It should be clear to Web3 projects that radically different types of users participate in NFT, GameFi and DeFi markets, with different experience levels, motivations and financial incentives.
For a project to retain users and grow, it must identify and understand the users that are most likely to bring them value. And as with Web2, having data-driven insights about one’s users separates the leaders from the laggards.
Why do so Many Web3 Projects Struggle to Understand their Users?
Web3 teams have a hard time acquiring and retaining users; getting accurate user profiles is the main roadblock. On one hand, Web3 projects want to maintain users’ privacy, which makes it hard to track them. On the other hand, they need to create trust, which requires delivering experiences they want.
And, as more and more Web3 projects and platforms launch, the competition for user attention intensifies. In 2022, a staggering 717 new GameFi projects emerged, however, only a mere 14.5% managed to accumulate more than 1,000 users.
Compared to Web2, Web3 projects:
- Have less mature tools and data analysis systems
- Have limited exposure on mainstream advertising platforms and social media
- Cannot rely on conventional user acquisition metrics and data analysis methods
Projects and enterprises in Web3 that tap into blockchain-native data analysis systems (which should integrate off-chain data as well), are already ahead of the curve in understanding users and building out metrics that make sense.
Find Users Who Bring Value to Your Project with Footprint Growth Analytics
During the early stages of a project, it’s essential to identify targeted users accurately. Footprint offers a vast database of blockchain addresses and millions of tags to assist Web3 projects in analyzing user behavior and profiles. By using this data, project operators can identify similar users from competing projects.
For example, if you’re operating a card game, you can use the card game tag to find similar projects and filter out high-value and active users. This reduces the cost of user acquisition and helps the project gain traction. Footprint also filters out fake users and prevents fraud, ensuring the sustainable long-term development of a project.
After getting a better grasp of potential users and high-value user segments, you can explore the numerous other features offered by Footprint Growth Analytics to analyze game revenue, measure campaign effectiveness, and boost user retention.
While blockchain data analytics is in its infancy now, Web3 firms will increasingly tap into the extensive wealth of on-chain data to gain a competitive advantage, just like internet companies have done for the last two decades.
Now is the best time to get competent in Web3 data analytics and integrate tools such as Footprint Growth Analytics into your marketing stack.
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