A new platform is using Blockchain to make smart marketing programs affordable and practical for small and medium-sized businesses.
Gagapay Network says word-of-mouth marketing is one of the most powerful tools around for establishing a loyal base of frequent customers – with research by Nielsen suggesting 89 percent of shoppers trust recommendations from people they know above everything else.
Despite this, the start-up argues that too few companies are embracing this technique – often because they have no understanding of which strategy will yield the best results or lack the time and manpower to manage and track a program.
In its white paper, Gagapay Network cites Webprofits research that suggests 75 percent of companies find referral programs to be the lowest-cost method of attracting new clients, with 78 percent claiming they are “more loyal than other customers.”
The company plans to blend affiliate, referral, network marketing, loyalty and bounty programs in one place on a SaaS platform powered by smart contracts and the NEO Blockchain, and hopes this will remove the barriers to entry which are denying fledgling businesses the growth they deserve.
Targeting Blockchain and non-Blockchain businesses
Gagapay Network illustrates the power of referrals with the example of Dropbox. The start-up says the cloud storage behemoth enjoyed a 60 percent increase in sign ups when it began to give free space to customers who were referred to its site – as well as the people who referred them. Meanwhile, affiliate programs have worked wonders for Amazon, which had 180,000 websites promoting its products as of 2017.
Both Blockchain and non-Blockchain businesses are going to be targeted by Gagapay Network, which plans to offer three tiers of membership to appeal to enterprises of all sizes. The start-up says its system, which offers premade templates with a simple drag-and-drop design, will make it easier for businesses to create customized programs quickly – and it will be possible to run multiple campaigns from a single account.
An open marketplace would connect marketers with these companies, allowing them to filter ongoing campaigns by industry, region and reward size. Gagapay Network believes smart contracts also have the potential to eliminate the trust issues which are currently dogging the affiliate marketing sector, as they would ensure rewards are distributed on time and new referrals are recorded accurately.
GTA utility tokens are going to be at the heart of the Gagapay Network, allowing businesses to purchase annual memberships, unlock extra features, and enjoy reduced commission fees. Marketers who are paid in this cryptocurrency will also be able to spend their earnings through a prepaid Mastercard or Union Pay card – making it feasible for them to join campaigns offered by Blockchain companies.
Built by an award-winning team
Eduards Marhelis and Andras Ignacs recently received an award of merit at the NEO dApp competition, which was co-hosted by Microsoft, for their work on Gagapay.
The start-up says it has already begun to source expert consultants and advisers – and explore partnerships that will help its platform launch and expand to Europe and Asia.
Gagapay Network says more than 40,000 users registered on its portal even before its pre-ICO began on April 23. Once this phase of the initial coin offering concludes on April 30 a full crowdsale begins – and this will run until July 15 or all tokens are sold, whichever is sooner.
The company says contributors who invest more than $500 worth of crypto during the token sale will receive a free prepaid card from Gagapay.com.
By the end of the year, Gagapay Network hopes that a beta version of its platform will be live, with a “limited number” of Blockchain companies testing the system and offering their feedback.