Hence, developing a strategy that would retain and boost loyalty from customer has become the objective of most companies nowadays (Duffy, 2003).
Many see it as primarily an attitude-based phenomenon; therefore, offering customer relationship management initiatives such as customer loyalty programs can be significantly influenced by it (Uncles, 2003).
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.
Loyalty programs based on Blockchain where smart contracts will automate all transactions will make the management of loyalty programs smooth and autonomous.
Loyalty points today are not interoperable among multiple stores of different groups.
Customers often suffer from ‘loyalty program fatigue’ due to the vast number of programs available, which subsequently leads to loyalty program inactivity.Transaction costs related to the issuance and redemption of reward tokens are much lower on the blockchain since they do not require a third-party.Blockchain also significantly reduces system management costs, thanks to smart contracts that automise processes, all while reducing costs related to instances of error.In the US alone, consumers hold more than 3.3 billion memberships in customer loyalty programs.There is a term called “breakage” used in the loyalty industry to refer to reward points that are not redeemed.A study by American Express revealed that 62% of millennials tend to only ever buy a preferred brand compared to 54% of the wider population.In addition, 58% of millennials say that they will buy the same brand of products no matter what.Blockchains technology is an excellent solution for running network loyalty programs because they address many of these technical challenges.One of these solutions include creating a shared transaction ledger between all involved brand, implementing interchanging rules based on “smart contracts”, which is fraud and cheating protected.And till the day these points expire, they will sit as a liability in balance sheets of brands.And for an industry that tops 0 Billion, the problem is undoubtedly immense.
Comments Thesis On Loyalty Programs
Loyalty Programs and Their Impact on Customer Behaviour
The following paper examines the effect of loyalty programs on customer buying. The second chapter of the dissertation consists of a critical review of the.…
Blockchain can save Customer Loyalty Programs from.
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Loyalty Program Research Papers - Academia.edu
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The Implications of Bank Loyalty Card Programs for Hotel.
This Thesis is brought to you for free and open access by the School of Hotel. This thesis looks into hotel loyalty programs and the relationships between the.…
Loyalty Programs - MODUL University Vienna
Feb 8, 2016. Loyalty Programs – Analysing. Luxury Hotels in Vienna. Bachelor Thesis for Obtaining the Degree. Bachelor of Business Administration in.…
Customer Loyalty Program Chapter 1 Essays - 2275 Words.
Many see it as primarily an attitude-based phenomenon; therefore, offering customer relationship management initiatives such as customer loyalty programs can.…
Dissertation on Customer Loyalty Tesco Retail - Scribd
Dissertation on Customer Loyalty - Free ebook download as Word Doc. Customer Loyalty Programmes.23 Loyalty as Strategy33 Rhetoric Vs. Reality.36.…
To investigate customer perception towards retail loyalty.
Jan 7, 2019. and strength to successfully complete this program and dissertation. The aim of this study is to investigate loyalty card programs offered.…
The impact of multi-vendor loyalty programs on the consumers.
The impact of multi-vendor loyalty programs on the consumers' online purchase. Publish your bachelor's or master's thesis, dissertation, term paper or essay.…
Evaluating The Impact Of A Loyalty Program On Brand Loyalty.
The research reported in this thesis adopted a novel approach to æsessing this effect. repertoire markets loyalty programs appe r to have little or no ability to.…