{"id":19528,"date":"2018-03-09T10:45:51","date_gmt":"2018-03-09T17:45:51","guid":{"rendered":"http:\/\/www.web-strategist.com\/blog\/?p=19528"},"modified":"2023-06-07T17:42:57","modified_gmt":"2023-06-08T00:42:57","slug":"analysis-should-blockchain-power-your-customer-loyalty-program","status":"publish","type":"post","link":"https:\/\/web-strategist.com\/blog\/2018\/03\/09\/analysis-should-blockchain-power-your-customer-loyalty-program\/","title":{"rendered":"Analysis: Should Blockchain Power Your Customer Loyalty Program?"},"content":{"rendered":"\n
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By Kaleido Insights Research Analysts: Jeremiah Owyang, Jessica Groopman, Jaimy Szymanski, and Rebecca Lieb<\/span><\/em><\/p>\n

Trend: Nearly a dozen companies have announced their intent to launch blockchain-based loyalty programs and\/or branded cryptotokens to encourage customer engagement. <\/b><\/h1>\n

But should your company? <\/b><\/h1>\n


<\/b>Is it right for your loyalty program? Is it just hype? Should you deploy? Our analysis of what you should consider.<\/span><\/p>\n

Keep in mind, many of these are corporate announcements of <\/span>intention <\/span><\/i>to launch the programs, few are currently deploying. A few examples: <\/span><\/p>\n

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  1. Recently, restaurant holding group Chanticleer (<\/span>franchises include Little Big Burger, American Burger Co., Hooters, Just Fresh, and BGR)<\/span> announced its intent to use a blockchain-based loyalty coin<\/span><\/a> for rewards across its dining brands,<\/span><\/li>\n
  2. Japanese ecommerce giant <\/span>Rakuten just announced a token<\/span><\/a> at Mobile World Congress called Rakuten Coin aimed at deriving additional loyalty from customers, <\/span><\/li>\n
  3. Singapore airlines <\/span>announced a blockchain based loyalty wallet across retail partners for frequent flyer loyalty wallets<\/span><\/a>, <\/span><\/li>\n
  4. Coffee brand Latesso <\/span>announced partnership<\/span><\/a> with qiibee for loyalty cryptocurrency across locations in Switzerland, Germany, Russia, Austria, and Benelux,<\/span><\/li>\n
  5. A tea company <\/span>rebranded to Long Blockchain Company<\/span><\/a>, and their stock price tripled,<\/span><\/li>\n
  6. In 2016, China Unionpay (CU), the third-largest payment network by value of transactions processed, behind Visa and Mastercard, recently announced a blockchain PoC project in collaboration with IBM to develop a loyalty bonus points exchange for its 200+ members across 150 countries,<\/span><\/li>\n
  7. Snipps (digital marketing promotions provider) recently <\/span>partnered<\/span><\/a> with LoyalCoi,n<\/span><\/li>\n
  8. Elements’ ELM token cryptocurrency miners can earn ELM for “proof of work” processing. These universal tokens can be used for shopping, airlines, movies, etc.<\/span><\/li>\n
  9. Russian Burger King’s <\/span>WhopperCoin<\/span><\/a> announced their program<\/span><\/li>\n<\/ol>\n

    Business Opportunities:
    <\/b><\/b>While private blockchains and branded cryptos are nascent, bleeding edge technologies with limitations, we have to ask: <\/span>Why<\/span><\/i> is this a budding trend? We see many potential business opportunities including: <\/span><\/p>\n