Blockchain-enabled Trust and Transparency in Influencer Marketing on Social Media Platforms
Nishant Thakre, T. Navaneetha, Narinder Kumar Bhasin, Keerthi Samudrala, Vuda Sreenivasa Rao, M.Karthik · 2024
Influencer marketing has emerged as a key tactic used by businesses on social media platforms to connect with their target customers. However, there are issues with trust and transparency in this emerging sector, such as phony followers, hidden sponsorships, and inflated engagement numbers. By offering a decentralized, unchangeable record that can authenticate and validate exchanges and transactions between influencers, companies, and followers, blockchain technology offers a potentially useful alternative. The potential for blockchain-enabled reliability and openness in influencer marketing on social media platforms is examined in this paper. This examines at how blockchain might improve trust by preventing the spread of fraudulent followers, confirming influencer-brand partnerships using smart contracts, and validating the legitimacy of measurements of engagement. Furthermore, the study investigates how decentralized identity systems might improve transparency by facilitating influencers' effortless disclosure of sponsorships and identity authentication. The constraints and difficulties of using blockchain in influencer marketing are also covered in this article, including scalability and regulatory considerations. It also outlines new developments and potential paths for using blockchain technology to promote openness and trust in influencer marketing networks. Perhaps this study highlights how blockchain technology is transforming influencer marketing strategies, building stakeholder confidence, and advancing social media advertising transparency.