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TLDR
Polygon achieved an average Cost Per Wallet below $1 through a targeted marketing strategy.
The study highlighted Polygon’s success in onboarding over 14 million wallets via NFT campaigns.
Gaming and enterprise campaigns saw higher costs but remained efficient in acquiring wallets.
DeFi campaigns exhibited the highest wallet acquisition costs due to reward-heavy programs.
Addressable’s technology played a key role in Polygon’s wallet acquisition efficiency.
A new MBA case study by IVEY Publishing highlights Polygon’s cost-effective user acquisition strategy. It reveals that Polygon has achieved an average Cost Per Wallet (CPW) below $1. The study, developed in collaboration with Addressable, provides valuable insights into how blockchain growth can be measured similarly to traditional industries.
Polygon’s CPW Achievements Across Different Campaigns
The case study focuses on Polygon’s ability to optimize its marketing strategy, especially in acquiring wallets at low costs. According to the study, the company achieved the lowest costs through NFT campaigns. These campaigns onboarded over 14 million wallets at a CPW ranging from $0.2 to $0.5.
On the other hand, Polygon’s gaming and enterprise campaigns saw higher costs per wallet. Gaming campaigns acquired around 500,000 wallets with CPW reaching $12. Enterprise partnerships had a cost range between $5 to $10 per wallet. However, these efforts still remained highly efficient compared to other blockchain marketing campaigns.
DeFi Campaigns Exhibit Higher Costs
Polygon’s DeFi campaigns showed the highest CPW, reaching $50 to $100 per wallet. The costs in these campaigns were driven by reward-heavy liquidity programs. Despite the high CPW, Polygon’s approach to DeFi acquisition remained strategic, focusing on specific user behavior within these programs.
Retention rates for DeFi campaigns also declined after the termination of rewards and incentives. The study suggests that this factor significantly contributed to the higher wallet acquisition costs in DeFi. Polygon continues to explore ways to balance the reward structures with long-term user retention strategies.
The Study’s Relevance to Blockchain Growth Models
The case study presents a clear case for adopting new growth models within the blockchain space. Addressable’s Co-Founder, Asaf Nadler, stated that blockchain growth can now be quantified with the same rigor as traditional tech sectors. He added, “This study offers the clearest evidence yet that blockchain growth can be quantified with the same discipline expected in traditional tech and consumer industries.”
Polygon’s Chief Marketing Officer, Leon Stern, supported this view, emphasizing the importance of on-chain user behavior. “Effective growth comes from understanding real user behavior on-chain,” Stern said. He believes that CPW is emerging as the gold standard for blockchain marketing.