Answer truthfully – what do you think about modern day advertising?
If you think adverts today are overbearing, suffocating and often disingenuous you’re not alone. Numbers don’t lie – more and more people are using adblock every day. People simply don’t want to be misled and taken advantage of.
Generation Z are the most skeptical of all, with reportedly more than half of individuals stopping their use of social media due to adverts and nearly half believe that influencers aren’t authentic.
Interestingly, marketing isn’t just getting worse for consumers. Advertisers are having an increasingly hard time as consumers become more skeptical and attention spans dwindle. Not only that, but more than $6 billion is lost every year due to click farms and advertisement fraud using bots.
People are still highly influenced by people they trust. Almost 50% of purchases are made based on peer-to-peer recommendations, also known as word-of-mouth. It’s the oldest and most effective product persuasion technique there is because it’s built on two key morals: being genuine and trustworthy.
Enter WOM Protocol (Word-Of-Mouth)
WOM is building a blockchain-based protocol that will give brands, content creators, publishers and social networks a way to monetize word-of-mouth recommendations on any platform.
WOM believe that the future should be, and can be, ad-less. To achieve this WOM are taking on the global $240 billion advertising business with an all new solution that could bring brands and consumers closer together to re-ignite trust.
How Important is Word-of-Mouth?
The WOM team have recognised the plethora of pain points associated with advertising and are leveraging blockchain technology to re-vitalize marketing and give brands an opportunity to access genuine world of mouth recommendations – something that has never been done before.
The marketing industry knows that customer referrals are the highest converting form of advertising. Word-of-mouth recommendations are shared 2.1 billion times every day online, but there is no effective way for these recommendations to be identified, tracked and compensated… until now.
This is a new way to monetize an age old concept. Influencer marketing is continually eroding consumer trust, but word-of-mouth recommendations from trustworthy sources continue to be highly regarded.
An entire ecosystem can be built using blockchain that creates value, builds trust, ensures fair compensation and most importantly exists without one central controller. WOM aims to be totally decentralized – owned and controlled by all network contributors using the WOM token.
How it Will Work
Brands will be able to leverage honest recommendations that are created by real fans on any content platform.
Once the WOM Protocol is enabled on a platform, users of the platform will start earning tokens by providing and sharing genuine product recommendations.
For every word-of-mouth suggestion that is made, ‘authenticators’ identify and validate authentic recommendations which allows WOM content to be logged and rewarded. Consensus is reached by rewarding authenticators for agreeing with the majority and penalizing authenticators by taking WOM tokens if they deviate from the majority.
Independent decentralized applications will connect brands to the WOM ecosystem with no third party involvement, allowing brands to manage campaigns as they see fit. All payments will be handled through smart contracts so creators are fairly and reliably compensated.
Why Platforms Will Want WOM
WOM isn’t just great for advertisers and consumers – content platforms are able to benefit too.
Content platforms are incentivized to implement WOM Protocol because they will receive a portion of the generated revenue. Over time the aim is to eradicate the reliance on advertisement revenue. Instead, improving user experience and growing the user base will be the main focus as that will grow the WOM community and increase revenue.
Your favourite content platform or social media network could build WOM Protocol into their infrastructure and gradually start to phase out old school adverts as the future of advertising begins.
Adidas – Ahead of the Game?
YEAY is the first platform to adopt WOM, with more than 800,000 users and 170,000 registered users it’s a promising start.
Adidas was the first brand to buy WOM tokens and is now using the WOM Campaign Manager to build the first marketing campaign to be executed on YEAY.
The Daily Chain
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*Disclaimer – WOM Protocol are our Media Partners and therefore this content is sponsored by them. The fees paid by this project are used to pay for The Daily Chain salaries, dev work, hosting services, travel expenses etc.. that are required to make this company a success and continue to provide the community with great content on a daily basis.