This is my first (of hopefully many more) post with the Index Coop.
This largely builds off great work done by Coop members:
As The Index Coop experiences rapid growth, it can be difficult to maintain focus on the activities that leverage core competencies and benefit your target market. Documentation around value prop, personas, messaging and positioning can provide a jumping off point for content and marketing.
I have read through The Index Coop governance documents and the vision to become the Blackrock of DeFi and crypto is clear, but our value proposition for customers isn’t as clearly defined. As The Index Coop continues to grow it’s important to understand our competitive differentiators and the customers that we serve.
My overall goal is to develop:
- Value Proposition for The Index Coop
- Buyer Personas (starting with a highest value personas)
- Positioning and Messaging for each Persona
- Guide which products opportunities to pursue
- Standardize our messaging in all forms of marketing to maximize return for our target markets
- Provide clarity to the broader market on the value the Index Coop provides and how its differentiated or positioned in the market
- Shift our marketing activities as our products and the DeFi market move throughout the Adoption Life Cycle
To kick this off, @LemonadeAlpha and I have been interviewing customers with over a $100k investment in DPI. We have targeted these users because:
- DPI is the most broadly accessible index product and has the highest AUM
- The current UX for buying and holding (gas fees) DPI disproportionately benefits larger holders (>250 units). This is evidenced by 56% of AUM residing in this segment (with 80% >50). Due to this, we believe this is the segment with the most opportunity for growth in the short term.
Insights so far
There are many distinct types of personas of high net worth investors, two that keep arising are: DeFi Dolphins and fund managers
- DeFi Dolphins/Whales are spending a majority of their time looking at individual tokens, are risk seeking and are less concerned about smart contract and market risk.
- Fund investors, because they manage other people’s money and not just their own, are more risk averse and concerned about the safety of the fund. They typically invest up to 30% of their funds in DPI because of the perceived low relative risk of market volatility and security of the Index Coop technical architecture and well-executed DAO.
(Both types don’t notice/care about fees and have decided to invest with DPI because of the perceived integrity of the Index Coop)
Additionally, I wanted to share a few encouraging oft-heard quotes:
- “You could become the QQQ of DeFi”
- “You’re basically the S&P 500 for DeFi”
- “DPI makes it so I don’t have to think”
- “DPI allows me to invest in DeFi without doing anything”
- Complete personas by the beginning of June
- Test messaging and positioning statements with through June
- Tweak and refine for distribution to the Coop by the end of June
Once this first round is complete we can target other products and persona types.
Please let me know if you have any questions or comments.
I look forward to sharing with all of you soon.