Iran’s Exchanges Focus on Quality and Trust in a Competitive Landscape

Cryptocurrency exchanges in Iran face challenges in advertising due to restrictions in offline and online spaces, as well as legal limitations. Despite these constraints, they utilize digital platforms, especially social media and referral programs, to attract new users. The competition is fierce in the advertising space, with both domestic and international exchanges vying for users’ attention and trust. Strategies that focus on quality services and products, user trust, and innovation tend to be more effective than heavy advertising campaigns. However, regulatory uncertainties and subjective interpretations of laws pose challenges for exchanges in Iran.

According to IDEA, While some reports suggest that certain exchanges allocate over 50% of their advertising budget, such figures may not accurately represent the entire market. Instead, the emphasis is on providing valuable services and building trust among users to ensure long-term success in the competitive cryptocurrency exchange sector. Brands that become reputable may focus less on improving their offerings, potentially hindering innovation and benefiting competitors.

Cryptocurrency Exchanges’ Advertising Challenges

Mohammad Qasemi, Senior Marketing Manager at Raminzex, emphasized that advertising for cryptocurrency exchanges in Iran faces limitations in both offline and online spaces. However, he pointed out that social media and referral programs are effective ways to attract new and loyal users. Creative advertising methods could yield better results in engaging the audience.

Hamed Noorzad, Brand Manager and Strategy Director at VAlEx, highlighted the impact of legal restrictions on using mass media for advertising. He explained that these regulations have pushed exchanges to rely on online spaces for their communication activities.

Mustafa Mostafavi, Brand Manager at BitPin, emphasized the importance of comprehensive advertising campaigns that utilize all available channels. He mentioned the challenges posed by regulatory uncertainties and the need to adapt to the digital advertising landscape.

Competition and Market Share

Vahid Shamkhi, Deputy Business Development Manager at Nobitex, noted that the advertising space for cryptocurrency exchanges is highly competitive, with powerful domestic and international competitors. He highlighted the significance of presence on various platforms and media to engage users effectively.

Mohammad Qasemi explained that while the market share is an attractive metric, reaching a 51% market share is unlikely, given the competitive nature of cryptocurrency exchanges. Successful exchanges should focus on delivering quality services and products while considering user trust and long-term sustainability.

Maria Qasemi raised concerns about the potential downsides of securing a significant market share, such as complacency among brands that may neglect service improvement and innovation once they become reputable. Users may be hesitant to switch to other brands, even if they offer better products or services.

In summary, cryptocurrency exchanges in Iran navigate a challenging advertising landscape characterized by regulatory uncertainties and fierce competition. While some exchanges allocate a significant portion of their budgets to advertising, the emphasis remains on quality services, user trust, and innovation to secure a sustainable position in the market. Brands that become reputable must be cautious not to rest on their laurels and instead continue to focus on improving their offerings to benefit both users and the industry as a whole.