How Blockchain Technology Can Benefit Marketing

How Blockchain Technology Can Benefit Marketing

Marketers today have many tools and data at their fingertips—enough to optimize campaigns, target precisely, and prove impact. But despite that, major cracks remain. 

For instance, up to 22 percent of digital ad budgets are lost to fraud, with global losses hitting 84 billion dollars in 2023. Forty-one percent of marketers say they still can’t effectively measure channel ROI. And privacy fines are no joke, with penalties reaching up to 20 million euros under the General Data Protection Regulation (GDPR).

These gaps expose the need for better verification in digital advertising. The current infrastructure simply doesn't provide the transparency marketers need.

If you're a marketer looking for a better way to track performance, reduce waste, and stay ahead of data regulations, blockchain might be just what you need. 

Why blockchain, exactly? Read on as we discuss:

  • What blockchain is and how it applies to marketing

  • How leading brands are using it to solve real marketing problems

  • Other benefits blockchain offers for marketers and consumers

  • The limitations and risks you need to know before diving in

At the end of this article, you’ll know exactly how blockchain can help clean up your marketing spend and improve performance tracking.

What is blockchain, and why does it matter in marketing

You’ve probably heard of blockchain in the context of cryptocurrency, but its use goes far beyond. At its core, blockchain is a type of database, but unlike traditional databases, it isn’t stored in one central location. Instead, it’s a decentralized ledger: a continuously growing list of records, called blocks, linked together and shared across a network of computers. Once data is recorded in a block, it’s nearly impossible to alter without changing every block after it, which makes the system extremely secure.

In marketing, this matters because it introduces a level of transparency and accountability that the industry has been missing. Every transaction, click, or data exchange can be verified and traced. That means no more guessing if an impression was real or if campaign performance data was manipulated—blockchain locks it in.

It also strengthens security. Data is encrypted and spread across multiple nodes, making it far harder to breach. And since blockchain can be designed to give users control over their personal information, it creates opportunities for marketing that respects privacy while still delivering results. As privacy regulations tighten and consumer concerns grow, this built-in security becomes essential rather than optional for forward-thinking marketers.

But how does all of the above play out in the real world?

How marketers are using blockchain today

Blockchain’s promise becomes real when you look at how it’s being used to fix some of marketing’s most persistent challenges.

  • Transparency and trust: IBM, a global tech company, partnered with Mediaocean, an ad tech platform used by many major advertisers to manage media buying. Together, they built a blockchain-powered system that records every transaction across the media supply chain. Instead of relying on post-campaign reports, marketers get a real-time, shared view of who’s spending what, with whom, and whether the ad was actually delivered. This level of visibility helps teams make faster, more informed decisions—and reduces the budget lost to hidden fees and markups.

  • Privacy and data control: Brave is a privacy-focused web browser designed to block third-party trackers and invasive ads. It gives users the option to view ads in exchange for Basic Attention Tokens (BAT), a blockchain-based reward. This setup flips the script: users control what data they share, and advertisers engage with a willing, verified audience. This helps brands build first-party relationships while meeting privacy regulations—a growing priority for marketing teams worldwide.

  • Ad fraud reduction: Loyyal is a blockchain platform that helps companies run smarter loyalty and rewards programs. It uses smart contracts—automated digital agreements—to ensure rewards are only issued when real, verifiable actions take place. This reduces the risk of fraud and system abuse. This same approach helps digital marketers ensure they're paying for real ad impressions from actual customers, not bots, directly improving marketing effectiveness.

Additional benefits for marketers and consumers

Beyond solving major pain points like fraud and privacy, blockchain brings several added advantages that can reshape how marketing works for both brands and audiences.

Better tracking of return on investment

Because blockchain creates a permanent, tamper-proof record of every action, marketers can trace results back to specific touchpoints with greater accuracy. Whether it’s a click, a purchase, or a reward redemption, every interaction is logged in real time. That kind of visibility gives teams a clearer understanding of what’s working and what’s wasting budget.

Direct brand-to-consumer engagement

Even when brands run their own campaigns, they often rely on intermediaries like Meta for ad targeting, Salesforce for CRM workflows, or third-party apps for loyalty tracking. These platforms control the data, charge fees, and limit visibility. Blockchain gives brands the option to manage identity, engagement, and rewards on a shared ledger, creating more transparent and personal engagement without sacrificing user privacy or control. This also helps companies cut costs by reducing reliance on paid platforms and third-party vendors.

Higher trust in data use and reward systems

Consumers are more likely to engage with brands when they know how their data is being used and that rewards are legitimate. Blockchain addresses both concerns by making data usage transparent and using smart contracts to automate reward distribution based on verified actions. This reduces suspicion and increases participation, especially in loyalty, referral, or incentive programs.

Challenges to consider

While blockchain offers promising solutions for marketers, several important challenges must be addressed.

Integration with legacy systems

Most marketing departments already use numerous platforms and tools that weren't designed with blockchain compatibility in mind. Connecting blockchain solutions to existing CRM systems, analytics platforms, and martech stacks requires significant technical work and investment. Companies must carefully weigh implementation costs against potential benefits and may need a phased approach rather than a complete overhaul.

Regulatory unknowns

The regulatory landscape for blockchain technology is still evolving. Marketing teams must navigate uncertain territory around blockchain-based customer incentives, token rewards, and data handling practices. What's compliant today might change tomorrow as governments worldwide develop new frameworks for blockchain applications. This uncertainty creates additional compliance risks for early adopters.

Widespread adoption still in progress

Blockchain marketing solutions deliver the most value when widely adopted across the industry. Currently, many blockchain marketing initiatives remain in pilot stages orare limited to specific use cases. Without network effects and industry standards, the full potential of blockchain for cross-platform verification and transparency remains unrealized. Marketers should be prepared for a transition period where blockchain solutions coexist with traditional systems.

Conclusion

Blockchain isn't a silver bullet for all marketing challenges, but it's already solving real issues for brands today. The technology offers tangible benefits through improved transparency, reduced fraud, and better data management, addressing some of marketing's most persistent pain points.

Forward-thinking marketers should start testing blockchain tools in small campaigns. Begin with focused experiments in areas where traditional solutions fall short, whether that's campaign verification, loyalty programs, or privacy-compliant engagement. These initial tests will provide valuable insights while minimizing risk, allowing your team to develop blockchain expertise ahead of wider industry adoption.