Maximizing the Efficiency of Loyalty Rewards Program Management with Blockchain

Running customer loyalty and engagement programs can either make or break your company. It is because loyalty rewards programs serve as a strategic investment for diverse types of organizations.

At Oodles, a blockchain and smart contract solutions development company, we believe that you would have enrolled in a loyalty program. The range and variety of customer loyalty and reward programs are mind-boggling. For instance, Virgin Atlantic’s tiered points program (Virgin Atlantic Flying Club) connects to rental cars, airport parking, hotels, and massage services. Similarly, Amazon’s upfront membership program (Amazon Prime) enables free shipping and media services. Another instance is Patagonia’s and eBay’s joint loyalty program (Common Threads Initiative). It enables customers to resell clothes bought on the platform of the latter.

Blockchain innovation can possibly smooth out organization, lessen costs, and improve the client experience for loyalty rewards programs. 

Client loyalty and commitment can represent the deciding moment organizations, and all things considered, loyalty rewards programs speak to key speculations for a wide range of associations, including monetary establishments, lodging networks, and traders. Loyalty rewards programs come in numerous structures, from aircraft organizations' layered focus programs, which include associations with rental vehicle organizations, lodgings, cafés, and shops, to Amazon's forthright charge program, Amazon Prime, which gives free delivery and permits individuals to apply rewards focuses from taking interest organizations toward buys. 

A potential arrangement is to incorporate divergent programs into an interlinked loyalty organize, however, such coordinated effort isn't simple. To begin with, various loyalty programs have conflicting computerized engineering, which makes it hard to coordinate frameworks. Second, organizations might be worried about securing exclusive data and clients' by and by identifiable data. Third, adding accomplices to and expelling them from loyalty programs is unpredictable, opportune, and costly. At long last, a general absence of sufficient digitization toward the front (e.g., portable applications) makes it hard to make a uniform computerized understanding across loyalty programs. 

Blockchain, a conveyed record innovation that gives better approaches to execute and keep up records in a protected, digitized, interlinked arrangement, can possibly take out a significant number of these issues. Blockchain innovation can benefit different sorts of loyalty rewards programs. Simultaneously, it can significantly improve the client experience by permitting purchasers to get to most, if not all, of their loyalty rewards programs in one advanced wallet promptly. 

Why Blockchain Is the Remedy 

Blockchain permits loyalty rewards program suppliers, directors, clients, and different gatherings to collaborate in one framework without trading off security or upper hand. For loyalty rewards program suppliers, blockchain can possibly smooth out the execution of their programs with close to constant straightforwardness, bringing about reserve funds in authoritative and faculty costs. 

Also, blockchain can be associated with online networking and advanced wallets and can communicate with existing loyalty rewards program stages through "keen agreements"— self-executing PC programs that consequently actualize the provisions of an understanding between parties when conditions are met. 

How Blockchain Works 

Blockchain can possibly permit close immediate creation, recovery, and trade of loyalty rewards that focuses across programs, sellers, and enterprises in a safe situation. Through a thorough online convention, all around modified structure squares, and keen agreements, blockchain has the capacity to work without mediators. Blockchain-empowered loyalty rewards frameworks join

Loyalty network platform

Rewards applications

Loyalty tokens

With blockchain technology, the customer experience would be greatly improved.

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