Proposal: Core Team Advertising (March)

Ryan Taylor

Well-known Member
Dash Core Team
Foundation Member
Jul 3, 2014
550
1,649
263
Scottsdale, AZ, USA
This proposal is cross-posted at www.dashcentral.org/p/mrktg-coregroup-032018


This proposal funds an expansion of the Dash Core Group digital marketing efforts, by funding the first two months of a 6 month marketing plan.

We have recently initiated our first substantial advertising campaign from Dash Core, which was funded back in October as part of a broader set of activities, including the soon to be released brand refresh, and a small test marketing campaign. To properly expand this effort we have created a six months plan and we are asking here for the funds we need for the first two months so we can have some flexibility when deploying them. The proposed ad campaign production and purchases will be managed by Ogilvy & Mather.

The advertising budget request is 615,000 USD/month (500,000 EUR/month), so we are asking for 1,230,000 USD in this proposal.

Obviously this doesn’t pay for huge campaigns, but we don’t think we should be pursuing larger campaigns until we have better data on their effectiveness. In no reasonable price scenario will we have enough budget to compete in advertising expenditure with the big brands, so we need to operate differently. We will be doing small ad campaigns to test messages and formats; and to learn about our audience. With that information we expect to be able to refine our non paid channels (PR, website, social media) so we can optimize their impact and bring in the highest number of users.

If the budget situation allows and we see opportunities in the data, we may do additional proposals to supplement this budget.

As a side note, the funds from a previous proposal for a Facebook campaign could not be applied to that because of Facebook’s ban on crypto ads, so we have migrated that to the Google ecosystem which will be launching shortly. This issue caused a minor delay in initiating that test campaign.

COST SPLIT

A common split in the industry is around 80% of the budget to pay for media, 10% for production costs and 10% for agency fees. The media part scales better faster than the other two, so for small budgets like ours sometimes production or agency can be a little higher.

Media will be always digital so we can measure accurately and be able to obtain information. Given Facebook’s ban on crypto we will focus more on the Google ecosystem: Youtube, display ads Google manages in third party sites, and search.

Besides that, we will also do some direct purchases of ads outside the Google network and will probably test other channels like Reddit or even Twitter. The idea is to test and refine.

Regarding the agency, we have worked with Ogilvy to build a team that will be able to work on more than just our budget. The composition of the team will be flexible because it is too early to really know what we will be doing in a few months. Specifically, they will be working with:

-Partners: the business development operation will request marketing support for some partners and Ogilvy will be supporting that, but the media will be paid by the partner and/or the business development budget. This work has already begun and they have already meet with BlockCypher or Strike Social, to give a couple of well known examples.

-Community: There are some proposals that we don’t do from Dash Core that are marketing related. Ogilvy will be providing some support to those, when requested by proposal owners and after some internal feasibility analysis. This will begin once the branding and messaging efforts are released to the community.

INFORMATION ANALYSIS

As mentioned before, we will be measuring everything around the campaigns we launch so we can adapt our messaging and strategy with the information we get.

All advertising platforms provide some analytics, but we will be consolidating information so we can do more in depth analytics and add first and third party data to that. Finishing our own DMP (Data Management Platform) is not something we expect to achieve in the first few months of the advertising project, but we will establish the basis so we can have that relatively soon.

Requested funding is as follows for the March 4th budget cycle:
  • $1.23 million USD
  • 5.00 Dash proposal reimbursement
Total: 1,711.49 Dash (@720.78 Dash / USD)

Note: Should any funding remain, we will apply it toward future marketing expenses.

Manually vote YES on this proposal:
dash-cli gobject vote-many f0ad1da5383b27b2f0c84b95316bdcd03f330a20ada06bb178dfb0326bb09764 funding yes
OR from the qt console:
gobject vote-many f0ad1da5383b27b2f0c84b95316bdcd03f330a20ada06bb178dfb0326bb09764 funding yes

Manually vote NO on this proposal:
dash-cli gobject vote-many f0ad1da5383b27b2f0c84b95316bdcd03f330a20ada06bb178dfb0326bb09764 funding no
OR from the qt console:
gobject vote-many f0ad1da5383b27b2f0c84b95316bdcd03f330a20ada06bb178dfb0326bb09764 funding no
 

BoomStick

New Member
Feb 1, 2017
25
15
3
41
This proposal is for $1.2 million USD. Before accepting to spend such amount of money we should have clear results of previous Oglivy & Mather proposal.

1. Where is the update of rebranding ?
2. What was achieved for the last months in terms of marketing by O&M ?
3. How are you going to update the community where $1.2m USD goes if you can't even provide current rebranding results ?
4. This proposal is for 6 months, if it is accepted when we should expect some kind of updates how it progresses - after 6 months, 1 year, 2 years ?

There is no even details how the money is going to be spent (saying: "google ads, keywords and banners" is not enough in my opinion). For a long time community has been fed with promises from the Core team members (NZ trust, new legal DASH entities, patents, DIPs, new communication process, updated roadmap, stable market for merchants, Dash Drive storage of data, etc.) and still nothing... Is this an another promise that is going to be broken ?

