Loyal is a fast-growing healthcare technology company that recently raised its Series A

Loyal

loyal

Boost Brand Loyalty:  How UGC Supercharges Brand Loyalty

Welcome to another fascinating edition of our "Behind the Startup" series. Today, we have the pleasure of speaking with Gennady Volchek, the visionary behind a trailblazing platform in the blockchain industry. With a rich background in leveraging emerging technologies and a deep dive into the realm of blockchain, Gennady Volchek shares his journey from early ventures in digital publishing and VOIP innovations to the inception of Shping. Shping, We also explore Shping's unique approach to partnering with major consumer goods companies and its future goals in a rapidly changing market. Shping's Mastermind Gennady Volchek Talks Blockchain's Role Against Counterfeits Ishan Pandey: Hi Gennady Volchek, great to have you here for our "Behind the Startup" series. Please tell us about your background and what motivated you to venture into blockchain industry and build Shping? Hi Ishan, Glad to be here. Gennady Volchek: Absolutely, happy to delve into that. My journey into the blockchain realm is just another chapter in a series of ventures fueled by a passion for leveraging emerging technologies. At the age of 18, I started a publishing company in collaboration with the world's largest ethnic newspaper. Faced with the challenge of long-distance transportation and the need for news to stay current, we managed to digitize printing templates, making them downloadable via FTP—cutting-edge tech at the time :)—enabling us to print and distribute papers across Australia on the same day they hit Eastern Europe shops. Fast forward to the early 2000s, we pioneered the first VOIP call on the public internet using Cisco hardware, cutting the cost of international calls for our members by around 90%. While I've been watching Bitcoin in the media for a few years, I started being fascinated by blockchain technology around 2016, right when 's universal rewards platform was in the making. That's when I realized that universal rewards should be powered by a universal ledger. Shping Ishan Pandey: How has Shping transitioned from its initial emphasis on product authenticity to transforming into a turnkey loyalty and rewards program for brands? : Shping has pivoted from a track-and-trace solution aimed at assisting brands in tracking their products through the supply chain, enabling end consumers to access the product journey for authentication and province verification. Like many startups during the way of working on one solution, we have discovered additional value in our approach of connecting consumers and the brand, further reinforced by feedback from our pilot clients. We realized that both shoppers and brands were struggling with a lack of a secure and transparent channel of communication. Gennady Volchek We quickly realized that this can revolutionize how brands market and communicate with their customers, which is a US$1.5 trillion industry. That's why we decided to develop Shping with the view to revolutionize the brands-to-consumer-to-brand communication. Ishan Pandey: In your opinion, can blockchain effectively address the increasing complexity of counterfeit goods? : Just for clarity, I would like to explain that our track and trace module leverages a centralised database and has been built from the ground up on EPCIS standards developed by the GS1 organization. It's important to understand that the proper implementation of industry-standard track and trace technology is capable to safeguard businesses and shoppers against counterfeit and other illicit distribution irrespective of the method of how your data is stored, i.e., centralised vs decentralised ledger and each has its pros and cons, but blockchain is not an underlying technology in that instance. Gennady Volchek Ishan Pandey: Can you share some insights into Shping's integration with Coinbase Wallet and how it aligns with the company's overall strategy? In the realm of rewards programs, seamless redemption is key. While many aim to reward in some kind of convertible currency, the complexity and cost make it a challenge thats why we usualy see use of gift cards or in store discounts.  Since Shping—a universal rewards platform using ERC20 utility tokens enabling any brand to instantly reward any shopper around the world. Gennady Volchek: With the app integrated with Coinbase making onramp of ramp one-click away. Imagine a shopper in London writing a review on Australian Corn Chips, earning instant rewards from that brand,  converting them to Euro, and using earning towards buying those chips—all in under a minute. Ishan Pandey:How does Shping successfully establish and maintain partnerships with major consumer goods companies, such as Coca Cola & Kraft Heinz, gaining their acknowledgement and trust? Additionally, what benefits does the platform derive from these collaborations? One of the biggest challenges for FMCG brands is the lack of a direct communication channel with their end customers, making them heavily reliant on retailers and social media for information dissemination. Shping breaks this barrier, allowing brands to establish a one-on-one relationship with in-store consumers. This not only enhances product knowledge and education but also enables brands to directly reward consumer engagement and loyalty. For instance, instead of paying a social media platform to showcase a new video, brands using Shping can pay consumers directly for watching it. Gennady Volchek: Shping enables brands to manage their marketing communication strategy and activate offers and specials directly without the need for an intermediary. This significant shift empowers brands to influence shoppers' buying activity while cutting one of the biggest costs of marketing. This is why more and more brands like KH, Pepsi, and Coke realise the power of Shping and making it part of their marketing strategy. Ishan Pandey: As the winner of "Best Emerging Application Start-up Company 2023" by APAC Insider, what do you attribute Shping's success to, and what are your plans for sustaining and expanding this success in view of evolving consumer behavior and technological advancements? Gennady Volchek: As the honored 'Best Emerging Application Start-up Company 2023' by APAC Insider, we attribute Shping's success to our commitment to purposeful innovation. Winning this award indicates that Shping is perceived as a positive force for users, a recognition we're humbled by. Our journey revolves around reshaping how shoppers are rewarded for their value to the corporate world. Unlike traditional programs, Shping allows brands to directly invest in consumers, providing tangible rewards that ease economic stress. Looking forward, our plan to sustain and expand this success is rooted in genuine innovation. We're not just innovating for the sake of it; we aim to make a positive impact in people's lives. In the face of evolving consumer behavior and tech advancements, our humble goal is to address economic challenges, creating a win-win for both shoppers and brands. This award fuels our dedication to meaningful innovation. Ishan Pandey: In what ways does Shping differentiate itself from other loyalty and rewards programs in the market, and what challenges have you faced in this competitive landscape? Gennady Volchek: Most existing rewards programs are typically run by retailers since they usually have a direct relationship with the end consumer. Rewards are often funded by the squeezed margins of retailers, which naturally cannot be very significant. Shping introduces a new concept by connecting brands and consumers, enabling brands to leverage blockchain technology to redirect their marketing spend directly to the end consumer. This makes the rewards tangible and substantial enough to alleviate economic stress amidst inflation and the rising cost of living. The paradox is that while shoppers receive more, it actually reduces the marketing costs for the brand. This reduction could lead to brands lowering the cost of goods, making them more affordable and further enhancing the lives of everyday shoppers. Ishan Pandey: Looking ahead, what are the key goals and milestones Shping aims to achieve in the next 1-2 years, and how do you plan to navigate potential challenges in the market? Gennady Volchek: The next few years look incredibly exciting for Shping. We've always viewed Australia as our test market—a place to roll out technology, test features on our planned roadmap, and pave the way for international expansion. I'm thrilled to share that our international expansion plans are already in the works. We'll be announcing our next market during our final AMA of the year, streaming live across our social channels on December 22nd. So hope Hackernoon readers could join us for our next AMA. Don’t forget to like and share the interview! Vested Interest Disclosure: This author is an independent contributor publishing via our brand-as-author program. Be it through direct compensation, media partnerships, or networking, the author has a vested interest in the company/ies mentioned in this story. HackerNoon has reviewed the report for quality, but the claims herein belong to the author. #DYOR

