> For the complete documentation index, see [llms.txt](https://riddimrewards.gitbook.io/wp/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://riddimrewards.gitbook.io/wp/whitepaper/the-problem.md).

# The Problem

Brands everywhere are frantically trying to reach people by spending billions on digital ads towards consumers. We now live in a world where brands have created a large social presence where people are eager to participate with brands. However, brands are still talking AT their audience and not WITH them.

**Monopoly**&#x20;

* Advertising/social media platforms control the brands' digital ad spending&#x20;
* Social media platforms know the amounts brands are willing to spend to reach their target audience and capitalize on it&#x20;
* The increasing cost of reach to the audience
* &#x20;Difficult to value engagement, are people actually interested in the brand?

**Miscommunication**&#x20;

* Brands want to connect with their communities but 96% of people do not trust ads. Meanwhile, social ad spending has grown by 12% per year to US$229.50 billion in 2022.&#x20;
* While 80% of companies believe they deliver “super customer experiences,” only 8% of people agree.&#x20;
* People feel disconnected from brands and disconnection can impact their willingness to support a brand in the short/long term.

**Lack of transparency**

* Platforms' objectives conflict with the users' objectives&#x20;
* Platforms' objectives conflict with the brands' objectives

#### Now “it’s time to invest our brainpower into an ecosystem that builds in quality, civility, transparency, privacy and control from the very start, P\&G will steer dollars toward players that moderate comments, and link opinions to identities" -Marc Pritchard Proctor and Gamble CMO


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