Since the launch of Bitcoin, the cryptocurrency market has exploded, with over 1,500 different types of cryptocurrency all competing for a slice of the ever-fragmenting market. Bitcoin is still the main player though, holding over 60% market share. This means competition is fierce among blockchain technology start-ups and ‘alt coins’ (non-Bitcoin cryptocurrencies) each trying to encourage consumers to buy cryptocurrency.
In such a competitive market, a great marketing strategy is critical. Around 90% of start-ups fail, and a lack of adequate marketing is often a factor. To avoid becoming a statistic, it’s essential you understand how to get your marketing strategy right.
You may have the best idea for your start-up, but if you are unable to communicate it clearly to the right audience, you won’t gain any traction in the market. For example, blockchain technology and cryptocurrency tends to be the domain of technical types. However, you need to engage an audience that is unlikely to have your level of understanding, so it's important to avoid jargon.
Get the right people on board
You may have the technical know-how, but marketing, PR and social media management are all skills you may not have. Bringing the right people in will be beneficial. Too many start-ups try to do everything themselves, without sufficient time, relevant skills or know-how. Unsurprisingly, they don't survive in this competitive market.
Solve a real problem
Some start-ups launch a product for which there is no demand, instead of solving an existing problem. Carrying out thorough market research to understand what your customers want is critical.
If you have a great idea, don’t leave it too late to bring it to market, otherwise you may be pipped to the post by your competitors.
Don’t neglect your marketing
If you don’t invest time in your marketing, and your communication channels fall by the wayside, it won’t matter how good your product is, because nobody will hear about it.
Simplicity is the key!
Keep your communications simple to understand. This can be tricky for techy types who can often be too close to the subject matter to know what to say. Try to step inside the mindset of your readers, or pretend you are explaining it to a friend who works in a completely different field. Remember it needs to be accessible to your target audience if it is to succeed, so don’t blind them with science.
Cryptocurrency’s popularity is partly down to social media and digital marketing, as these channels have helped fuel the demand. However, stories breaking on social media can also lead to greater price fluctuations, as reports on a drop-in value of one cryptocurrency can impact on the value of others.
The decentralisation of blockchain technology also makes data gathering more difficult, as marketeers can’t trace the personal information of those engaging with blockchain platforms. This makes understanding customers and targeting messages accordingly very tricky. In fact, as hacking and cybercrime become more prevalent, users are deliberately blocking access to personal information, by removing cookies, encrypting emails, and also avoiding using their names. This means they have less of a digital footprint, making them harder to target with advertising.
With so much to consider, start-ups and marketeers aiming to gain traction in the world of blockchain have a huge challenge ahead.
Copyright 2019. Featured post.