Using Airdrops as a Growth Strategy

Using Airdrops as a Growth Strategy

Everyone loves free stuff, right? Whether it’s a free toy in a box of cereal or a free sample in the mail, there’s a psychological effect of getting free stuff. In fact, a number of software companies have built their business on “try before you buy,” including Trello, Evernote, and Spotify. Airdrops are the cryptocurrency version of a freebie, and can be used to help both established and new players get noticed when combined with smart marketing.

Airdrops are a good strategy for a new coin in lieu of an ICO. Last year Facebook said it would start banning ICO ads, and this year Google followed suit. So there’s definitely a case for airdrops as an alternative when it comes to just getting in front of people, and in their wallets. If you woke up and found new coins in your wallet, wouldn’t you be intrigued?

Few things in life are guaranteed, of course, but the worst that can happen is an airdrop is just ignored by a user. Even so, it’s possible they’ll come around once they see their “freebie” gaining value (how many cereal toys can do that?). It behooves blockchain-based startups to do a little pre-drop marketing anyway, and building buzz before an airdrop is just solid marketing advice. Besides, as more coins adopt this strategy you won’t want to get lost amid the noise of all those free coins dropping from the sky!

Without the benefit of social media marketing, you’ll have to adopt a more “guerilla marketing” approach, and focus on network connectors as described in the book The Anatomy of Buzz by Emanuel Rosen. Don’t just drop some coins in their wallet, tell them why your coins are special, different, or better than the rest. Tell them why they should care, then fast track them for delivery. Follow up with their feedback, and let the world know. 

Source: CoinGecko’s Quarterly Cryptocurrency Report Q1 2018.

There are a many venues to promote airdrops to potential stakeholders in your project. Examples include:

  • Airdropaddict: Check out their list of “untrusted airdrops”, which is at 199 as of today.
  • AirDropsMob: Let’s users filter by the underlying platforms such as XML, WAVES and KMD.
  • Airdrop Alert.com: They create content for tokens that teaches people how to utilize their airdrops.
  • Your Free Crypto: The site maintains Google Sheet with detailed information. Of the 61% of the 151 listings require Telegram accounts.

Dan Elitzer’s Airdrops: Key Themes and Design Considerations provides a good overview about what to think about. However, before you go there, make sure your digital “house” is in order, including a social media presence, website, and hopefully a little press. All of this adds to your legitimacy, which can be an issue given the fact that scammers have used the promise of “free tokens” to grab private keys from new traders.

Airdrops aren’t just for launches, they’re good for growth as well. Word of mouth travels fast in this world, and rewarding loyal customers with coins surely doesn’t hurt. That’s exactly what Binance did, after setting some baseline criteria. That’s also not a bad idea so that your new coin owners aren’t just setting up accounts to game the system. Bitcoin Cash also had an air drop that launched it into the top 10 cryptocurrencies on the market in just a month!

Used with sound marketing principles, and a verifiable business to back them, it’s easy to see why airdrops are becoming a popular method of gaining attention and inertia in the cryptocurrency world. And why not? They’re a classic win-win scenario provided you execute properly and use the lead generation that ensues to keep pushing forward with your establish growth strategies.

 

Featured image: Supply airdrop near Forward Operating Base Todd, Baghdis Province, Afghanistan


Strategic Coin is a premier provider of market and sector research, token launch services and strategic consulting to the blockchain industry. Strategic Coin is known for: 1) comprehensive Viability and Strategic Assessment (VISTA) Reports that are the most thoroughly vetted view of a project’s utility, platform value and long-term prospects; 2) customized advisory services for global token generation events; and 3) the Strategic Coin Media Network, which distributes news coverage, videos, in-depth analysis, and thought leadership articles that stand out for their quality and depth.