Strategies to Improve Community User Conversion Rates

In the early stages of community building, community managers often invest a lot of energy into developing channels to attract users to join. However, even when they achieve considerable traffic, the community's activity level and product usage rate do not increase accordingly. This situation is like drawing water with a bamboo basket; even though the water source is abundant, most of it flows away through the gaps. So, how can we effectively retain users?

To solve this problem, we first need to analyze its root causes in depth.

Reasons Why Community Users Are Difficult to Convert

Social accounts are disconnected from blockchain addresses.

Currently, most community members' social accounts do not have a corresponding relationship with their blockchain addresses. This leads to community managers being unable to match active social accounts with active on-chain addresses. Although the community size and interaction volume are growing, the number of truly active blockchain addresses has not seen a corresponding increase.

lacks a sustainable incentive mechanism

Community operations are a long-term endeavor. In the initial stage, the focus is on scaling; while in the growth stage, attention must be paid to member quality, including participation, activity, and value contribution. However, due to resource constraints, most community activities are short-term, which is not conducive to converting community members into long-term product users.

insufficient automation level

Many Web3 teams are in the startup phase and face issues of insufficient resources and manpower. Community operations mainly rely on manual efforts, leading to a large amount of repetitive work piling up. Community managers often spend most of their time on attracting traffic and answering questions, leaving them little time to think about how to improve user conversion rates.

Solutions

Build an In-house Community

Currently, users are using different identity identifiers on social platforms and in the blockchain ecosystem. In the traditional community model, users need multiple steps to transition from social accounts to using products, and each step may lead to user loss.

Some large projects have realized this issue and have begun to build communities on their official websites. For example, Arbitrum has established a community section on its official website where users can directly experience the products. This built-in community model allows community managers to directly act on users' blockchain addresses rather than social accounts.

For teams with limited resources, it may be worth considering third-party solutions to quickly build an integrated community. There are already various mature products on the market that offer diverse task templates and custom domain management, helping projects seamlessly integrate their community with their official website.

Implement long-term incentive mechanisms

TGE + Points System

For projects with unissued tokens, it is possible to incentivize users by combining the token generation event (TGE) and a points system. The TGE can stimulate users' long-term expectations, while the points system can provide immediate feedback, reducing user attrition during the waiting period.

Some projects have adopted this strategy. For example, a certain project links asset staking and invitation actions to points and establishes a leaderboard to stimulate user participation. Another trading platform has chosen to integrate the points system into a third-party community solution to quickly achieve the combination of TGE and points.

Dual Token Model

For projects with issued tokens, it may be worth considering a dual-token model. The existing token serves as a utility token, while the new points act as a functional token. By establishing a clear mechanism for point distribution and redemption, we can incentivize loyal community participants and inject new vitality into the ecosystem.

Conclusion

In a highly competitive market, user attention is a scarce resource. The key to improving community user conversion rates lies in shifting the operational focus from social media accounts to blockchain addresses. Faced with resource and time limitations, effectively utilizing tools and platforms can help teams achieve their goals more efficiently. By building an in-house community and implementing long-term incentive mechanisms, projects can significantly enhance user retention and product usage rates, thereby achieving sustainable development within the Web3 ecosystem.