How Blockchain is going to disrupt Digital Marketing

As given at B2BExpo, London. In this talk, David Lockie takes a look at how blockchain is starting to disrupt the digital marketing sector and show specific examples and trends. How will cryptocurrency change advertising? What can we learn about acquisition from ICOs? How does changing the fundamental economies of digital change the way people and organisations behave online?

Transcript

1. How Blockchain is going to disrupt Digital Marketing David Lockie Dcent.tech @divydovy
2. • The challenge and opportunity • Blockchain concepts and jargon • Key advantages of blockchain • Real-world examples of blockchain marketing projects • Trends & predictions • Next steps for you, the digital marketer • A disclaimer What will you get from this talk? Dcent.tech @divydovy
3. Trust Dcent.tech @divydovy Photo by Rodion Kutsaev - Unsplash
4. A brief history of trust Tribes - people have to trust everyone in the group, can't trust outsiders Towns - need to trust currency to enable specialised lifestyles and trades Cities - need to trust police and governments to maintain citizen safety International - need to trust institutions for education, government, finance and law Digital - need to trust computers and the corporations that run them Blockchain - no need to trust anyone, only need to trust maths The history of trust so far is a story about centralisation Dcent.tech @divydovy
5. Trust Dcent.tech @divydovy Photo by Rodion Kutsaev - Unsplash
6. Trust Dcent.tech @divydovy Photo by Rodion Kutsaev - Unsplash
7. "This is the existential challenge of our times….taking the informed risk to join the battle for truth so that facts triumph over fears." Edelman Trust Barometer 2018 http://cms.edelman.com/sites/default/files/2018-02/2018_Edelman_TrustBarometer_Executive_Summary_Jan.pdf The challenge Dcent.tech @divydovy
8. "Our role as marketers is to build ever deeper relationships with clients and prospects." Jeremy Skule CMO of NASDAQ https://www.neverstopmarketing.com/wp-content/uploads/2017/07/CMO-Pr imer-For-The-Blockchain-World-NSM.pdf The opportunity Dcent.tech @divydovy
9. Blockchains - decentralised ledger technologies, consensus by algorithm, smart contracts Smart contracts - programmable contracts, execute on the blockchain when conditions are met Cryptocurrencies - blockchain technology, decentralised currencies, exchange or store of value Coins/tokens - digital representations of an intrinsic or physical assets tracked on a blockchain Oracles - trusted authorities, involved in smart contracts dApps - decentralised apps which use the blockchain itself as their operating system Cryptoeconomics - the protocols that define trade behaviour in a DLT-powered system Dcent.tech @divydovy The jargon
10. Eigenverantwortung Dcent.tech @divydovy Photo by narya - Unsplash
11. Dcent.tech @divydovy The Advantages of Blockchain Technology 1 Decentralisation Transparency Data integrity & immutability System & data availability Fast and efficient transactions 2 5 4 3
12. a1075db55d416d3ca199f55b6084e2115b9345e1 6c5cf302fc80e9d5fbf5d48d https://blockchain.info/tx/a1075db55d416d3ca199f55b6084e2115b9345e16c5cf302fc80e9d5fbf5d48d Bitcoin pizzas Dcent.tech @divydovy
13. Bitcoin pizzas Dcent.tech @divydovy https://twitter.com/bitcoin_pizza/status/976658245325656064
14. Dcent.tech @divydovy Examples So let’s pick a few examples of how cryptoeconomics will disrupt digital marketing: 1. Content marketing 2. User-generated content fraud 3. SEO 4. Display advertising Zooming out, longer term • What does this mean for brands? • Is the future for brands based on purpose & values marketing?
15. Dcent.tech @divydovy Steemit is a new platform that’s kind of like Reddit or Medium but underpinned by it’s own cryptocurrency - where Medium has claps, Steemit has STEEM dollars. You can earn STEEM by: • Publishing content • Voting and curating content • Buying tokens directly https://steemit.com Content Marketing
16. Dcent.tech @divydovy Basic Attention Token is a way to monetise content, protect privacy and reward users for consuming ads. https://basicattentiontoken.org/ Content Marketing
17. Change the economics of spam by adding a tiny transaction cost to things like email and comment spam. https://coinhive.com/ for comment spam https://bitbounce.io for email spam https://www.bobsrepair.com for review fraud Dcent.tech @divydovy Spam and fraud protection
18. Blockchain-based identity, digital assets and certifications will be like the rel=author tag - another ranking signal for search and social platforms. https://searchengineland.com/blockchain-will-impact-search-mark eting-industry-282998 http://www.digitalistmag.com/customer-experience/2017/11/08/bl ockchain-impact-marketing-search-programmatic-influencers-05 489233 SEO Dcent.tech @divydovy