Revolutionizing Loyalty Programs: Gennady Volchek Unveils Shping's Blockchain Journey

বিপ্লবী আনুগত্য প্রোগ্রাম: গেনেডি ভলচেক শপিংয়ের ব্লকচেইন যাত্রা উন্মোচন করেছে

Revolutionierung von Treueprogrammen: Gennedy Volchek enthüllt Shpings Blockchain-Reise

Revolucionando los programas de fidelización: Gennedy Volchek presenta el viaje blockchain de Shping

Révolutionner les programmes de fidélité : Gennedy Volchek dévoile le parcours Blockchain de Shping

वफादारी कार्यक्रमों में क्रांतिकारी बदलाव: गेनेडी वोल्चेक ने शपिंग की ब्लॉकचेन यात्रा का खुलासा किया

ロイヤルティ プログラムに革命を起こす: Gennedy Volchek が Shping のブロックチェーンへの取り組みを明らかに

충성도 프로그램 혁신: Gennedy Volchek, Shping의 블록체인 여정 공개

Revolucionando os programas de fidelidade: Gennedy Volchek revela a jornada Blockchain da Shping

Революция в программах лояльности: Геннеди Волчек рассказывает о блокчейн-путешествии Шпинга

Sadakat Programlarında Devrim Yaratan: Gennedy Volchek, Shping'in Blockchain Yolculuğunu Açıkladı

Cách mạng hóa các chương trình khách hàng thân thiết: Gennedy Volchek tiết lộ hành trình chuỗi khối của Shping

