Although cryptocurrencies are no longer new, some people are still skeptical about investing in these digital currencies. A survey found that more than 40% of respondents said cryptocurrency is too risky or too confusing. For this reason, they are unwilling to invest in crypto and would instead stick with stocks and investment funds to increase their wealth.
Fortunately, effective marketing strategies can allow businesses to change the perspective of skeptic investors. With marketing campaigns, crypto organizations can increase their brand awareness, enabling individuals to learn more about the nuances of cryptocurrencies. This tactic can also provide businesses with an opportunity to generate positive publicity that can assure investors of the reliability of their brand, even if prices can become volatile. This is why marketing is indispensable in promoting products and services, including cryptocurrencies.
Here are four examples of crypto marketing tactics that businesses can use:
Social Media Marketing
According to statistics, the expected number of people using social media in 2023 is 4.74 billion. That’s why it’s no surprise that most enterprises use social media marketing today. With this strategy, crypto businesses can easily enhance their brand awareness since they can simultaneously post on various social media platforms for a lower cost. This includes platforms such as Facebook, Twitter, Instagram, and LinkedIn. They can also increase their user engagement since social media can be an avenue for businesses to address the concerns of potential crypto investors. By providing prompt answers to queries, individuals can experience a boost in confidence and knowledge toward investing in crypto.
Another strategy that organizations can apply is referral marketing. This is where businesses provide current customers with rewards when they successfully invite their friends to try a product or service. In the crypto industry, where prices and company reputation are volatile, having a solid word-of-mouth marketing strategy can help businesses secure more customers, especially those who are hesitant about crypto because they’re more likely to trust their friend’s opinions. Indeed, our article on referral marketing revealed that 92% of customers follow their friends and family’s recommendations more than most advertisements. Through a referral marketing approach, it will not only make existing users active advocates of the brand, but it will also increase potential users who will similarly promote the brand to more people.
A recent marketing strategy that other crypto businesses are doing today is airdrop marketing. With cryptocurrency airdrops, companies provide tokens to active crypto traders to promote a crypto project or product. They can be acquired for free or in exchange for promotional activities that will help spread the word about the brand. By giving away freebies, businesses can garner attention in the market, especially on social media, allowing them to increase their existing consumer base. One company that launched this exact campaign is Optimism. To reward the early adopters of their platform, they released over 249,000 OP tokens, ultimately leading to more people discovering their company.
Finally, another proven marketing tactic that businesses use is affiliate marketing. Although they’re similar to referral marketing, this method is more credible since individuals and businesses need to be qualified to be part of a company’s affiliate program. For instance, Binance’s affiliate program requires individuals to have a subscriber base of 5,000 followers on one or more social media platforms before being accepted to the program. Because of this, not everyone can become an affiliate. However, this enables crypto companies to guarantee that a reliable influencer promotes their brand. And even if they’re stricter, Binance incentivizes their affiliates generously since individuals can potentially earn up to 50% of the transaction fees generated by their referrals.