19. Dcent.tech @divydovy Display marketing currently works like a dating agency, blockchain adtech will be more like tinder. “After all, with blockchain, the intermediary is a robot, not a human, so people can trust it with their data.” https://digiday.com/marketing/blockchain-in-progr ammatic/ Display Marketing "bots inflicted $7.2 billion in fraud last year." Examples: XCHNG, AdChain, Madhive https://www.neverstopmarketing.com/wp-content/ uploads/2017/07/CMO-Primer-For-The-Blockchain -World-NSM.pdf
20. Dcent.tech @divydovy The new brand: 1. Clear mission: human values 2. Cohesive plan to achieve vision 3. Harness the power of a community of believers who are stakeholders in multiple ways: emotional, psychological, and financial Brand Marketing Core new brand capabilities: • Be willing and able to provide transparency via blockchain proofs • Inspire and recruit believers in the core vision and mission • Propel circular economies of authentic value that support the vision and mission
21. “the fundamentals of the token model...allow communities to govern themselves, their economics, and rally a community...to flourish in a way that was previously impossible.” Fred Ehrsam (co-founder of Coinbase), Value of the Token Model “an infinity of subcultures...now blossoms on the Internet — vegans, body modifiers, CrossFitters, Wiccans, DIYers...Millions of people are finding their true peers in the cloud.” Balaji Srinivasan (founder of 21.co) Software is Reorganizing the World Combine these insights and we can imagine a world in which the granularity and transparency of blockchain data gives economic power to very specific communities. https://www.neverstopmarketing.com/wp-content/uploads/2017/07/CMO-Primer-For-The-Blockchain-World-NSM.pdf Purpose Marketing Dcent.tech @divydovy
22. Dcent.tech @divydovy • Tech giants will adopt/release/buy e.g. Facebook tokens (Rakuten already has) • Media-buying agencies will innovate or struggle • Everything that can be Tokenized will be Tokenized • Shift towards purpose, authentic value creation, community curation and experience • Instantaneous migration between service providers • Browsers will help manage your online budget • The role of oracles (to provide data for smart contracts) will lead to the growth of importance of trusted authoritative data sources • Blockchain-based Ad- and Mar-Tech will see huge growth (400% in last 6m alone) Trends - my take
23. Dcent.tech @divydovy • Download Brave browser and check out the settings • Try implementing BAT on your website and letting people know you’re using it • Sign up to Steemit (and/or other blockchain-based social media) and get involved • Put some time into reading and learning about blockchain, CCs and DLTs • Consider whether your brand is ready for this new reality • Seek out economic opportunities and potential that add to the brand proposition • Build stronger bonds with your customer experience team (or create one) • Stop washing spreadsheets and prepare to play a different role when reporting data • Measure how your audience feels inspired by your purpose What should you do now if you're a digital marketing professional?
24. Dcent.tech @divydovy DISCLAIMER: Blockchain isn't the right fit for everything and you need to do your own research. This is not financial advice. This presentation includes content published from countries all over the world. Persons who access it, agree to do so in accordance with their local laws. All opinions expressed by this author or others are solely the opinion of that individual, and should not be viewed as an endorsement or investment advice. You should not treat any opinion expressed here as a specific inducement to make a particular investment, or follow a particular strategy, but only as an expression of that individual’s opinion. Statements and opinions are subject to change without notice. Past performance is not indicative of future results. Dcent does not guarantee any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment discussed. Strategies or investments discussed may fluctuate in price or value. Investors may get back less than invested. Investments or strategies mentioned may not be suitable for you. The material discussed here does not take into account your particular investment objectives, financial situation or needs, and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned. Before acting on information on this presentation, you should consider whether it is suitable for your particular circumstances, and strongly consider seeking advice from your own financial or investment adviser.
25. Thank you - Any questions? Dcent.tech @divydovy