Blockchain can create more efficiency and transparency in digital marketing, according to German study
New OWM study emphasises need for industry-wide stakeholder involvement
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The German Advertisers Association (OWM) recently released the findings of a study on blockchain technology they conducted in early 2019.
OWM found that blockchain has the potential to create more efficiency, transparency and ultimately trust in the digital advertising ecosystem. However, the study also revealed that the technology is not yet ready for the German market in terms of feeding it into real-time operations including programmatic advertising, due to development and time costs outweighing potential benefits.
The study also found that blockchain’s market maturity is currently limited, but there is potential for the technology to address various industry challenges when it comes to ad fraud, supply chain transparency, media buying and procurement, reporting and attribution, data quality and data protection.
OWM Managing Director Joachim Schütz said: “The results of the study show that blockchain has potential which should now be developed. Based on the core OWM call for more transparency in the digital supply chain, the study has confirmed that modern technology applications in marketing can potentially bring about ad fraud prevention, improved reporting and greater control of the media buying process.”
In Germany and in most countries, active blockchain projects are scarce and mostly at their early stages. The study concluded that blockchain is a future technology that could potentially greatly optimise advertising activities but will take several years to implement and will require all stakeholders in the ecosystem to get involved on meaningful pilot projects and industry-wide standards and initiatives.
OWM conducted the study with digital strategy consultancy vonwerschpartner and involved researching existing studies, reports and tech suppliers and conducting expert interviews with advertisers, agencies and blockchain technology providers. The results were then developed into application scenarios and analysed for their feasibility.
You can download the findings (in German) here. For more information, please contact OWM.