the works and have executed incubators to at least address the applications and potential benefits of integrating blockchain into the advertising industry.
For example, Isobar launched a new blockchain-powered campaign to enable transparency in campaign delivery and performance for CEAT tires, in association with ADSDAX to track all payment transactions that are recorded in a permanent ledger for each valid public impression. This has allowed them to be assured with confidence that their campaign KPIs are being met and reported accurately. Thus, allowing reconciliation of their data with a verified independent ledger checked by multiple unbiased parties. Many organizations show great interest in utilizing the concept of blockchain. But for this to work, publishers must also come on board to create an ecosystem. Google and Facebook are secretive about their plans, so it will be a wait-and-see game.
