Data-Driven Marketing: Experience of 107 ICO

By September 13, 2017 ICO
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The analysis of 107 ICOs of 2017 to help projects rationally plan the ICO marketing budget and reached the following conclusions.

“Half of my advertising costs are wasted. But I don’t know which half “- David Ogilvy, advertising guru. The ICOPitch team analyzed 107 ICOs for the first 7 months of 2017 and reached the following.

  1. It’s time to conduct an ICO

The number of projects going to the ICO is multiples increasing last 3 months – from May to July. The number of projects increased for 9 times from the beginning of the year to July: 4 ICOs were held in January, 37 ICO were held in July .

Growth of number of ICO

growth-ico-01

We compiled our own forecast for the number of ICOs in 2020, based on the available information for 2016-2017.

Forecast of the number of ICO until 2020

forcast-munber-ico-02

The increasing of the number of projects will lead to an increasing in marketing costs, which means the cost of attracting one investor will also grow. If you plan to hold an ICO, get to work now.

  1. Think and act globally

The main idea of the project should be global, understandable on the territory of countries around the world.

White paper and the web site should be translated into popular languages: English, Chinese and Russian.

This is confirmed by the following: The USA is the country that generates the largest share of traffic in 79 projects out of 107 analyzed, but this “largest share” in the traffic of each project is on average 23%, i.е. The remaining 67%- are investors from a huge number of other countries.

If you visualize it, then in 75% of cases, the “geographic” structure of attendance of the ICO project web site will look like this:

Average geographical structure of attendance of the ICO site

average-structure-ico-03

During the collection of information, we recorded that completely different countries whose share is usually less than 5%: Russia, China, Slovenia, Cyprus, Turkey, Czech Republic, South Korea, Switzerland, the Netherlands, Brazil and Etc were on the second place on the traffic after the USA. Investors come from any country. If you want the ICO to collect the necessary amount of investment this is important to consider when developing the idea of the project and the marketing strategy.

  1. First community, then ICO

It is important to start an open dialogue with the community as early as possible in order to unite people around the idea. Popular forums, ico-calendars and media provide an average of 34% of visitors to the project’s website. The other traffic is accounted for direct, search queries, social networks and mailing lists.

transitions-ico-calendar-04

If you choose between spending on advertising or the salary of a PR-socialist, it is better to choose a second one.

  1. Measuring the effectiveness of SMM

The following statement was our initial hypothesis of the study – most of all potential investors come to the site from social networks. But the numbers speak about something else.

The share of traffic to the ICO site from social networks is on average only 7%, of which 33% is on Twitter, 24% – on Reddit and 19% – on Youtube.

Traffic from social networks on the ICO website

social-networks-ico-05

If we compare the absolute values, then Twitter provided 170 000 conversions, while Reddit – about 275 000 transitions from the total number of visits to all ICO sites in 7 months of 2017

Social networks aren’t the most effective tool for attracting potential investors to the ICO. Therefore, be sure to measure the effectiveness of promotion in social networks, in order to more accurately plan the marketing budget.

When choosing the social networks in which the ICO project will be conducted, it is important to consider the concentration of the representatives of the crypto community in a particular social network, the advertising possibilities of the network, and the country of origin of the project.

  1. Correctly plan the budget for marketing

The diagram below shows data on the conversion of site visitors to investors (buyers of tokens). The conversion is in the range of 0.6-2%. We have taken information on the number of investors on official websites, and the number of visitors during the ICO from similarweb.com

Conversion of site visitors into investors, %

conversion-visitors-investors-ico-06

Use the conversion data to more accurately plan the required number of visitors to the site during the ICO and better forecast the budget for marketing.

Resume or what to remember

  1. The budget of projects for marketing ICO will grow every month, which is due to the growth of the crypto community and the popularity of this tool to attract funding.
  2. Global projects have more chances of success: ideas that are understandable and interests of investors around the world, collect at times more investment
  3. Participants from the United States are the most active, but you shouldn’t focus and rely only on them.
  4. Pay as much attention as possible to the community, which you will be able to gather around your idea, through the “live” presentations of your project, communication on forums, answers to questions in real time.
  5. When planning a marketing budget, be sure to take into account the conversion rate from site visitors to investors, currently it is in the range from 0.6% to 2%.
  6. Distribute marketing activities correctly: the average duration of the ICO is 27 days.

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