The marketing of crypto exchanges
2 min read
BDCenter Digital has published a lengthy report related to the marketing of crypto exchanges.
The study focuses on what has happened in this sector from 2018 to 2020, with the aim of understanding how crypto exchange activity has evolved over time, analysing 33 exchanges based on criteria such as availability, website functionality, target audience, traffic sources, marketing channels, affiliate programmes and community management.
The study found that fintech and blockchain companies have virtually no real geographic, physical or demographic boundaries, thus operating in an international and global environment.
In fact, users can trade cryptocurrencies in almost any country in the world, with most major trading platforms available in over 150 countries. This significantly raises the level of competition.
One of the key success factors that can influence traders’ choice is security. For example, as of 2018, none of the exchanges reviewed had caused any loss of funds for its customers as a result of hacking, malfunctioning or neglect.
Trading volumes, after the sharp correction in 2018, grew rapidly in the following two years, and the main websites (Binance, Robinhood and Coinbase) now attract more than 35 million visitors per month. The largest source of this traffic is direct traffic, with over 70% of visits. Traffic from other sites accounts for only 8%.
However, the mobile app is also now considered indispensable for exchanges, particularly for converting new users into regular paying customers.
More than 70% of exchanges now also offer trading in different fiat currencies, while 65% accept credit card payments.
In terms of communication and marketing strategy, crypto exchanges actually follow patterns that are common within the financial industry, with most of the content they produce linked to events and news, with expert commentary included.
They are, however, becoming more active on social media, notably increasing their use of Instagram and YouTube, although the most popular channels remain Twitter and Telegram.
Affiliate programmes remain an efficient customer acquisition tool, so much so that almost all exchanges now have them, whereas in 2018 only half had them.
One area still in the making is that of native tokens. The continued appreciation of major crypto exchange native tokens reveals their popularity, and growing demand. The ones that grew the most between November 2018 and November 2020 are those issued by Huobi, Crypto.com, Binance and FTX. All have gained over 100%.
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