Making blockchain real for customer loyalty rewards programs
Customer loyalty programs are not realizing their full potential due to low client retention and redemption rates, time delays, and high costs. That’s where blockchain comes in.
Loyal customers are one of the primary drivers of any for-profit business. By building loyalty rewards programs, companies aim to heighten the customer experience. In many cases, however, the opposite has occurred.
Manage disparate supply chains with blockchain & track goods at each transportation point. Track components and demonstrate your ethical, environmental, and regulatory credentials. The implementation of blockchain can drive the customer experience to the next level, and here’s how:
Reducing costs
Although blockchain incurs upfront expenses, we believe that the trade-off cost savings will be identifiable on three significant levels–system management, transactional, and customer acquisition. For example, a blockchain-based loyalty rewards program should reduce system management costs with smart contracts that report secure, tracked, transparent transactions to legacy systems, reducing costs associated with errors and fraud.
Enabling a frictionless system
An airline credits a customer’s rewards in the same digital wallet they redeem for the hotel. Blockchain centralizes the customer’s loyalty programs through a trustless, decentralized technology solution. Loyalty providers decide how and with whom the customer uses these rewards, but their ability to access and manage them is practically frictionless from a consumer perspective.
Making the process near real-time
Blockchain creates an immutable and time-stamped distributed database entry of every single transaction ever made, making each transaction and its record easily traceable, but also rendering them irreversible, preventing double spending, fraud, abuse, and any other type of manipulation of the transactions.
Providing a secure environment
Blockchain creates an immutable and time-stamped distributed database entry of every single transaction ever made, making each transaction and its record easily traceable and rendering them irreversible, preventing double spending, fraud, abuse, and any other type of manipulation of the transactions.
Creating unique business opportunities
At the onset of building an interlinked loyalty network, large loyalty rewards program providers with well-developed programs will have unique opportunities to offer value-added services to other businesses.
A blockchain-based loyalty rewards program should reduce system management costs with smart contracts that report secure, tracked, transparent transactions to legacy systems, reducing costs associated with errors and fraud