The advent of ICO has spawned numerous cottage industries – from publications sites to mining farms. I bet that these cottage industries have reaped tremendous profit in the millions to say the least. Publication and listing sites have mushroomed in the short span of 3 years, charging handsome fees for publishing articles, press releases and gold plating ICO projects on the front page. ICOs have spent in the range of USD200k or more on marketing alone.
Having said that, don’t get me wrong, I’m not against capitalism and opportunism, I just feel unfortunate for good projects that are not able to allocate that much to garner the attention that they need.
Is it still rosy out there?
Since the crypto bloodbath started in February 2018, Bitcoin and all the other digital currencies have plunged and have yet to recover at the time of writing this article. The impact can be seen when news of suicides and divorces due to financial distress donned the headlines in weeks that followed.
The number of ICO too saw its decline over the next months that ensued. Public investors are now more grounded to reality given that most of the coins have and will go down in value upon listing. With such bearish sentiment, one wonders: did the publication sites suffer? Yes indeed!
As part of my job to keep abreast with the latest advertising offering, I’ve noticed a significant drop in site visitors between Feb to Jul 2018. A check on www.similarweb.com revealed that even top crypto sites have a drop of about 50% readership.
I’ve had the privilege to chat with some of the owners of the site / sales managers with them divulging times are tough. For instance:
With readership down, what about the advertising rate? Yes and No.
In fact many have gone up for reasons I opine as follow:
- As with many business, prices increases over time due to increase in confidence, past success story, more manpower and etc.
- To account for the shortfall in advertising revenue aside from the fact that there are still headcounts under their payroll.
But one thing for sure, they want your business. I don’t think they can afford to say something like that anymore, could they?
Good news to ICO?
The number of ICOs still far outnumbers IPO and all trying to gain the attention of investors, both private and public. To reach out to them, ICOs still have to do marketing including advertising. The good news is, it’s a buyer’s market now.
In fact they are willing to provide up to 30%-75% discount to agency and advisory firms.
Be sure to bargain or use a proxy to get some costs savings.
Perhaps there will be consolidation amongst the new sites. We’ve already seen many of them cross promote to gain leverage and value add to potential customers. We shall see who will remain until the next bull run!
Personal details and trade information have been blanked out to respect privacy.
Images shown are not to discriminate any party but to highlight the merits of the discussion in this article.