The future of customer loyalty: how blockchain is revolutionising rewards programs

For years, loyalty programs have been a cornerstone of customer retention, engagement and revenue generation but traditional models often lack efficiency, interoperability and customer flexibility. However, with blockchain technology gaining traction, businesses are re-imagining loyalty schemes to enhance security, transparency and user experience. PYMNTS Intelligence projects that the loyalty market will surpass $24 billion in revenue within five years as more brands adopt blockchain technology to build adaptable and profitable customer reward programs. Indeed, as reported in the Harvard Business review: “A recent Bain & Company and ROI Rocket survey of nearly 870 US consumers found that 63% of respondents said they make buying decisions based on loyalty programs they participate in.” By tokenising rewards, companies can offer customers new ways to earn, trade and redeem points, fostering deeper engagement whilst opening new revenue streams. Certainly, this innovation is already gain…