Blockchain-enabled Platform for a Meta Customer Loyalty Program

Document Type

Conference Proceeding

Source of Publication

2023 International Conference on IT Innovation and Knowledge Discovery (ITIKD)

Publication Date

3-9-2023

Abstract

The competitive value of customer loyalty programs is well-known among marketing strategists. With the emergence of digital platforms, their impact has skyrocketed, with mobile applications replacing more cumbersome physical cards with unique identification numbers on embedded magnetic strips or smart chips. However, these programs generally suffer from two major drawbacks that limit their growth. Firstly, physical cards and mobile applications are restricted to particular merchants and programs. There is no mechanism for customers to transfer their loyalty points between programs or to other customers (although airlines are pioneering efforts in this direction). Secondly, the payoffs of participating in these programs and transactions are not fair to all players (customers, merchants and program operators). Finally, the operational mechanisms of such programs are rarely transparent and traceable; hence, disputes are not easily mediated. Using the innovative strengths of blockchain technology, we present a conceptual architecture for a meta or universal customer loyalty program that supports the design principles of transparency, accountability, fairness and ethics.

ISBN

978-1-6654-6372-0

Publisher

IEEE

Volume

00

First Page

1

Last Page

9

Disciplines

Computer Sciences

Keywords

Technological innovation, Strips, Ethics, Knowledge discovery, Mobile applications, Blockchains, Object recognition

Indexed in Scopus

no

Open Access

no

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