The secret to Web3's value lies in decentralization, which turns projects into networks, and allows them to leverage those webs to drive growth.
Core to this is building and leveraging a robust commmunity. Whereas Web2 projects are limited to stagnant relationships between producers and consumers, Web3 technology allows those consumers to develop, market, and own that product.
Today's newsletter is full of insights on what makes Web3 marketing unique, straight from Outlier Staff and the community which make this possible 👇
Looking at the current state of marketing, Web2 marketing has become an integral part of today’s business landscape, and it’s hard to imagine what it’s like without it. Nevertheless, its presence has lost its effect for many reasons.
A good way to understand the difference between Web2 and Web3 marketing is to compare their marketing mixes.
Web2 marketing is not user-centric and is instead geared towards the masses with little incentives to engage.
Web3 marketing is user-centric, aimed at building customer relationships and interactions and reciprocal value creation. The relationship is fostered by shared ownership, exclusivity, culture, and incentives.
How can Web3 marketing solve the issues of Web2 Marketing?
Decentralization
Immersive experiences
Micropayments
User ownership
Community building
Analytics
Overall, the biggest opportunities for Web3 marketing are centered around the unique features and benefits of decentralized technologies, such as transparency, personalization, and user empowerment. Web3 marketing solves several pain points that Web2 marketing is experiencing,
How does Web3 Marketing differ from Web2 Marketing?
We asked the Outliers
The top answers from our poll here:
I'm hopeful for how the decentralized creator's economy could change our approach to marketing altogether. It will no longer be which corp drops the biggest amount of cash on a marketing ploy but more community response driven. Social media algorithms won't be able to buy -
Web3 marketing is allowing firms and individuals chose which data points would like share about, with whom, for how long, and maybe at what price to get directly in their wallet...A Web3 approach would rather be I'm fine to sell my specific data but I can monetise it too and choose to stop basis our agreed smart contract. Web2 doesn't allow any of this currently in simple way.... - Surabhi Gaude
↪ Community Building: When I hear "Web3," I immediately think of community. Users are co-creators of the brands and ↪ Value Exchange: Consumers are rewarded for engagement. They have a stake in the brand's success, fostering loyalty and reciprocity. - Laura Stancescu
Account Abstraction (AA) Clearly the number one topic of the conference was Account Abstraction, (modular) smart wallets, and a lot of emphasis on UX in general. This is a very good sign as it indicates that the space is preparing for the next big wave of user adoption.
Liquid Staking Derivatives (LSDs) <> LayerZero
The LSD market is highly competitive and a lot revolves around fee optimizations, aiming for more decentralization in terms of validator choices (keyword: permissionless staking), and the potential implications of re-staking.
Re-staking = potentially more yield and RISK
Token Engineering (TE) I It was encouraging to see the fast growing and vibrant Token Engineering community. We had a dedicated track for a whole day. This growth is a clear indication for more maturity of the space.
On the infrastructure side, IPFS Program Manager Ruth Galvin says...
Wallets & Account Abstraction was a hot topic. Users want applications, not wallets. Need to make the wallet invisible without compromising on self-custody. AA enables that through multicalls, sponsored transactions, acc recovery/guardians, session keys etc
Compute over data - Instead of sending the data to the computation process, the data remains in it's original place and computation where computation is done. This enables people to exchange data whilst preserving privacy because the data stays with the producer)
Verifiable computing / Proof of computing - Important with the rise of AI and is an example of why Web3 is important to the future of AI.
What are investors interested in? Head of Fundraising, Gvantsa Chkuaseli says
Trending topics include: ZK, Innovative DeFi (LSTs, capital efficiency), Account Abstraction, and Infrastructure.
This fits well with what the majority of investors are interested in, in terms of their thesis and investment. Investors were excited about
Infrastructure
Innovative DeFi
ZK
Scaling solutions
🚨Partnership Announcement
Outlier are proud to welcome Mina Foundation as an Ecosystem partner for Outlier Ventures' upcoming Zero Knowledge Base Camp
Mina will offer workshops & mentorship to successful ZK cohort teams, giving founders the support they need to innovate privacy and scalability solutions.