In the light of still not resolved:

- communication issues with Core Team (looks like Core Team doesn't want to interact with the community)
- dumping/ignoring DASH roadmap
- lack of meaningful updates on Evo components (ie timeframes) after 2 years of development
- lack of transparency of Core Team's work

we should be voting no on this proposal until Core Team starts to respect the DASH Community and fix the issues that are bothering this project for over 2 years now.
 

fernando

Powered by Dash
Dash Core Team
Moderator
Foundation Member
May 9, 2014
1,527
2,058
283
Some people have asked for more details on how this money would be spent and that is very fair request for a proposal this size. I’ll try not to be boring, but this is gonna be a long one :)

DURATION

First thing to consider is that this proposal covers the budget we request for two months (500k EUR/month x 2). This makes sense because not every month we’ll spend the same and media is paid in advance, so we need some flexibility and working capital to do this.

We are planning to work with this monthly amount for six months and this is an amount that we are comfortable requesting in all our expected price scenarios. In order to plan we need some stability. If the price allows it and we see it makes sense, we may ask for additional money along the way for some specific campaign, but only if we are seeing good results and there is room in the budget.

As for how we would spend the 500k EUR/month, I did some comments in the video, but I’ll go a bit deeper now. Typically you want to aim at spending around 80% of the budget in media, 10% in production costs and 10% in agency fees, but with low budgets production and agency fees can be a bit higher than that.

MEDIA

We can’t really provide much detail on how specifically this money will be spent because for that we need to build the campaign and for that we need the money. Also, we will be testing and measuring everything, so what we believe is a good path now could not be the case and we would change.

However, in order to give some idea of what kind of reach we can obtain with 500k EUR/month, I can share data of the campaign already funded by other proposal that will go live in a few days. The delay was caused by Facebook banning all crypto ads and we having to redo the campaign for the Google ecosystem (Youtube, display ads managed by Google and search). I’ll provide specific data of the Facebook version and more general data of the Google one (if we make public all parameters before going live it would be easy for someone to make things more complicated than needed for us).

The target of this campaign is raising awareness of Dash, which is the first step in the process towards conversion. Both our market research and our direct experience tells us that not that many people know about us, even in the crypto space. We chose only three markets (UK, Spain and Venezuela) so we could control variables better.

To measure success we would use a tool Facebook provides to some advertisers called Brand Lift, that polls part of your target audience before and after your campaign so you can see the difference. Google does this differently and they only poll afterwards, but they keep a control group of the same time of audience away from your ads so you can compare metrics in both groups.

We defined certain criteria to segment a target audience we thought could have some interest in Dash. Broadly we called the three groups early adopters (interested in technology and economy), investors/stocks (interested in technology and investments) and well informed (some knowledge/interest in crypto). Google doesn't provide as much information as Facebook, but we have a wider variety of places to put ads on that compensates for that.



With those groups defined by many variables (Facebook knows everything about you, seriously), we measured the size of those groups.



Then we calculated the expected cost for a reach (% of the group you impact) and a frequency (# of times you impact them) defined by us. For these calculations we used the data Facebook provides. In the case of this campaign, we were kinda intense (around 10-12 impacts/month) and the idea was to compare results with less intense campaigns or even adjust this one during its duration to see the impact on awareness. In the Google campaign the split of cost per country is similar. In terms of channel, around 60% will be in video, 35% in display and 5% in search.



Of course, the idea is to optimize campaigns and improve this so we can reduce the cost, but advertising is expensive and that is why I say that we can't only rely on it. Our biggest source of new users needs to be organic channels.

PRODUCTION

This depends a lot on how many assets (images, videos, texts) you request and their complexity of execution. In this campaign we want to test different messages, so the production cost is a big higher than usual, around 40k EUR. However, all those can be reused, so in the next campaigns the cost will be lower.

AGENCY FEES

If you only do isolated campaigns the agency will charge a percentage of the media investment plus fees for every thing your request. This is a very inefficient way of working for everyone and it ends up being very expensive for the client. When you want to do advertising in a regular way, the usual thing is to negotiate a fixed fee with the agency and they do whatever you need. That is calculated considering the amount of work that your expected investment in media will generate. Then the agency bills the salaries of those people (adjusted to dedication) and then multiplied by a number you negotiate.

In our case we don't really know for sure what we will need because we are only starting. Besides that, Ogilvy will be working for our biz dev partners and proposal owners who request it. So we have calculated the cost of a team, but we will both be flexible if we need to change that in the six months that the agreement would last. The multiplier they will apply to us is the same they are using for a huge car company. The fee will be around 60k EUR (not final yet, we didn't want to close negotiation until we had this proposal passed) and it will give us more than 5 people full time with different roles (in reality it is around 10, but some with lower dedications).
 

fernando

Powered by Dash
Dash Core Team
Moderator
Foundation Member
May 9, 2014
1,527
2,058
283
This proposal is for $1.2 million USD. Before accepting to spend such amount of money we should have clear results of previous Oglivy & Mather proposal.

