The blockchain is difficult to understand for a lot of people in the first attempt. However, as soon as you understand what Blockchain is, it doesn't seem much interesting. In short, Blockchain provides a simple way to store, verify and secure data.
For instance, if you are a digital consultant, they blockchain technology may turn your business to the top in the near future. It may be difficult to implement in your business, but as soon as you get it, you will lead the market.
As per MediaOcean, up to 75 cents of each and every marketing dollar which is spent on buying programmatic ad doesn't reach the publisher. This is known as “tech-tax”.
So where do that 75 cents go? Here, some of it is simply wasted on ads which are never seen by real people. Apart from this, there must be a data onboarding fees, and also markups along the way from the collection of vendors between the publisher and marketer. Also, some tasks are manual for many agencies, such as reporting. This cost is also passed to advertisers also.
Suppose we possess a person who is offering valuable good or services. Here, the publisher has an ad inventory to sell. We also possess a marketer, who desires to purchase the inventory.
Now, consider there is a secure digital ledger which could track programmatic inventory from the publisher, then it passes its journey from the maze of middlemen, hence market has full transparency on how much they are getting from their budget.
Blockchain can solve this issue. Due to this, some of the world's biggest companies like Pfizer, Kellogg, and Anheuser Busch, are reaching blockchain companies and collaborating with startups piloting technology formed to put a light on the “tech tax” formed in the media supply chain.
What measure should you take if you run a digital agency to prepare for destructing ball of blockchain hitting your business?
Have Patience
The public is mainly 3-5 years behind the digital market. On the basis of what you think, blockchain will not drop upon programmatic in a significant way in the next few years. If you consider public latency, then it would take 5-7 years before campaign clients anticipate this kind of transparency.
Accept it early
Eventually, as an agency, your margins will be cut, however, transparency is great. Your clients will encourage it. Also, they will feel great as you are using the latest technology so that they get the best of their budget.
Add more value
Agencies require to add more value in order to justify its margins. This is no much problem in campaigns. Here, Relationships play a vital role and skill is very much required in technology. There must a system to guide the clients.
Obstacles in Blockchain Ad Technology
Even though there is a great chance, but blockchain ad technology might not launch in the market. Data standardization and speed to handle real-time bidding in the ad market hasn't yet discussed in the blockchain.
Also, some big advertisers banking on blockchain might not be trusted. Please note, bitcoin is not owned by anyone, it’s a public blockchain. This is a wrong belief that ledger can't be altered by any third party. There is no such ensures in a private blockchain which is run by profit-generating firms.
We all know that Blockchain is connecting a wide range of buyers and sellers without any need of middlemen. From this, we can conclude that until now the digital doesn't require a middleman.
