How do crypto companies adapt marketing in the middle of the downturn?

How do crypto companies adapt marketing in the middle of the downturn?

While some crypto companies implement cost savings measures in a stormy market environment, some larger expenses double their advertising resits.

According to Binu Koshy, the company's communication director, the market descent has caused the marketing department of the Bitbuy crypto tour to temporarily switch their marketing editions from initiatives to build up more power -based advertising.

These efforts include Google ads that aim at older people experienced in investment who have not yet entered crypto because Bitbuy data show that the recent downturn has attracted such investors. The average age of new crypto investors on Bitbuy rose from 34 in 2018 to 39 this year, including a three-year increase in the past 12 months.

"Since we know that older investors have more capital to invest and also prefer a personal grade, we have shifted our marketing editions and our messaging to promote Bitbuy Private Wealth who are aimed at wealthy people who prefer to do their crypto trades-a decisive competitive advantage with a personal account. Koshy said to block works.

The marketing transfer of the platform based in Canada takes place after a "Nofollow Noopener" Target = "_ blank" href = "https://www.youtube.com/watch?v=ai3lnq_lres"> Super-Bowl-Werbung In February with Miami Heat Point Guard Kyle Lowry. About 25 % of the company's marketing budget for 2022 flowed into the signing of Lowry as well as the production and the purchase of the spot, said Koshy at the time.

Bitbuy has also adapted its news in recent months because Bitcoin's loss of value led to a so-called "crypto buyer market" by 56 % in the second quarter, said Koshy. Before April 1, the trade volumes were evenly divided between buyers and sellers on the Bitbuy platform. Since then there have been about 65 % buyers.

In addition to the focus on long -term investors who cannot be deterred by market fluctuations, Bitbuy also focuses on women.

More female Bitbuy users are buyers than men, especially for old coins, since 70 % of women who are doing business in this area are buyers compared to 56 % of men. In addition, Bitbuy data from the past 4 years show that the average crypto trade of women is 17 % higher than that of men.

Meanwhile, the investment platform Etoro is planning to intensify its marketing strategy that focuses on online channels during this year's Super Bowl.

"We actively monitor all campaigns and can adapt the expenses based on effectiveness and market conditions," said Brad Michelson, marketing manager of Etoro, in an email to block works. "We will continue to invest in marketing and our brand in the USA, as this is a key market for etoro."

companies are looking for continuous partnerships

Another large marketing investor was the okx crypto exchange, which was received by McLaren Racing a multi-year contract worth "hundreds of millions", a spokesman told Blockworks in May.

Haider Rafique, Global Chief Marketing Officer at OKX, told Blockworks that the company's investment in sports partners should be independent of the market, and found that his marketing editions would not change.

"Our principles and beliefs remain the same; we focus on education and on creating a generation of dealers and investors who think like athletes and think responsibly about their career as an investor," said Rafique. "In fact, we see this time as a cheaper, less loud environment in which we can make progress towards this intention."

The CMO added that OKX had no plans to withdraw from partnerships, and instead found that the company would "grow responsibly and to announce new things in the coming months.

in a similar way, Koshy said that Bitbuy concludes some partnerships that are supposed to start in the fourth quarter and 2023.

The FTX crypto exchange, however, reported that the Los Angeles Angels of the MLB in the middle of the recent volatility of the cryptom market delivered a jersey. So the New York Post .

But the company's discussions and the decision of the company to pass on the Angels deal took place in contrast to the recent reports months before and were not due to the latest market depression, a spokesman told Blockworks.

ftx invested strongly in brand awareness, in 2021 $ 135 million for the name rights at the arena of Miami Heat and was closed with top-class athletes last year. The company also sponsors chess events, including the FTX Crypto Cup of the Meltwater Champions Chess Tour in August.

The FTX representative added that the company's partnership strategy was always about finding partners who shared his long-term belief in the field of digital assets.

"That was a cycle -neutral strategy," said the spokesman. "We are pleased to continue working with these partners to help people learn something about crypto and to explore their own decisions about participation."

Coinbase and Crypto.com, which also switched super Bowl ads, refused to comment on this story.

The latter company spent a large part of 2021 increasing brand awareness through large partnerships, and crowning the year with the purchase of the name rights for the Staples Center in Los Angeles last month as part of a 20-year $ 700 million deals. Crypto.com was recently sponsor of FIFA 2022 World Championship which is to take place in November and December in Qatar.

executives from Coinbase said that they assume that sales and marketing expenses would make up about 15 % to 20 % of net sales. CEO Brian Armstrong noted that the company would "dial" with increasing maturity of its products and found that Coinbase would focus on its existing user base.

Crypto.com, Coinbase and other digital asset companies have announced plans in recent weeks to reduce their workforce as a cost-saving measure.

In contrast, OKX announced last month that it is planning to increase the number of employees by 30 % and to grow by 1,500 employees to around 5,000 in the next 12 months.

"We still have a lot to do to become the most popular crypto trading app in the world," said Rafique. "This requires that we have the best talents, design user experience and offer the ultimate service programs on our platform for all types of investors and dealers."

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The contribution How do crypto companies adapt marketing in the middle of the downturn? is not a financial advice.