Cryptocurrency and the way it can be traded have been dominating the news for the past couple of months and the topics seem to be reappearing for years now. It has started as one of those interesting tech stories that morph into something much larger and more important.
At this point, using digital currency has disrupted numerous businesses and industries and it’s going to become much more widely used. This is especially the case after the distrust in governmental financial institutions after the 2008 financial crisis. Since cryptocurrencies don’t rely on any governmental agency they are free of their shortcomings.
What is Cryptocurrency?
A cryptocurrency is exactly what it sounds like. It’s a currency used to facilitate the transfer of goods and services. It can be exchanged for them online or it can be used to store value as any other currency. The difference is that, while traditional currencies are created by the government, these are created by private entities and they gain in value as more users join in.
This more decentralized and democratic approach could be useful in the advertising industry in numerous lucrative ways since these qualities are in demand.
1. Privacy of Data
The internet has provided countless business opportunities and provided people with the ability to communicate and cooperate like never before. It has also eliminated the concept of privacy. Almost everything we do is happening on the internet stage watched by the companies whose services we use and our governments.
Cryptocurrencies allow their users to make their purchases without worrying about privacy. Since there’s no organization overlooking the process, there’s no one that can gather the data of how you use the digital currency. This will prove to be the most valuable marketing angle out there. It’s what makes this trading method unique and therefore desirable.
2. Narrower Services
At this point, every business is trying to diversify the services they are offering. This is a strategy used to mitigate business risks and expand the customer base. On the other hand, the users don’t usually want such a broad line of products. This is especially true in the media, where it often happens that the readers pay for the publication only to read a few articles by a few authors.
Using cryptocurrency can help make the services narrower because they would allow for micropayments where each user pays only for the service or product they use, directly to a person that made it. The algorithm behind digital currency would make this possible without any lag.
3. A growing Market
The cryptocurrency market has started with Bitcoin, but it’s immediately grown beyond it and continued to grow after that. This is an exciting feature from the marketing standpoint because always having to compete with other providers of a service means that marketing campaigns related to cryptocurrency need to remain relevant and interesting.
If you want to sell or buy digital currency, you have the option to choose from a variety of providers. Try to match the unique quality of each currency to your marketing strategy and make the most out of both.
4. Better Customer Experience
The customers are used to a very high level of services and it’s your never-ending job to provide them with more options and a better experience. Traditional payment methods come with their own set of problems (beyond privacy-related issues). Most of them are about numerous fees that the customers need to pay if they want to purchase something online.
Cryptocurrency doesn’t have this problem and all the payments are made just between you and the customer. This makes the process smoother and saves money for both parties.
5. New Customers
It is essential for marketing companies to attract new clients and customers. Every product needs to find a way to reinvent itself and to be sold to a new generation of users. If you’re not relevant to a young and up and coming generation, your business is dying out.
This is the way for marketers to embrace cryptocurrency and its ways if they want to attract a younger customer base. It isn’t simply the case of chasing after a trend, it’s about understanding how your customers experience the internet. That’s not because you don’t want to appear to be out of touch, but because you actually want to be in touch with your audience.
6. New Players in the Market
Digital currency has started as something created to avoid governments and traditional financial institutions, however, now, when it’s become a large business phenomenon, the governments and other controlling entities are trying to get in on the game.
Large investments coming from countries that want to become safe havens for digital entrepreneurs are going to change this market drastically. It’s imperative for the marketing side of the business to get in on the ground floor and to try to find out which of these investments might be a potential game changer.
Marketers need to start paying attention to the changes in digital currency and to try and use it to their advantage. It’s what will keep them connected to a new and engaged audience.