Are We Overlooking Marketing in Favor of Development in Arbitrum?

In Arbitrum there is a lot of discussion around if the ecosystem should focus more on developer grants building or if we need to drive more users to the projects that are already within the ecosystem.

I work with 3 projects that are launching on arbitrum that have raised substantial amounts of funds.

I want to open the discussion around marketing grants vs developer grants and why I suggest we should focus on helping more of our current ecosystem projects with marketing support instead of just focusing on developer grants.

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thank you for starting this discussion @LunarStrategy

and yeah! I agree… but it’s gonna be a tough battle to convince this crowd in here to spend money on marketing… I don’t think Arbitrum DAO has ever spent money on marketing other than sponsoring/organizing events.

Is not about convincing this “crowd” about spending on marketing. It is generally acknowledged that we have indeed a big gap on this topic, as we also show during stip/ltipp in which we were not able to allocate capital to a marketing agency.
Most of this tied to the fact that proposal are quite long to create, marketing should be planned since day 0, but is difficult to put an external agency, or a third party, on a proposal that doesn’t necessarily have consensus or for which you don’t know the outcome, because often times means having upfront unpaid work that might not have a compensation down the road.

@LunarStrategy might be worth to share your the insight you might have through your clients, these projects, or others. One thing I can add is that the dao is, indeed, moving toward that would also embed marketing as we see in the Mission, Vision, Purpose proposal that will have, after a phase 2 in which we will define goals, a phase 3 for both execution and marketing.

In the meantime, again, sharing your experience would be great, either here or if you want in the byweekly governace call that we will have tuesday at 04:00 PM UTC. Or in both :smile:

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@LunarStrategy I think this is also good context for you to have [Non-constitutional] Establish a Short Term Marketing Program

Ye, agreed! It would make sense to run like 5 ecosystems projects via a marketing accelerator/ecosystem growth program to support ecosystem with growth rather than just the tech side.

Hi @JoJo

The risk with waiting is that other ecosystems are deploying into growth and ARB is risking of missing out on attracting capital and onboard the best projects.

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In general I am supportive. But I wouldn’t do marketing towards some protocols building on top of Arbitrum.
Why?
Because if they leave, or whatever reason simply don’t perform what kind of benefit did the DAO get? Nothing.

Instead the DAO should focus on marketing towards arbitrum orbit, stylus, and the overall benefits or Arbitrum.
Its about getting more normal user, devs and companies into Arbitrum.

We should market our tools and products and not other building on top. This could be considered at a later stage when there is a unicorn like Aero is on Base to showcase what you can do if you build on top of Arbitrum or in this case Base.

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Marketing is incredibly important, and helping startups on Arbitrum with marketing has always been a focus for us at ANDAO.

From my experience, Arbitrum DAO can leverage market resources to provide projects with some marketing support. However, offering Marketing Grants is much harder to manage effectively. This is because it’s challenging to set precise KPIs for marketing, or rather, projects can easily falsify these KPIs. Unlike development, where code and products are much harder to fabricate, marketing outcomes are less tangible and easier to manipulate.

Happy to see this discussion. I would love for the DAO to discuss marketing more. @LunarStrategy maybe you can put together a basic proposal on this topic and we can discuss it? Do you already have something more concrete in mind about how marketing grants would look like?

I would argue that building/developing can also be just as easy manipulated by building things without an actual need for them, which is a waste of resources combined with overstaffing developer friends for projects that actually need less developers. (Not saying its happening here)

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In general, I like ecosystem marketing to be showcasing case studies that are built on arbitrum. For example as a hook, 10 Reasons why AI project choose to build on Arbitrum? then interview a mix of founders in combination with tech facts.

This attracts both potential investors and also might sway other builders to pick arbitrum. Then in the next layer, there is a lot of ways to use projects as public case studies why you should build on arb for example.

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True! So I think the most important thing before setting up a marketing grant is to make another workable grant system.

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Interesting discussion! Thanks for putting this up @LunarStrategy I think one way to approach this is by creating a dual-focus strategy where marketing efforts aren’t just about supporting individual projects but also about amplifying Arbitrum’s ecosystem as a whole. For example, rather than direct marketing grants to individual projects, Arbitrrum DAO could fund initiatives that highlight why Arbitrum is the go-to choice—showcasing tools like Orbit and Stylus, or running ecosystem-wide campaigns featuring multiple successful projects.

This would not only attract more users and developers but also establish Arbitrum as the platform of choice for high-quality projects, which naturally benefits everyone in the ecosystem.

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Thank you for putting this up.

I agree that there is indeed a gap, but I’m not sure discussing a marketing grant and a development grant separately is the best approach.

I share Jojo’s sentiment here around marketing being planned since day 0.

However, I would suggest proposers find a way to bake marketing into their proposals — written in such a way that marketing starts immediately proposal passes onchain vote — before posting on Forum. Taking the STIP/LTIPP as an instance, there would have been a better possibility of passing the marketing initiative if it was baked into the original proposal rather than an entirely separate discussion for it. This is something program coordinators might want to start implementing going forward.

