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Ever since inception, most people have been surprised by the impact Blockchain can have in various industries, most especially, in terms of security, democracy, transparency, and efficiency.
The Blockchain is also making giant strides in the digital advertising industry.
It is a proven fact that at least 14 percent of financial market institutions will be implementing commercial Blockchain-based services on a full-scale with more than 65 percent of them expected to adopt in the next three years.
In case you don’t know, Blockchain is a decentralized record of all transactions taking place through a peer-to-peer network. There are computers known as miners that organize each of the transaction that takes place into “groups” of data. These “groups” of data are known as blocks and they are linked together to form nodes or chains.
The role of each node is to provide security, keep all part of the transaction safe and functional. This is done through a high-level programming language. This thus makes it proven and legitimate.
Hence, digital advertising can benefit from Blockchain in 3 ways;
There has been lots of online ad fraud being carried out in the media industry. One of the biggest ones is the use of bots to view or even 'click' on ads instead of humans. Hence, making it difficult for campaigns to be measured.
Since the majority of online advertising relies on automated technology, the precise location of ads cannot be accurately determined or monitored.
This leads to loss of huge amounts of money.
Since the Blockchain is transparent and encrypted, it is a viable solution to online advertising fraud.
This will help companies to accurately determine that there are ads are being served to their targeted audience. Hence, they can save millions on their ad expenses annually.
For example, Ternio is a company that uses a system to recognize and limits bots at the start of sessions. This allows advertisers to serve their ads to their targeted audience.
One of the basic reasons why humans can co-exist is the ability to trust one another.
Similarly, in today's world, trust is needed in to perform transactions.
But through the use of Blockchain technology, you can now comfortably transact business with another person because it provides additional security and better protection for consumer data.
Also, it provides a consensus mechanism that allows multiple individuals to perform business transactions without the need to rely on just each other's words.
With the creation of each additional block, a chain of events can be created.
This chain will provide a record of all the transactions that ever took place between the parties concerned and it does with extraordinary transparency and security.
A side benefit of this is that once the information and record of transactions have been coded in the system, it is impossible for demographic information to be sold unless it is authorized.
Also, if consumers so wish, they can sell their own information to authorized companies.
The common practice for advertisers to gather the information they need to target their adverts is to use various sources to determine the profile of their target audience. This profile includes their sex, age, and earnings. Thus, the process of gathering information is not only complicated but time-consuming.
But now the use of Blockchain technology makes it possible for marketers to determine the profile of their target audience in one place once such target audience is willing to share their information.
This improves the marketing plan of any company. All the chief marketing officer has to do to gain credibility is to survey the right customers to determine what they want.
The peer-to-peer transactions in Blockchain technology make this possible since there would be no need for any intermediary between brands and their customers. Hence, these brands can control the journey of each client through their marketing funnel.
Through the help of Blockchain technology newer and more powerful digital relationships are being made possible in this digital age.
Where this exceptional technology has been deployed, it is better and safer with fraud being reduced to the barest minimum. With more innovations in the future, it is expected that fraud will be completely eradicated in digital advertising.