Cryptocurrency TV ad spending has plummeted in the United States, reflecting the current state of the markets. However, that’s no excuse to take a break.two crypto firms have told Cointelegraph.
A Wednesday report from Bloomberg highlighted thate TV ad spend among the largest cryptocurrency trading firms hit the lowest mark in over a year: Only $36,000 was spent in July, according to ISpot, down 99.9% from $84.5 million in February.
$84.5 million of ad spend was made during the US Superbowl periodwhen Crypto.com, FTX US, and Coinbase splurged on high-profile ads to publicize their services.
Despite the decline in spending on television advertising, some crypto firms, such as Singapore-based digital asset management firm IDEG Limited, say they continue to spend heavily on advertising to maintain brand awareness.
IDEG’s investment director, Markus Thielen, told Cointelegraph that his firm has been “very conservative” when it comes to its cryptocurrency investments, giving them room to put themselves in a “very good position.” […] to take advantage of this current slowdown”.
Thielen said that advertising is essential for a number of reasons, among which is to make the brand known:
“We see it as our duty to educate, give back to the community, build our brand and provide general support.”
On the other hand, Apurva Chiranewala, CEO of cryptocurrency investment platform Block Earnerbased in Australia, told Cointelegraph last month that the company had scaled back its marketing efforts amid the FUD of the current bear market.
Nevertheless, told Cointelegraph that his company had shifted its efforts to educating about the market:
“Instead of us paying money to remove FUD from the market, we think it is better […] focus on building and answering questions and educating the market.”
Bill Daddi told Bloomberg that if other big companies decide to go back to advertising on TV, the message is likely to change.. Daddi, president of the marketing agency Daddi Brand Communications, said that previous announcements were focused on driving FOMO, but that companies could shift to education as new and existing users recover from the ongoing bear market.
TV advertising spend may be down, but advertising through sports associations remains strong. The Financial Review reported on Aug. 10 that crypto firms like Binance Holdings, OKX, and FTX have spent more than $2.4 billion on sports marketing in the past 18 months. They are spending on partnerships with the Man City sports team worth $12 million and for the naming rights to an NBA sports arena in Florida worth $135 million.
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