Beyond Web 2.0: What Marketers Need to Know About Web3 marketing

Jay Crypto

Blogger

Blockchain technology has made immense progress in the past few years with the emergence of digital assets like Bitcoin, Ethereum, and NFTs. The applications of Web3 are transcending financial boundaries and transforming other industries too. Marketing is the perfect example of such an industry.

What is Web3?

The internet was initially centralized and mostly big companies used to control and manage users’ data. in the late 90s, the first version of Internet was introduced which primarily focused on static content such as HTML pages and read-only content. In 2005, the rise of social media gave birth to the next version of the internet, Web 2.0, an interactive web that allows users to access and rewrite the data. Web3 is the next generation of the web, based on decentralizations where users can interact with each other and access their data independently without the interference of third parties. Web3 is totally decentralized: everyone can participate in it and it is created, operated, and owned by users rather than monopolized by large technological entities.

What is Web3 Marketing?

Web3 marketing refers to the use of decentralized applications (dApps) and the blockchain technology to create more personalized and engaging experiences for the users. It involves leveraging new tools and technologies that are part of the next evolution of the internet, Web3. Traditional marketing techniques rely heavily on cookies generated by third parties. With web3, these cookies will no longer be available, as web3 protects user data privacy. The unavailability of users' data will make it tough for marketers to target a specific audience.

Web3 and Brands

Web3 offers a new set of tools and strategies for brands to interact with their customers. Some big brands like Nike and Dolce and Gabbana have already invested in the space by buying digital lands in the metaverse, and lots of other brands are also developing strategies to integrate web3 into their mass marketing ecosystem. Last year, popular footwear brand Nike introduced its new platform – Swoosh – where users will be able to buy its virtual products. Dolce and Gabbana, a fashion brand, launched its own NFT collection consisting of 9 NFTs including “ The Impossible Tiara”, which was sold for $5.65 million on the polygon network marketplace after two days of bidding. Tiffany and Co., a luxury brand, entered the web3 arena with the help of Chain and launched its own NFT collection. Here is a list of big brands’ NFT revenues.

The Impact of Web3 on Marketers

I. Increased transparency

Currently, companies and websites make money based on the user data they collect for a targeted marketing campaign or selling it to third parties. In web3 users will have more control over who can use their data for marketing purposes. This will lead to more transparency between users and brands and this limited access to the user’s data will force marketers to come up with new creative ideas for marketing in web3.

II. Improved targeting

Web3 technologies such as decentralized identifiers (DIDs) and verifiable credentials (VCs) can enable more accurate targeting by allowing marketers to access verified information about their audience. This can lead to more relevant and personalized marketing campaigns.

III. The increased role of content creators

In Web 2, content creators must comply with stringent rules and guidelines when creating content, and they are paid very little in comparison to the platform's original revenue. However, in decentralized web3 protocols, content creators will be free to create whatever they want and will be fully compensated for their work.

IV. New advertising strategies

Web3 introduces new advertising models such as token-based ads and micropayments, which can help businesses monetize their content and incentivize consumers to engage with their ads.

V. A shift in consumer behavior

Once this user-oriented Web3 becomes more mainstream, it will attract more consumers, ultimately creating more chances for marketers.

How to prepare Web3 marketing strategy

The emergence of Web3 has created lots of challenges for marketers. Here we discuss how marketers can prepare their marketing strategies in the web3 arena.

I. Follow Web3 trends

Web3 is still in its infancy and is one of the hottest topics on the internet. Following these trends on social media and incorporating them into your marketing strategy is an excellent way to stay ahead of the curve.

II. Content Creation - Add NFTs

Creating content such as NFTs is an excellent way to market your brand and products. Brands like Nike and Dolce and Gabbana have already adopted this strategy and it has helped promote their brands in the web3 space.

III. Get acquainted with blockchain

If you are unfamiliar with blockchain technology, now might be a good time to learn about it. Blockchain technology is a sophisticated database mechanism that records transactions in a decentralized and transparent way, making it nearly impossible to alter or temper blocks in the chain. A sufficient understanding of blockchain technology is required for marketers to implement a successful marketing strategy in the Web3 space.

IV. Build Strong Social Media Presence

Social media will play an important role in web3 marketing for brands. Building a strong social media presence across multiple platforms may be beneficial in capturing the attention of a large number of people; furthermore, having a strong social presence demonstrates the authenticity of your brand.

V. Focus on Content Optimization

Web3 is still in its early stages, and many people are unaware of it. Web3 will rely on structured data, so marketers must have well-organized data available online that is properly optimized so that their brand receives the most exposure from the targeted audience.

VI. Collaborate with influencers

Collaborating with social media influencers who have a following relevant to your project might help you to grab the attention of a larger audience.

Conclusion

Along with the challenges, web3 presents numerous opportunities for brands and marketers to use innovative and creative marketing techniques to reach their target audience. As the evolution of web3 progresses, it will become crucial for brands and marketers to stay savvy enough about this transformative technology to maintain competitiveness in the rapidly changing digital landscape.