Web3 marketing is the strategic promotion of web3 products and services to attract new users and retain existing ones. It’s different from traditional advertising in that it focuses heavily on community-driven engagement and growth instead of only using centralized media channels.
Many Web3 projects have only recently started realizing that effective web3 marketing strategy is as important as building a great product.
This shift is apparent when you look at projects that have established a strong brand presence and cultivated passionate communities.
But there’s the other side. Even today, many Web3 projects struggle with marketing or mostly disregard its importance because they fail to understand its short term and long term implications.
So, in this article, we’ll delve into and dissect the web3 marketing strategies of some established projects and provide actionable insights for crafting your own successful strategy.
The strategies we’ve mentioned below are by no means an exhaustive list and the same strategy can be applied to different projects. However, they will give you an idea of the strategies you can create for your Web3 project.
Promote Product Updates
Building an engaged community is vital for the success of a Web3 project. It transforms users into brand advocates.
One way to go about this is to share project updates regularly to show the community the continuous growth of the project and the potential value it can provide them.
Take PancakeSwap, for instance. Whenever they roll out a new feature, they create posts that help users quickly understand the feature and obtain value from it.
Create Grants Programs and Conduct Hackathons
Constant innovation fosters trust and engagement within a Web3 community. While internal efforts help achieve this, hackathons and grant-funded research accelerate the process.
These programs draw diverse ideas and skills, creating improvements and new project use cases in a short time. Consequently, the project’s utility expands and it appeals to a broader user base.
Uniswap, a prominent player in the DeFi space, effectively leverages hackathons and grants to bolster community engagement and drive innovation.
Its foundation provides grant funding to contributions that align with the protocol’s focus areas and conducts hackathons offering mentorship from the Uniswap team.
Participate in Podcasts
Podcasts enable brands to connect with audiences that may avoid ads and convey insights more effectively than written or social media content.
This is particularly beneficial for DeFi protocols launching a new product or feature. It allows them to reach a wide audience and boost brand awareness.
For example, Uniswap founder Hayden Adams’ recently appeared on the Bankless HQ podcast to talk about Uniswap X. The interactive nature of the podcast enabled Adams to break down complex ideas and explain how Uniswap X is different from Uniswap and other DEXs in the market.
Share User-Generated Content
DeFi protocols are lucrative as they’re permissionless, inclusive, and pseudonymous. But they’re vulnerable to market risks and exploits or hacks.
Their UI also isn’t as intuitive and user-friendly as traditional fintech apps. These factors create an entry barrier and make new users skeptical of trying DeFi protocols.
This is where user-generated content (UGC) comes in.
UGC is original, brand-specific content created by a brand’s customers. It includes everything from testimonials to tutorials and is crucial when it comes to DeFi marketing. UGC acts as social proof and boosts a protocol’s credibility.
Bancor’s new on-chain trading protocol, Carbon, frequently reposts user endorsements and UGC that educate users on the different features and trading strategies they can use to obtain maximum returns.
Create Compelling Gameplay Content
Players are more likely to quit a game when they spend more time in it, according to a study. That means Web3 games need to retain the interest of the existing community in addition to attracting new players to the game.
One of the best ways to achieve both objectives is to post gameplay teasers like Gods Unchained. They spark excitement and encourage new and existing players to explore the game.
Competitions and tournaments have emerged as strategic tools to enhance player engagement.
They encourage participation by incentivizing players through rewards and bring more publicity. This naturally amplifies the game’s visibility, attracts new players, and improves retention rates.
Galaxy Digital is a great example of a Web3 game that leverages this marketing strategy. They regularly host tournaments and announce the winners on social media.
While the tournaments themselves generate buzz around the game, the public announcements provide players with a sense of validation, which act as a catalyst for continuous engagement.
Run Paid Ads
Given the plethora of gaming alternatives available on the market, it might not be enough to rely on organic strategies to capture a player’s attention. This is where paid ads come in.
The biggest advantage of running paid ads is that they allow Web3 brands to cut through the noise and reach a targeted audience that is more likely to engage with the brand.
Take Sorare, for instance. With paid ads, it can target a specific audience i.e. sports enthusiasts and avoid a broader and less relevant audience as it’s an online soccer game.
Create a Publisher’s Program
NFTs offer novel ways to monetize art and create unique experiences. However, the complex process of minting NFTs can discourage artists from entering this space.
Publisher programs tackle this by providing artists with user-friendly tools, resources, and financial incentives like bonuses and reduced fees. They also promote an artist’s collection to their existing user base to amplify the reach. This eliminates the learning curve and encourages participation.
Publish Educational Content
While publisher programs streamline the creation process, they don’t offer foundational knowledge on NFTs and the underlying blockchain mechanism. This means a significant amount of potential users and artists will be inadvertently excluded from marketplaces due to a knowledge gap.
Publishing educational content bridges this gap by familiarizing users with the broader web3 ecosystem and encouraging them to engage with the platform.
For example, OpenSea prompts a user reading an introductory NFT article to explore the process of purchasing these digital assets. This way, they’ll eventually use the platform to publish their collection or purchase an NFT.
While artists bring creativity and content to the NFT marketplaces, it’s the collectors who drive demand, liquidity, and value. Thus, ensuring a steady influx of collectors is also crucial for the platform’s success.
While crafting educational content is a solid start, it’s not enough to attract collectors to a platform.
So, NFT marketplaces must provide additional rewards like Nifty Gateway did to attract and retain collectors.