1. Where is the update of rebranding ?
2. What was achieved for the last months in terms of marketing by O&M ?
3. How are you going to update the community where $1.2m USD goes if you can't even provide current rebranding results ?
4. This proposal is for 6 months, if it is accepted when we should expect some kind of updates how it progresses - after 6 months, 1 year, 2 years ?

There is no even details how the money is going to be spent (saying: "google ads, keywords and banners" is not enough in my opinion). For a long time community has been fed with promises from the Core team members (NZ trust, new legal DASH entities, patents, DIPs, new communication process, updated roadmap, stable market for merchants, Dash Drive storage of data, etc.) and still nothing... Is this an another promise that is going to be broken ?

In the light of still not resolved:

- communication issues with Core Team (looks like Core Team doesn't want to interact with the community)
- dumping/ignoring DASH roadmap
- lack of meaningful updates on Evo components (ie timeframes) after 2 years of development
- lack of transparency of Core Team's work

we should be voting no on this proposal until Core Team starts to respect the DASH Community and fix the issues that are bothering this project for over 2 years now.
1. Updated on the community update call a few days ago. It is mostly finished. Branding style guide being finalized. Then we'll prepare the site and the wallets and make public.
2. They have been working on branding. The only campaign they working in we had to cancel because of Facebook banning crypto. It will be launched in the Google ecosystem as soon as we pay the media invoice we just received.
3. By giving detailed reports on how we spend the money, not sure how that related with rebranding.
4. This proposal is not for six months. We want to work with a 500k EUR/month budget for six months, this proposal covers two.

I have provided more details about how this will be spent in the previous post, I hope that satisfies you, but if you want more details on something, I'll try to provide.
 

GrandMasterDash

Grizzled Member
Masternode Owner/Operator
Jul 12, 2015
2,998
1,161
1,183
Stupid question but just to be absolutely clear, this work will be done with the new branding, right?
 
  • Like
Reactions: nrpetty

Stealth923

Well-known Member
Foundation Member
Mar 9, 2014
352
404
233
As above, as well as do we have any indication of how long until the branding will be released, Lisk completes their rebranding with a hard deliverable date, why can’t dash do this????. This has been dragging on forever. Like most things with Dash Core.
 

fernando

Powered by Dash
Dash Core Team
Moderator
Foundation Member
May 9, 2014
1,527
2,058
283
Stupid question but just to be absolutely clear, this work will be done with the new branding, right?
The Facebook-now-Google campaign no because it is going out now. The ones paid with this proposal yes. We could cancel the other one and wait, but we really need to execute things and waiting for perfect sometimes leads to paralysis. Also, having info with old and new logo will be useful to see the impact it has.
 

Efietskop

New Member
Dec 15, 2017
30
19
8
31
To be fair, they are not that far behind, in the update in December he did say that "we would be seeing results in February." (source: https://www.dash.org/forum/threads/marketing-project-with-ogilvy-update.21836/)

But I would really like to see the new branding asap.. It's also delaying other activities, like for example I'm thinking about ordering some promotional clothing but am wondering whether I should wait for the new branding. Doubt like this can be really paralysing.

And for that matter, why does the InstantSend button in the Dash resources still say InstantX?
 

GrandMasterDash

Grizzled Member
Masternode Owner/Operator
Jul 12, 2015
2,998
1,161
1,183
To be fair, they are not that far behind, in the update in December he did say that "we would be seeing results in February." (source: https://www.dash.org/forum/threads/marketing-project-with-ogilvy-update.21836/)

But I would really like to see the new branding asap.. It's also delaying other activities, like for example I'm thinking about ordering some promotional clothing but am wondering whether I should wait for the new branding. Doubt like this can be really paralysing.

And for that matter, why does the InstantSend button in the Dash resources still say InstantX?
Yep, I've been holding off ordering and distributing new merchandise. I think they are delaying the new brand to release at the same time of big announcements... which doesn't really help.
 

ampp

Member
Feb 12, 2017
184
75
88
USA
As above, as well as do we have any indication of how long until the branding will be released, Lisk completes their rebranding with a hard deliverable date, why can’t dash do this????. This has been dragging on forever. Like most things with Dash Core.
I thought lisk was going to re-brand to a new name lol. So much for everyone comparing it to the neo rebrand. Dash has much more brand identity where Lisk everyone could agree that their logo was terrible. I was in mexico around crypto people for a week and nobody mentioned Lisk once and they are going to have to do a lot before its worth comparing anything they do to Dash.

Giving rebrand dates also allows traders to buy the rumor and sell the news. Dash is trying to not do this sort of market manipulation.
 

craigums

Member
Jul 7, 2017
44
32
58
37
Hi Everyone - I talked about this proposal at length in a stream earlier tonight. Here's a timestamped link (It should go to 21:37, but I don't know if it's working properly with the embedding here.) for those that are interested: