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Blockchain Technology In Loyalty Program Applications

Published: 03 November 2023 Publication History

Abstract

Loyalty programs provide income to the user as a result of their expenditures. It helps businesses if the customer ensures continuity. A loyalty program is based on the bilateral relationship between the customer and the business. It is important to be sure of the reliability of this bilateral relationship and to be able to follow it. Today, many companies are trying to incorporate Blockchain technology into their systems because they pay attention to reliability and transparency. In this study, a loyalty ecosystem based on Blockchain technology, which will include member businesses, change the shopping and reward experience, and encourage employees is explained. We propose an application named Decentralized Loyalty Token (DLOT) to be used by entities where the community is together and the spending potential is high such as restaurants, cafes, and e-commerce platforms that want to be included in this structure. Users will earn rewards while spending DLOT Tokens and can store and accumulate the rewards indefinitely or use them for any payment. In addition, users will be able to convert the loyalty Tokens into a digital value in other businesses included in Wallet. The details of the proposed Blockchain-based loyalty system are explained along with benefits to customers and entities.

References

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      cover image ACM Other conferences
      ICBICC '22: Proceedings of the 2022 International Conference on Big Data, IoT, and Cloud Computing
      December 2022
      199 pages
      ISBN:9781450399548
      DOI:10.1145/3588340
      Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than the author(s) must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected].

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      New York, NY, United States

      Publication History

      Published: 03 November 2023

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      Author Tags

      1. Blockchain technology
      2. avalanche
      3. consensus mechanisms
      4. loyalty program

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