Business

Blockchain Technology To Decentralise Marketing

In the traditional affiliate marketing system, the merchant pays commission to an affiliate marker in a two-way transaction. However, in today’s affiliate marketing systems at least three parties are involved in every transaction. The third-party is commonly a direct result of affiliate marketing websites acting as a middleman. As a result, businesses on the Blockchain have been working on solutions to cut out the middleman and put the balance of power back into the hands of the affiliate and merchant.

Understanding affiliate marketing

Currently, the main problem with third-party intervention lies in the transaction that occurs when the merchant’s commission-based payment is made to the affiliate marketer. Payments are made when the affiliate marketer uses his/her sales channels to recommend the merchant’s product/service, and that recommendation results in a sale for the merchant. In today’s affiliate marketing environment, third-party affiliate networks have taken over this transaction.

An affiliate network acts as a broker between merchants and affiliate marketers. With this system in place, both the merchant and affiliate marketer pay a fee to the affiliate network for every transaction.

In addition to these fees, there are numerous complaints about affiliate networks underpaying, setting very high milestones before paying out, refusing to pay, working with unscrupulous affiliate content publishers negatively affecting the merchant’s brand reputation and more; while there is also the issue of affiliate fraud.

It is these nuances caused by affiliate networks that have become the focus of blockchain gurus and solution-based businesses working on the blockchain. Now there several new solutions coming out on the blockchain to put the affiliate and merchant back in control.

Decentralisation is the Blockchain Solution

Blockchain experts see decentralisation as the key to reviving the affiliate marketing industry. Blockchain technology in development aims to link merchants with marketers directly. Together both parties will be able to track clicks and conversations as well as collaborate with each other by cutting out the middleman affiliate networks.

Currently, one such project already putting this concept into practice is Attrace. The Attrace network brings together merchants and affiliate marketing content publishers to engage. The system also gives both parties the ability to tack link clicks as well as conversions. A key advantage with the Attrace system is merchants can identify the content publishers and content being used to contribute to linking clicks and sales. 

On the financial side of Attrace, smart contracts are put in place between merchant and affiliate marketer, where certain goals and objectives can be agreed in order for payments to be released. As there are just two parties involved, both can maximise the financial value of the partnership with no third-party fees involved.

RefToken is yet another affiliate marketing project in progress on the blockchain. RefToken’s outlook is much the same as Attrace, but also includes the additional luxury of merchants and sellers being able to rate each other. The idea is to motivate members to act with integrity over the RefToken network and build a reputation. 

It is also worth looking into Affiliate Coin, who have also brought out their own decentralised affiliate marketing solution on the blockchain to remove the middleman.

In short, once again blockchain technology has once again ventured into the unknown and is working on putting the power back into the hands of the people. Rouge affiliate networks and the third-party fees they charge could very well be a thing of the past. Furthermore, merchants that opt to incorporate affiliate marketing blockchain solutions have more control over their own brand reputation.

See more on how blockchain is revolutionising businesses.

James Donaghue

My name is James, but most people call me Jim. I am a proud father, I enjoy playing sports and I love to travel. Another hobby of mine is keeping a close eye on the blockchain and its development. I have been investing in cryptocurrencies since early 2017; however, my journey into the blockchain began in 2015, which stemmed from a career in FOREX. Since that time I have provided regular market data analysis reports on the financial performance of mainstream as well as lesser-known currencies and ICOs. More recently I have become a regular blockchain news writer and research contributor.

Related Articles

20 Comments

  1. Although the museum was talking about the national economy and the people s livelihood, and was even closely related to the livelihood of the common people, but for a domestic slave like him, it was not enough buy cialis cheap Wow does this stuff work

  2. In short, artificial insemination is a process where a man s sperm is deliberately placed inside a woman s reproductive tract in hopes of getting it closer to her eggs. body building forum clomid Your sleep will likely be broken up during the first few months because your baby will need to eat during the night.

  3. These subjects still exhibited the improvements in perceptual performance associated with training under donepezil even though they had not practiced the task or taken donepezil for several months before testing. doxycycline interactions with alcohol Contimycin and Contimycin CAP are indicated for treatment of Rocky Mountain spotted fever, typhus fever and the typhus group, Q fever, rickettsial pox, and tick fevers caused by Rickettsiae.

  4. will continue to improve and this willsupport Fed tapering plans and see interest rate differentialsmove in favour of the dollar, said Niels Christensen, FXstrategist at Nordea, who sees the euro at 1 priligy seratonin This RVD response occurs via efflux of K, Cl, and organic osmolytes accompanied by osmotically obligate water loss 20, 28

  5. But taking a specific Panax ginseng product Ginseol K g1 daily for 8 weeks does not reduce blood pressure in people with mildly high blood pressure clomid 50 mg Current data revealed that anordrin inhibited tamoxifen induced TG accumulation in a mouse liver, suggesting that anordrin can eliminate tamoxifen induced NAFLD

  6. Natural pain relief alternatives for horses. There are
    so many pharmaceutical medicines designed specifically to help horses deal
    with all types of pain but the problem with these is
    that they generally have side effects if they’re used for prolonged periods of time.
    The good news though is that there are a number of natural
    alternatives to.

  7. Hi there, just became aware of your blog through Google, and found that it is really informative. I am gonna watch out for brussels. I?ll be grateful if you continue this in future. Lots of people will be benefited from your writing. Cheers!

Leave a Reply

Your email address will not be published.

Close