If you have been investing or been following banking or cryptocurrency, then you must be aware of the term “blockchain,” the record-keeping technology behind Bitcoin. The other scenario that arises here is that you must have searched for the definition of bitcoin, which says, “Blockchain is a distributed, decentralized, public ledger.” The fun fact here is that blockchain is more straightforward than it sounds.
What is Blockchain?
If this technology is so sophisticated, why is the name so simple? This is because, at its most basic level, blockchain is just a “chain” of “blocks,” but no in the traditional sense of these words. The words “block” and “chain” in this context are actually talking about digital information which is stored in the form of “blocks” and stored in a public database or the “chain”.
In a more straightforward way, blockchain is not centralized at one place or by one organization but at multiple locations by multiple companies. It is a database which is governed by not one but many actors.
The first-ever blockchain was created anonymously by Satoshi Nakamoto and was used to record and process data of bitcoin securely. However, the blockchain has increased to many different areas. There are many blockchain development companies which create marvelous software to implement in various areas such as:
- Smart contracts
- Management of identities
- Payments across borders
So, how is this all related to digital signage? But before that, just a brief on what is digital signage?
What is Digital Signage?
Most of us know Digital signage as the digital installation for the display of multimedia content or video for advertisement purposes. When we step out of our houses, we are surrounded by such signages at the bus stop, at the railway station or airports.
If you’ve ever visited New York City, there is a place called Time Square where all you see is buildings covered with digital signages.
Digital signage is the most traditional way of advertisement since the start of the digital era. It is easier to maintain than billboard or hoardings, which could be used only once and had to be completely changed for a new advertisement.
The question now is how blockchain will transform digital signage?
Transforming Digital Signage.
A decentralized ledger like blockchain can impact digital signage in many innovative ways. VODXS is a company which is already using blockchain to process their work. This company deals with digital display water faucet systems.
This means instead of a mirror above the water faucet, there is a display screen that can be used for displaying digital advertisements. The technology used here is blockchain which confirms whether an individual customer viewed the ad or not.
“Every VODXS faucet is connected directly to the blockchain, and as soon as this presence is noted, the faucet puts this information into a transaction on the network. Nodes pick up these user presence indicators and validate whether the indication is likely to be confirmed,” said Alex Mardikian, CIO and board member, VODXS.
There are four more ways to how Blockchain will transform digital signage advertising. Let’s discuss them all in detail.
Four ways Blockchain will transform digital signage advertising.
If you stick to newer technologies like blockchain, it will empower customers themselves to choose which marketers they wish to hear from and all this while getting paid for it! Yes, the concept of blockchain is powerful enough to disrupt our world on many fronts, but marketing will be the most exciting one.
In the advertising and marketing world, blockchain-based protocols could change how online advertisements are bought and sold. This means their purchasing, delivery, measurements and values all can get better with the introduction of blockchain.
The following are the top four ways blockchain could contribute to ad and marketing space.
Establishing trust with ad buys:
Many times when companies pay for the online advertisement, they may see a massive number of views and likes on their advertisement but the impact of it on their business comes out to be very less.
This happens when advertising companies use bots to generate likes on your ad and shows you a result which is virtual and not real. In such scenarios, firms must consult a software development company that deals with blockchain technology. Research shows bots cost companies more than $7 billion in damage in 2016 alone.
Blockchain has the power to help you differentiate the actual impressions and the bots on your advertisements, saving you a lot of money and effort. In layman’s term: companies can make sure they get the ad they pay for.
No more middlemen
One Forrester analyst estimated that publishers removing middlemen could increase their CPM from $1 to $5. Blockchain is expected to do much more than this. It could eventually shake the marketing strategies so much that companies can directly pay their targeted audience to view their advertisements.
By using “micro-currencies”, companies can compete eagerly for actual audience “attention” and not just imprints. For instance, The Brave Browser uses its Basic Attention Token (BAT) which allows advertisers to pay based on the mental efforts of the person viewing the advertisement.
Choosing a better target audience
In the past, the audiences were categorized on the database which was collected from different sources such as one which stated age and sex, the other their salary, and others which tells where they like to dine.
But with the use of blockchain technology advertisers will have the ability to build a customer profile directly from the customer gaining all the information the patron is willing to give in one go.
This also increases the genuineness of the target audience and helps you invest only in those who are willing or most likely to buy your product.
There is nothing like practically checking the genuineness of the company. The patron cannot invest thousands of dollars on a watch or handbag, to find out the product is counterfeit.
In such scenarios, blockchain’s digital ledger system allows for tamper-proof transparency of every product’s movements through the established supply chain. This means that buyers can quickly check where a product has come from, who has been handling it, if it is legit or not, whether they are purchasing from an online auction or a real-life storefront.
All this puts tremendous power into the hands of the customer, enhancing the customer’s experiences. Certain companies, such as the Baby ghost fashion line, have even used blockchain to tell stories about their products. This included the person who modeled it on the runway.
While considering all this, blockchain does more than just creating trust. It builds brands.
Let’s Wrap Up.
There is still room to see these opportunities for blockchain to blow up. After all, certain companies stand to lose in the new blockchain marketing era, and they are the giants of the marketing world.
Still, if we believe that digital transformation is all about customer experience, then blockchain’s entrance in the industry will be long-lived. It will mean fewer unwieldy pop-ups while browsing. It will also enhance the customer-company relationships with the companies we as a consumer want to support.
All this will be possible only if you, as a business, choose the right blockchain development company and start implementing blockchain in your digital signage for advertisement.