Web3 marketing is innovating the way that marketers reach their customers.
Although web2 marketing has been traditionally effective, customers are starting to desire the main aspects of web3 marketing.
Five Key Differences Between Web3 Marketing and Web2 Marketing:
1. Decentralization and Ownership:
Consumers desire control and ownership over their data and information on the internet — a recent study gathered that 83% of respondents believe data privacy is important (Consensys). Additionally, Salesforce has found that 76% of customers are loyal to companies that provide better data security.
Because data privacy is so important to customers, marketers can utilize web3 marketing tools to reach customers in transparent and secure ways. Web3 marketing emphasizes user ownership and control over data.
Unlike web2 marketing, where platforms control user information, web3 allows individuals to own their data, granting greater privacy, transparency, and autonomy.
2. Tokenized Incentives:
Web3 marketing can leverage the blockchain to create tokenized ecosystems.
Web3 marketers can build reward systems with blockchain technology, using tokenized incentives.
Web3 reward systems are more effective than web2 reward systems and foster greater customer engagement. We believe we will see customers be much more loyal to brands with web3 reward systems because they appreciate increased transparency, user empowerment, and security.
3. Interoperable Platforms:
Web3 marketing promotes interoperability among various platforms and services — facilitating seamless user experiences across different applications and ecosystems.
This is in contrast to web2 marketing. Usually, web2 marketing is isolated to a singular platform with limited data sharing. Traditional web2 social media platforms own all of your posts, friends, messages, and data — you can’t take this with you if you leave the platform. The same is not true in web3. You own your assets, tokens, and data you’ve created on-chain.
4. Smart Contracts and Automation:
Web3 marketing utilizes smart contracts for automated, trustless execution of marketing campaigns, payments, and agreements. The use of automation and smart contracts reduces the need for intermediaries and enhances transparency with customers.
Unlike web3 marketing, web2 marketers don’t have tools to build smart contracts and automation that can automatically run in tandem together.
5. Community-Centric Approach:
Web3 marketing helps enhance community building through its interactive nature. Users actively participate in decision-making, content creation, and governance, fostering a sense of belonging that goes beyond the passive user roles in web2 marketing.
Additionally, the web3 community is heavily active on Twitter and Discord. Marketers can reach customers by creating the community itself.
Brands don’t just engage on Discord servers, instead, they create their own servers where community members can interact with each other. It is the same for Twitter — brands can build communities and engage with their audience through Twitter threads, lists, and more. Discord and Twitter communities allow brands to co-build with their audiences.
Web3 marketing prioritizes decentralization, user ownership, tokenized incentives, interoperability, automation, and community involvement, setting it apart from many of the traditional, centralized approaches of web2 marketing.