What Is Web3 Advertising?

The first digital banner ad appeared in 1994 and since then digital advertising has experienced tremendous growth Crude amp8220click hereamp8221 ads have been replaced by integrated advertisements virtual reality ads and targeted ads which rely on massive amounts of consumer data often unfairly extractedThe uncontrolled collection and exploitation of data has allowed Big Tech to profit hundreds of billions off consumersamp8217 personal information making data the worldamp8217s most valuable asset As a result global regulatory shifts are changing the digital advertising landscape and reigning in unjust data collection practices Californiaamp8217s CCPA Europeamp8217s GDPR and Chinaamp8217s PIPL set the foundation for increasing consumer sentiment and awareness about the value of their data The next moment in advertising is thus one where privacy data ownership and true consent are the priority This is bigger than the next cultural trend and itamp8217s happening in Web3Appreciating how advertising in Web3 will manifest entails being cognizant of the wider world of Web3 If Web 10 is the readonly web and Web 20 is the socialmedia driven readwrite web think of Web3 as the updated readwriteown version Web3 is about decentralization transparency and autonomy through consensually shared databases made possible by immutable blockchain technology As this new environment continues to develop individuals will increasingly be in control of their digital experience and most importantly have full ownership over how their data is usedWhen Apple updated its privacy settings in iOS 145 amp8203amp820396 of users opted out of sharing their data Platforms with business models that rely on harvesting and selling consumer data for targeting advertising are already suffering devastating effects Indeed Facebook expects to lose 10 billion in sales as its targeted ads become less effective without unmitigated access to consumer data The recognition that user data fuels the advertising industry has woken consumers up to the value of their data leading to widespread demand for more control Reports showing that users are willing to share their data if they are offered something in return suggest that the impact of iOS 145 is a cautionary tale for what happens when consumers arenamp8217t explicitly asked and compensated for their valuable informationThis shift in behavior along with the demise of the thirdparty cookie and the subsequent rise in demand for firstparty data by brands themselves creates a need for a permissionbased advertising strategy where brands and advertisers ask permission to collect data from their audiences Reports already show that 79 of consumers are willing to share their personal data for a rewardBrands have long been using permissionbased tools and loyalty programs because they lower costperacquisition for advertisers and build respect and trust In fact investments in loyalty programs totaled 126 billion in 2019 Investments in permission marketing are even more relevant today with the rise of Web3 technologies and the transfer of data ownership back into the hands of individualsTo be sure optin value exchange will drive advertising in Web3 creating a Win Win Web where individuals are fairly compensated for their data and brands build direct relationships with their consumers Advertisers should think beyond the typical loyalty program and explore utilizing cryptocurrency as a tokenized unit of value exchange Crypto is a natural reward because of its liquidity aspirational components and securityEarly adopting brands that offer desired rewards to their engaged consumers will benefit by building brand loyalty while tapping into the burgeoning young and diverse market of the crypto world Over 50 million Americans are interested in buying crypto within the year The average age for current cryptocurrency investors is 38 while the average age of individuals heading mutualfundowning households is 50 Trustworthy and indemand cryptocurrencies are indeed a promising reward for optin value exchangeWe are amidst a significant digital moment the maturation of the web economy and the advertising that allows it to flourish Staying ahead of the curve means investing in building longterm trust and onetoone relationships with consumers by rewarding them for their engagement By asking permission and compensating consumers for data shared brands have the chance to jump to the front of the long line of Facebooks Googles and Twitters that have driven the ecosystem for the last decadeBrands that embrace such fair and transparent strategies will succeed in Web3 Interactions with consumers will finally be on equitable terms ensuring brand loyalty and respect that will benefit bottom lines and increase social impactClick the social buttons to share this content with your friends and colleaguesThe opinions and points of view expressed in this content are exclusively the views of the author andor subjects and do not necessarily represent the views of MediaVillagecomMyersBizNet Inc management or associated writers

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What Is Web3 Advertising?

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Charlie Silver

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What Is Web3 Advertising?

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