Okay but what projects do we have? I can speak more about leaving projects like Treasure instead of projects coming to Arbitrum. So what are the stars that can be highlighted?

We generally agree that Arbitrum needs to improve its communication around key initiatives. As @JoJo pointed out, this became especially evident with the various incentive programs run by the DAO.

In our view, the main challenge lies in the fragmented nature of marketing efforts within the ecosystem, driven by the involvement of multiple stakeholders. Currently, communications and initiatives run in parallel across Offchain Labs, the Arbitrum Foundation, and the DAO. For example, the @ arbitrum account is the most effective channel on social media due to its substantial following and engagement. However, the DAO does not control this account and cannot compel its operators to promote campaigns or initiatives they have not directly reviewed. To address this, the DAO created the @ DAO_Arbitrum account, but it has struggled to gain significant traction.
While we’ve seen numerous marketing proposals over time, this issue of communication fragmentation remains unresolved.

Have you considered this challenge? If so, how do you plan to address it effectively moving forward?

While we appreciate the discussion on this matter, we believe this opens Pandora’s box beyond a single proposal and should be discussed within the context of establishing a broader framework.

Yes, Arbitrum’s marketing indeed lacks a coherent vision and execution strategy compared to its competitors, affecting how the tech stack is perceived and performs.

We believe this has several causes:

  • Lack of comprehensive marketing strategy: this extends to a long-term vision, KPIs, content pipeline and a defined execution. Currently, the Arbitrum marketing machine has the handbrakes on and many smaller processes are not in alignment or reinforcing each other.

  • Information asymmetry between the Foundation and the DAO: as very active and involved contributors in the DAO, even we are in the dark. There is a massive lack of clarity around; who is in charge of what when it comes to marketing, when and under what circumstances will the Foundation support the DAO’s activities, and why no one from the DAO has any access to the @arbitrum X account.

  • Lack of coordination among existing social Arbitrum accounts: we have now 5 different accounts on X (@arbitrum, @arbitrumcore, @arbitrumdevs, @arbitrumdao_gov, @DAO_Arbitrum, with 2 having just a few hundred followers, mostly DAO folks), and 1 inactive warpcast. This creates confusion and drastically reduces the visibility and impact of initiatives across both the DAO and the Foundation. This lack of consistency extends into longer-form content as well, where Arbitrum has both a Medium blog and a hosted blog, each publishing content, some different, some the same.

  • Lack of established processes, entities, and workflows: there has been virtually no movement or clarity in how we are expected to work together, and the Foundation hasn’t exactly been leading by example. We want to start a conversation with the Foundation and core DAO representatives about this.

  • Arbitrum’s development is left to the DAO, but it lacks the required instruments to execute marketing: we all know the ****Foundation adopts a laissez-faire approach, leaving the direction and development up to the DAO. This is great and makes Arbitrum very unique, but to enable the DAO to do its job properly, it needs to be empowered with ownership and responsibility to get the job done.

Looking at our competitors, they are much more structured and agile in their content, branding and campaigns, while it takes us a long time to just agree on the need for these structures.

Marketing working groups have been proposed in the past, with limited effectiveness, spurred by the fact that many in the DAO were not convinced of the need for formal frameworks.

But where does this leave us?

We need to start a dialogue with the Arbitrum Foundation to define a broader framework and ensure the DAO has full ownership and power to co-lead marketing for Arbitrum.

This requires a comprehensive framework as discussed, and not just grants. Otherwise, this will be another smaller self-referential program which does not solve the biggest issue (although undoubtedly more positive than what we have today).


We know the DAO is waiting for the MVP (Mission, Vision, Purpose) to be ratified and formalized, and in the future Strategic Objectives for the DAO will be set and marketing budgets drawn up. But just like Entropy was appointed in the absence of a DAO OpCo, there should be a marketing team working on Arbitrum and interfacing with the DAO in the interim.

This also extends into OpCo, in which marketing will need to play a central role.

We would welcome a comment from the @Arbitrum Foundation here in the forum stating their position with respect to the X account, their marketing team’s focus, how they see the DAO working together with Foundation marketing (now and in a post-OpCo world), etc.

We would also call on @Entropy to facilitate this as an urgent matter to be prioritized. We have seen Entropy do a fantastic job in improving the DAO across several areas and hiring internal expertise in many verticals - but has marketing been overlooked?

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Yes, marketing has been overlooked, to catastrophic result.

Beyond being overlooked, marketing is broadly not even being discussed in the most effective terms. Endless administrative bloat is very far from an ideal solution. Instead, it is of paramount importance to recognise that inducing speculation is far and away the most efficient marketing mechanism available.

This discussion piece here outlines a method for achieving all key marketing objectives with best-in-class capital efficiency: How to Win - an overview. It is a short read.

A programme in this style could begin to be executed upon today if the DAO was willing to consider effective action. I am personally willing to contribute time to help with something like this for free, as I’m am very sad to see the DAO having spent years floundering in democratic paralysis, and strongly believe the technology Offchain Labs have produced is worthy of enthusiastic community support.

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