Web3 is changing how we think about marketing. The market is growing fast, and new ideas are popping up all the time as we get into 2025. Let's take a look at how wallet advertising works in this new world, what's good about it, and what we need to think about. Web3 has some of the best marketers around because it's so competitive. There are lots of wallets and games to choose from. To market well and understand your audience, you need good data. The marketers who shine are the ones who know their numbers inside and out.

How is data analysed for targeted advertising?

Analysis of Blockchain Data

Advertisers study openly available blockchain data to get a sense regarding users' on-chain behaviors. This includes assessments of token holdings, transaction history, and the kinds of Dapps interacted with and any insights from blockchain explorers. By knowing these signals, advertisers can compose messaging that will resonate with distinct segments of users.

Wallet Targeting

Wallet addresses are unique identifiers that enable marketers to create custom audiences based on users' on-chain behavior. For example, a marketer might identify users who frequently trade NFTs and serve them ads offering access to exclusive NFT drops. This targeted approach allows advertisers to reach individuals with relevant interests and investment strategies, increasing the likelihood of engagement. This is key to any advertiser looking to boost their ROI on ad spent.

Cross-Chain Compatibility

More advanced platforms aggregate data from multiple blockchains to enable cross-chain targeting. In this way, a marketing campaign could use data about the same user from Ethereum, Cardano, Polkadot, Solana, and Binance Smart Chain in determining whether they have interacted with DeFi applications on each of those networks. This ability to reach more users increases compatibility for advertisers.

Clearly games take a lead when it comes to Unique Active Wallets, therefore marketers should focus on niches like gaming and DeFi to bring out solutions to sending targeted messaging to wallet owners.

How are ads delivered to users?

Ads in wallet advertising come as NFTs or tokens built right into the wallet's look. This way of showing ads makes sure they don't look unappealing to users and can feel like part of using the wallet. This is kind of like how social media ads work now in Web2.

What are the benefits of wallet advertising?

Hyper-Targeted Campaigns

Wallet advertising enables marketers to create hyper-targeted campaigns based on users' actual blockchain activities. The accuracy can increase conversion rates more significantly than traditional methods of advertising.

Tracking Performance

By monitoring the performance of their campaigns through subsequent onchain actions by targeted wallets, advertisers can track performance. This tracking gives insight into marketing strategies and allows real-time adjustments. However difficult this may sound, the transparency and open-source data is a great way to measure outcomes of marketing campaigns across chains. Maybe you come to know that your product more aligns with Polkadot community than with Etherum, this can help refocus your strategy. User Privacy Considerations One of the major strengths in wallet advertising is its orientation to user privacy. Because personal data is not directly exposed, this approach respects the decentralized ethos of the Web3 environment, appealing to users who are very private about their lives.

What data points are used for creating user personas?

Personas in the form of wallet profiles are created from several sets of data derived from user blockchain activities. The important metrics include:

Token Holdings

Token types and token amounts present in the wallet.

Transaction History

Patterns of sending and receiving funds.

Smart Contract Interactions

Which Dapps a user interacts with.

Cross-Chain Activity

Transactions occurring across a variety of blockchain networks.

Wallet Balance

Sum of the value of ads in a wallet that a user owns.

Transaction Partners

Other wallets and entities that a user has transacted with.

Wallet Usage

Analyzing behavior: Whether a given wallet is active enough, holds long-term, spends daily, receives periodic staking awards, and so on.

These data points will enable advertisers to create highly detailed profiles that inform targeted advertising strategies.

How does social media data enhance wallet profiles?

The integration of social media data into wallet profiles enables deeper insights into users' behavior. Matching crypto wallet addresses with social media profiles, marketers can enrich their audience insights toward more personalized ad campaigns. Social media engagement gives more context to users' interests and preferences to complement onchain data.

User acquisition strategies tailored for decentralized ecosystems

Wallet advertising is a fundamental shift in how marketing is going to be carried out in the Web3 space. It allows advertisers to run targeted campaigns by using blockchain data and user privacy.

Targeted marketing in Web3: Data driven wallet advertising