The blockchain is the new Eldorado and smart contracts are the new gold nuggets. Integrating smart contracts into your marketing strategy offers your business an amazingly efficient crowd-powered advertising engine, providing your clients with a new way to interact with your brand while cutting supervising and monitoring costs at the same time
Currently, old marketing methods are the only option to target and keep customers loyal to your brand. Direct Mails. Referral programs. They all depend on the extent of your database, and all need manual checkups. Sure, it works. But only if you already have a database and if you pay a lot of people to manage the operation. Efficiency wise, you only have 1–2% conversion. That’s just…weak.
What’s missing from current engagement formulas?
There are ways to create public engagement and use it to promote your products, but you need to provide sufficient motivation. That’s why tools like referral programs have such pitiful results. They don’t work if you lack trust and if a direct benefit is missing.
You can only use these tools if you have a high trust degree, and even that may not be enough if the benefit implied is not sufficient. A bank, for example, has enough trust, but receiving a 3% discount on your account management costs as a referral reward is not at all engaging. Furthermore, these promotions have to be capped. You either have a user cap: the first 100 referrals get a discount or a time cap: refer until a certain date.
And then there is the structure of the promotion. You need to manually count and check all referrals, or risk being duped. It’s far from easy.
Three words: Use. The. Blockchain.
It’s the missing link. Actually, the Smart Contracts are the missing link. They can provide a structure for client-company collaboration. A smart contract acts like an agent between these two, watching over their interests and enforcing a set of rules, agreed by both. The Blockchain is able to mediate thousands of these connections in a second, automatically.
It is an epic point for a company that wants to grow sales. It would be a dream come true for any marketer to be able to automatically give discounts and promotional offers to specific customers if they promote your product on social channels. Did they tweet about the last 5 items bought from your company? Great, they automatically get a 15% discount on their next purchase. And the smart contract will ensure that both sides get what they want. Until they tweet the 5th time, the contract does not release the discount. And after they do, they automatically receive the discount and can use it in your shop. Guaranteed by the same Smart Contract.
This means that any brand could grow a trust relationship with their customers. You no longer need to be a bank or a big corporation to be trusted. You could get the trust from smart contracts.
Wait … wasn’t the Blockchain an impenetrable fortress?
You can’t just use smart contracts for social media data, right? Wrong. This is exactly what Sether does, an upcoming ICO platform. Sether moves, monitors and analyses social media data for the blockchain, automating integration with social networks. It’s the first platform to offer a bridge between the blockchain and social networks.
You can use it to, for example, to offer direct promotional discounts based on your followers’ social activity. For example, one of your Facebook followers posts about a new phone that he likes. You can now offer him a 30% discount on that phone if he buys it from your site, in the next 5 days. Automatically, using a smart contract, to prove the offer and discount are real.
The future looks great for everybody
To sum up the good news: brands can run automatic loyalty campaigns, that work way better because all parties are insured. The customers can promote the brands and earn discounts or other incentives. Plus, you can now do customer targeting. That means finding new customers for your products.
The Sether project improves the blockchain and opens it up to marketers everywhere, offering a previously unavailable tool: Smart Contracts. Register on the site to start your own campaigns.