We’ve all seen how cryptocurrencies have grown in value and popularity over the last few years, resulting in a slew of crypto-related brands springing up here and there. We are all aware that a blockchain firm, regardless of industry, has little chance of survival unless it spreads the word.
However, when it comes to crypto performance marketing, we can’t help but observe that the KPIs set for the marketing initiatives might be really difficult to achieve nowadays. And with good cause.
To reach huge audiences, crypto marketing currently employs a shotgun technique. It puts its adverts, promotions, and sponsored events in front of huge audiences and aspires for high conversion rates, such as 2% of the audience reached by the ads.
Furthermore, it uses data collected on the public by private corporations to determine which members of the public are likely to purchase its goods and services. These private enterprises either utilize the data for their own marketing campaigns or sell it to other businesses that wish to target particular demographics.
There are specific general reasons why the crypto industry or projects need performance marketing, such as increasing exposure, differentiating oneself from the competition, and increasing sales.
Although there’s another crucial reason we don’t pay much attention, to teach your audience about the difference between a spammer and a genuine offering. Spammers or fake projects may easily mislead individuals and divert buyers’ attention away from the real thing they seek. This is detrimental to both clients and legitimate crypto services.
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What is Performance Marketing?
Developing efficient crypto marketing strategies is critical to the growth of your crypto project. They assist you in reaching and connecting with your target audience, increasing brand awareness, strengthening brand affinity, and influencing consumer behavior. It functions as a road plan for business owners to attain their objectives and expand their companies.
The internet irrevocably altered the way people search and purchase things. Needless to say, it also changed the way crypto businesses promote their projects. Crypto marketers now collect campaign data 24 hours a day, seven days a week, and assess the outcomes as they occur. Previously, attribution was practically difficult; now, data openness allows marketers to adjust their crypto marketing campaigns so that they perform better. That is why it is referred to as “performance marketing.”
Performance marketing refers to internet marketing campaigns in which advertisers pay marketing firms or advertising platforms for results such as clicks or conversions. Performance marketing, as opposed to conventional and organic marketing, is used to drive activities, track and measure those actions, and attribute the ROI of each asset, campaign, or activity.
While large organizations might spend millions of dollars on branding, most businesses must concentrate on the bottom line in order to remain successful. Performance marketing returns control to the advertiser. You choose the action, then pay when it is done – whether it be a sale, lead, or click.
In short – Performance marketing as the name suggests is marketing based on performance.
So, what distinguishes performance marketing? It provides the advertiser leverage because they only pay if the intended goal is met. As a result, they can be certain that their marketing spend is only being spent on effective initiatives.
Crucially, because all ads are highly focused, the success rate of performance marketing campaigns is typically greater, and marketers make data-backed judgments and adjust their campaigns based on the outcomes. This is beneficial to both businesses and affiliates.
Performance Marketing in Crypto
The market for crypto-related content is expanding on a daily basis, but the restriction on crypto advertising on most platforms makes reaching this market challenge.
Despite the hype around cryptocurrencies, many people do not understand them or do not know enough about them to desire to invest in them. One reason for this is that most cryptocurrency firms or platforms do not conduct advertisements on popular social media sites such as Facebook, Twitter, and Reddit.
Performance marketing comprises displaying advertisements, videos, banners, and other content on well-known platforms such as Google Ads, LinkedIn, Facebook for Business, Twitter Ads, and others. Paid adverts may attract a significant amount of traffic to your crypto website and increase conversions.
It is difficult to sell a product without promotion. To begin with, even if you have the most incredible crypto product, it will not be able to sell itself. To demonstrate, there is a reason why we still see advertisements for Coke, McDonald’s, and Samsung despite their success. I mean, everyone knows who they are, so why not quit advertising?
People only buy what they are acquainted with, and that familiarity is gained through advertising. “I watched an advertisement for this brand on TV last night; I’m confident that this is not a fake company and that I can trust them with my money.”
This is the type of idea that these advertisements foster in our subconscious brains, and it works.
And, contrary to popular belief, banners are far more successful than PPC(Pay Per Click). Banner campaigns are used by over 5000 crypto-related websites and blogs. Some of those marketing campaigns are extremely expensive, while others are fairly inexpensive, so it’s essential to find a happy medium here in order to attain the greatest outcomes.
Combining banner advertisements with regular text ads is an even more successful strategy to promote your cryptocurrency firm, but it (like all marketing) demands a planned approach. It is critical to have an appropriate budget. If you spend too little, you will not achieve the intended effects. If you overspend, you may find yourself with more clients than you can handle.
But there is one word of warning! Due to several fraud projects, notably among ICOs and cryptocurrency exchanges, most PPC networks have implemented limits on advertising supporting cryptocurrency businesses since approximately 2018.
Today, the limits are progressively being loosened to allow reputable companies to operate. The bottom line is that performance marketing for bitcoin businesses should take into account all of the concerns listed above and be managed by a skilled crypto performance marketing team.
Measuring the Effectiveness of Crypto Performance Marketing Strategies
Because every activity can be recorded and assessed against key performance indicators, ROIs are crucial to performance marketing (KPIs)in cryptocurrency marketing. These essential measures, whether they be clicks, page views, or purchases, are critical for measuring and improving performance.
We’ve listed some of the most regularly used indicators and KPIs below to help you understand performance marketing pricing.
Pay Per Sale (PPS) or Cost Per Acquisition (CPA)
This is the amount paid by a crypto project when a desired activity, such as a sale, a click, or form completion, is completed.
This is the most typical payment type for crypto marketers to set up in DeFi projects.
Pay Per Lead (PPL)
A “lead” is often a completed form registration or signup that includes consumer information, such as a customer’s name, email address, or phone number, so that the crypto marketers may follow up with the client and generate sales.
Pay Per Click (PPC)
This is the fee that a crypto business pays an affiliate for each ad click that leads to a certain landing page.
Pay Per X (PPX)
The “X” in this payment model can represent anything the crypto marketer identifies as the desired action other than a lead, click, or sale.
Downloads, in-app upsells, and rewards program sign-ups are just a few examples.
Lifetime Value (LTV)
This statistic calculates a customer’s expected “lifetime value” throughout the course of their engagement with your crypto project. The LTV predicts how much a consumer will spend based on their behavior and activities with the company using predictive analytics.
Crypto Performance Marketers face enormous opportunities and challenges as a result of crypto-driven marketing strategies. These same advantages and disadvantages existed when customers began to use internet-based commerce, third-party payment processors, and coupons. Advertisers were able to maximize their acquisition of consumer data and reach their target consumers in each case.
Nonetheless, crypto-driven digital marketing provides blockchain users with greater security and anonymity than traditional marketing tactics. Furthermore, the anonymity and transactional independence provided by Web 3.0 is a welcome commercial advancement that provides customers greater flexibility over how, when, and with whom they do business. This increases competition and, presumably, innovation in the crypto sector.
Performance marketing campaigns enable you to track everything from brand recognition to conversion rate on a single ad. Crypto Marketers are seeking beyond branding to establish marketing strategies with proven ROI as advertising becomes more open.
Performance marketing arose from this requirement and has only grown in sophistication over time. So get started with performance marketing today and start reaping the benefits of ROI tracking, measurement, and optimization.
Hiring established crypto performance marketers like Blockwiz can help you ease the stress of performance marketing and focus on important aspects of your projects.