Despite a sharp fall in the markets and an overall bearish sentiment, you could argue that the Web3 industry is still looking as healthy as ever.
In fact, VC investments in Web3 exceeded $18 billion in the first half of 2022, which means it is well on track to surpass its record high of $32.4 billion just last year.
Clearly, there is a lot of interest and excitement in blockahin-based projects. However, that doesn’t mean that it’s all sunshine and rainbows.
Along with ongoing regulatory scrutiny, security concerns, and scalability issues, a common lack of understanding about how to market Web3 projects remains one of the biggest obstacles preventing its mass adoption.
The problem with Web3 marketing
In many cases, there is too much of a disconnect between the general consumer market and Web3 projects, especially when it comes to effectively communicating the value proposition (and individual use cases) of these technologies.
Not only does this hamper adoption, but it also makes it more difficult for projects to generate the revenue they need to continue developing their products and services.
Now, let’s dig a little deeper and explore some of the most common marketing problems faced by Web3 brands.
The technology remains esoteric – The vast majority of people have no idea what Web3 is, let alone how it can be used in their everyday lives. This lack of understanding creates a significant barrier to entry and makes it difficult to generate interest and excitement.
Difficulties connecting with target audiences – Brands may find it difficult to identify and connect with their target audiences. Furthermore, even if they are able to reach them, the message may not resonate due to a disconnect in understanding.
Consumer skepticism – Web3 brands must overcome a general lack of trust and skepticism amongst consumers. This is primarily due to the numerous high-profile hacks and scams that have taken place within the industry.
Advertisement regulations – Given the decentralized nature of Web3, there are often stricter regulations surrounding advertising and marketing. This makes it more difficult (and expensive) to reach potential customers through traditional channels.
Strategies for more effective Web3 marketing
In order to overcome these common marketing problems, Web3 brands need to take a more strategic and targeted approach, otherwise, they run the risk of being lost in the noise.
Focus on education
One of the best things that Web3 brands can do is focus on education. This involves creating content that is designed to help people understand what Web3 is and how it can be used in their everyday lives.
This type of content can take many different forms, including blog posts, infographics, videos, and podcasts. The key is to make it digestible and engaging so that people will actually want to consume it.
Binance is a good example of a brand that uses this tactic to great effect.
The crypto exchange offers a wide range of educational resources within its Binance Academy where users can learn all about the products and services it offers and how they can make the most out of them
Use a press release distribution platform
If you run a Web3 company, you will know just how hard it can be to get your message delivered in front of the right eyes.
First, you can find your message getting skewed because a non-crypto media-outlet misunderstood critical details of your product.
Second, If you lean on traditional marketing methods too heavily, you may find that you are ultimately wasting your budget marketing to an uninterested audience
In light of this, it almost certainly going to be beneficial for you to rely on press releases from time to time, where you can gain full control over your messaging.
And to make sure your message gets delivered to the right audience, you can use a press release distribution platform that is specifically designed for crypto and blockchain companies.
For example, platforms such as Chainwire offer a way to have your press release content published simultaneously across hyper-targeted media outlets, such as Cointelegraph, AMBCrypto, CryptoNews etc., giving you a direct line to your target market.
Working with a newswire syndication platform that understands the intricacies of your Web3 project can save you a lot of time and money, and help to ensure that your message is communicated accurately.
Engage with influencers
Love them or hate them, influencers can be a powerful tool in your marketing arsenal. The fact of the matter is that people are more likely to listen to and trust someone that they know and respect, as opposed to a brand they are unfamiliar with.
For this reason, Web3 brands may find it helpful to partner with influencers who can help to spread the word about their project. This could involve anything from paying an influencer to promote a product on their social media channels to simply providing them with some exclusive content that they can share with their followers.
The important thing is to make sure that the influencer you work with is a good fit for your brand and that their audience is likely to be interested in what you have to offer.
Demonstrate a commitment to security and privacy
Even though Web3 is largely heralded as a more secure version of the internet (compared to Web 2.0), Web3 applications may in fact “present a broader attack surface than conventional applications due to the distributed nature of blockchains,” according to a Forrester report.
On top of this, the openness of Web3, which is one of its primary strengths, may actually be detrimental in terms of security, according to Forrester Vice President and Principal Analyst Martha Bennett.
“Code that’s running on a public blockchain is easily accessible, by anybody with the required technical skills, from anywhere in the world — no need to penetrate any corporate defenses in getting to it,” the pair explained in the report.
With this in mind, it’s critical that Web3 companies place a strong emphasis on security and privacy if they want to win over users.
This could involve anything from ensuring that all data is encrypted to carrying out regular security audits. These efforts should then be communicated to users in a clear and transparent way to help instill trust in your brand.
While Web3 clearly has the potential to break down barriers and disrupt industries, it’s still in its infancy and faces a number of challenges, especially when it comes to marketing.
That being said, with the right strategy, Web3 companies can still reach their target audiences and communicate their message effectively, which should put them in a more favorable position for long-term success.
For the most part, it’s simply a matter of finding a way to connect with users and communicate the unique value proposition of products or services in a way that resonates, and that typically means that traditional marketing channels and strategies are not going to cut it.
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