The platform conducted a ‘Collector appreciation month’ where qualified collectors earned rewards on select purchases they made on the platform. The system was tier-based and collectors could boost their levels throughout the month by making more purchases.
Airdrops have emerged as a popular marketing strategy to acquire new customers. While they succeed due to the initial buzz and enticing incentives they offer, there’s a risk of churn in the long-term as they attract users who are solely motivated by the prospect of ‘free tokens’.
So, to maximize the potential of airdrops it’s important to use them in the retention stage to reward loyal users like Blur did to transform the initial user activity into long-term engagement.
To learn more about how Blur successfully conducted a $400 million airdrop and took away OpenSea’s market share, check out this article.
Create Content Around Recent Trends
Staying in tune with trends in the ever-evolving digital landscape is pivotal for sustaining the attention of a diverse user base and wider community.
This is where moment marketing comes into play. It leverages current trends to create content that resonates with the audience.
For example, Trust Wallet created a meme around the recent Twitter rebrand. It garnered a lot of engagement due to its relatability and shareability and increased the brand’s visibility and appeal to existing and potential users.
Invest in Sponsorships
Wallets face a unique challenge — they have a high adoption rate but a low product usage rate. This underscores the need to acquire new users and retain existing users in the long run.
One way to address this problem is to sponsor reputable newsletters or podcasts like Metamask does. It boosts brand visibility by introducing the wallet to a new audience and fosters trust as it creates an association with a reputable brand.
Web3 Analytics Tools
Publish Reports and Insights Regularly
Web3 users are always looking to stay updated with the latest trends to make informed decisions.
So, Web3 analytics tools should regularly post industry updates and provide an insightful analysis to meet their informational needs and keep them interested in the platform.
Glassnode, the leading analytics tool for the Bitcoin blockchain posts weekly insights on how the Bitcoin market performed. Such insights provide readers with a comprehensive understanding of market dynamics and position Glassnode as a reliable source of information.
Nansen takes a more dynamic approach and posts and posts daily insights on their Twitter page. By sharing these insights, Nansen not only educates its audience but also engages them in real-time discussions, which boosts their engagement and retains their users.
Incentivize Your Community
Although analytics platforms provide valuable insights, the frequency with which users interact with the platform vary based on their role and needs.
Professional traders and analysts use analytics tools every day. But casual users who may interact with these tools only sporadically. So, it’s important for analytics platforms to boost the frequency of interaction to foster loyalty and reduce churn.
Incentives play a pivotal role in this endeavor. By offering tangible rewards or exclusive access, analytics tools can expand their user base while simultaneously rewarding and retaining their existing community.
Nansen did both — it gave existing users early access to its new version and also set up a referral program to users for bringing in new members so the platform could see sustained growth and loyalty.
Publishing regular research and reports are an invaluable tool to ensure consistent engagement with analytics tools.
But newsletters take this one step further and enable these platforms to stay on top of their users’ minds as they can be personalized for different user personas. For example, Messari offers two types of newsletters so users receive content that’s most relevant to them.
This strategy ensures that users receive content that is most relevant to them, enhances user satisfaction and fosters loyalty.
Marketing and Community Engagement Tools
Create Thought Leadership Content
In the crowded Web3 ecosystem, where tools and platforms emerge almost daily, it’s not enough to have a unique value proposition and a host of features to stand out from the competition.
Platforms should also post thought leadership content to communicate their value effectively and craft a compelling narrative that resonates with their target audience.
For example, Nathan Snell, Raleon’s co-founder and CEO, published a thought leadership piece on airdrop marketing in the Bankless newsletter. Instead of delving straight into how Raleon can help brands set up an airdrop, he shares his two cents on why airdrops don’t work for brands and how brands can make them effective.
This adds a unique spin to the existing content on airdrop marketing and positions him as a credible and trustworthy expert in the industry, which translates into increased brand awareness and engagement for Raleon.
Provide Social Proof
People are likely to trust a tool more and transform into paying customers if they see that others have had positive experiences with it. So, it’s essential to provide case studies, testimonials, and user-generated content to reinforce the efficacy of your tool and build trust and credibility with the customer.
Take Slise, for instance. The Web3 ad platform displays case studies, testimonials, and a list of Web3 brands that have benefitted from their tool to convince users to start running ads on their platform.
Set Up Quests
Quests provide users with concrete rewards for accomplishing platform-related tasks or gaining insights. When combined with leaderboards, they foster a positive competitive spirit within the community.
So, they serve as an effective strategy to amplify user activity and achieve user retention.
We’ve set up an Embedded Quest on the Raleon website to educate users on how they can use our platform to acquire, grow, and retain customers. The best part is that users can complete quests within our platform.
This ensures a smooth, uninterrupted experience, increasing the likelihood of sustained user interaction and platform loyalty.
How to ensure that Web3 marketing is not a failure?
To ensure successful Web3 marketing, it’s crucial to stay updated with industry trends, engage authentically with the community, and provide valuable, educational content that addresses users’ needs and concerns.
What are the challenges of Web3 marketing?
Web3 marketing faces challenges such as navigating a rapidly evolving technological landscape, addressing skepticism and misconceptions about blockchain and cryptocurrencies, and building trust in a decentralized environment.
Create an Effective Marketing Strategy with Raleon
While creating a Web3 marketing strategy might be challenging, understanding which strategies work and why, and using the right marketing tools makes the job easier.
This is where Raleon comes in. Its Action Prompts and Embedded Quests amplify user activity and engagement while its analytics tools help you understand your customer journey better and figure out which users are at a risk of churn. Try out Raleon for today to see how it can help attract new users and improve retention.