The conversion problem in traditional marketing can be solved by Web3 technology. The limitations of Web2-style digital marketing are due to the lack of meaningful interaction with users. Despite the opportunities presented by social media, traditional marketing still places the user at the end of the communication chain, resulting in low conversion rates. This leads to a significant waste of marketing budget, with over 95% of digital marketing efforts seeing no conversion. For a market expected to reach $689 billion by 2028, this is a substantial amount of money being wasted.
To address the lack of conversion, transparency, traceability, and superior analytics are needed, which are features inherent to blockchain technology. This is why marketing has become a prominent trend in the Web3 space. Web3 startups have embraced marketing as a way to engage with the community and attract new users. Tokens have become an integral part of building a two-way interaction bridge, giving rise to a concept known as MarketingFi. Airdrops and social farming have become essential elements of Web3 users’ lives.
Web3-based projects have utilized airdrops and social farming to boost community engagement. By incorporating token mentions on social media platforms like X (formerly Twitter), projects have successfully kept the community actively engaged. For example, BlockGames and Portal Coin initiated token airdrops for various social media interactions and saw significant success. The PORTAL token’s value increased by 68 times, while Block Games gained almost a million followers on X.
However, as Web3 airdrops gain popularity, they also attract bad actors who exploit the system through minimal engagement or bots. This undermines the support genuine users provide and hampers project growth. To overcome this issue, AI-powered analytics can be used to incentivize genuine community interaction and prevent bots and token farmers from impacting airdrop campaigns.
One such project utilizing AI-powered analytics is Cookie3. It is an AI data layer designed for the MarketingFi space and aims to deliver a transparent marketing economy. By combining social farming with referrals, key opinion leader engagement, analytics, and AI data layer, Cookie3 seeks to establish new standards for Web3 marketing campaigns. The COOKIE token airdrop conducted by Cookie DAO attracted over 100,000 participants in less than a week, demonstrating the success of their approach.
Web3 enhances user engagement by leveraging blockchain’s transparency and traceability. By using AI to score user actions both on and off-chain, rewards can be directed more effectively to genuinely engaged users. This shift prioritizes meaningful engagement over mere participation and promises a future where active community members are valued in the digital landscape.
Please note that some functionalities of Cookie3 are still under development and not yet live. The information provided in this article is for informational purposes only and should not be considered as investment advice. Readers should do their own research before making any decisions related to the company mentioned.