彻底改变忠诚度计划：Gennedy Volchek 揭开了 Shping 的区块链之旅

is a core component for all ambitious businesses, but can loyalty be digitized to great effect? Customer retention Many businesses mull over how to optimize customer retention, but a startling number of decision-makers still struggle to understand that customer loyalty is about more than just selling products. Today, to retain more customers, businesses must apply their efforts and resources to provide a level of service that can appeal to customers in an engaging way. While it can be easy to lose the trust of customers, it takes time and care to build it up. Fortunately, these processes can be optimized in a digital environment to help build strong . relationships between a brand and customers Optimizing Social Engagement When it comes to leveraging a customer retention strategy, social media is a key consideration for virtually all businesses. Through social platforms, it’s possible to keep customers informed and nurture new leads about your brand, upcoming events, special offers, and product discounts. Crucially, are also excellent ways of attracting customers by demonstrating their credibility using other trustworthy sources. social proof and social selling Whether you use social media to highlight positive expert comments or an influencer endorsement, you can leverage the right platforms to showcase your brand and products in the best possible light. \In the above excerpt from the Starbucks X account, we can see that the brand is no stranger to utilizing social proof in the form of a positive repost or a celebrity endorsement to boost engagement. Build Analytical Insights from Behavior Customer loyalty offers key tangible and intangible benefits for businesses, particularly when it comes to data collection. Loyal customers who regularly interact with a business can indirectly offer more data and insight into predictive analysis initiatives. The great thing about the insights leveraged through is that they can provide actionable information on what exactly caused them to become so engaged with your business. customer loyalty Factors like your products with the best competitive advantage, the best target demographics for certain products, whether customers are willing to increase their spending, and the average can all be analyzed through the behavioral insights from your most loyal customers. lifetime value of a customer Create Rewards to Compliment Behavioral Patterns For rewards to be most effective, they must leverage a positive action. For instance, if you want to increase your average order value, a restaurant can add a complimentary drink with a certain meal deal. But how can you set up rewards to complement a ? There are three key principles that all businesses can follow to maximize their performance. digital customer retention strategy Firstly, businesses should go beyond discounts in order to reach new leads. Applying too many discounts can lead to negative perceptions of a product’s quality and the cheapness of your brand. Rather than discounting, adding bonuses like free delivery on orders over $50 can motivate customers to receive a reward for buying more. You should also look to distribute simple rewards for loyal customers. Rather than offering a freebie every 10 orders, keep customers motivated to come back by offering a smaller reward for every two or three orders. Finally, make sure that you are seen to recognize your customers through your rewards systems. Whether you offer them a special birthday discount or a reward as part of a referral scheme, this can help customers feel valued and motivated to continue promoting your brand. Leverage Personalization The single best way to generate more customer retention is to build an emotional connection between your customers and your brand. This can be done through personalization, and customers can feel more valued when their experiences are tailored to suit their own wants and needs. Statistics suggest that are more likely to make a purchase with personalized experiences, but leveraging personalization means utilizing more customer data. 80% of shoppers This is where the behavioral analytics you’ve amassed can become useful for developing insights based on previous purchases, brand preferences, and key shopping habits. Using this data in an affirmative way can help you showcase your most effective products and services under the noses of your most receptive leads. Building Segments for Lost Customers Another key component of customer retention is to reclaim your customers who have fallen through the cracks of your loyalty scheme in recent months. Be sure to set up a bespoke promotion that can lure lapsed customers back into making regular purchases with your business. In addition to this, customers who have abandoned an online shopping cart could that their items are still available to buy. receive email reminders These measures can actively encourage retention and show customers that your brand considers them valuable enough to engage with if something seems wrong. Harnessing the Power of Loyalty Managing customer retention is key for ambitious businesses of all sizes. It can be a powerful tool that positively impacts loyalty and maximizes growth prospects. By prioritizing customer needs and meeting them, a digitized strategy can help organizations build strong and lasting relationships with their customers. Leveraging loyalty is about more than just marketing a brand accordingly. It has to be a business mindset where the customer can feel prioritized through meaningful connections and interactions. It’s through this carefully structured approach that a business can build a sustainable connection with those who matter most.

Leveraging Loyalty: Can Businesses Digitize Customer Retention?

has officially announced , the first loyalty program for degens. The announcement comes on the heels of the launch of , an expansion of the site’s editorial coverage into new and barely explored corners of the crypto space. NEW YORK, United States, September 26th, 2023/Chainwire/-- Decrypt Media Inc. 1000x Degen Alley Degen Alley embraces the "degenerate" side of the crypto and gambling communities, serving as a place for the thrill-seekers, risk-takers, and crypto enthusiasts who live on the edge. is a membership community spanning the spectrum of gaming entertainment by offering exclusive access and discounts on sports betting, casino games, online poker, and more. The program offers two tiers of membership, each corresponding to different levels of perks, including discounts and preferred rates at partners like PokerGo, Stake.com, Action Network, and Rotowire, member-exclusive events such as poker tournaments, access to a 1000x community Discord, and more. 1000x Degen Alley is also home to “This Time Will Be Different,” a podcast hosted by Reza Jafery focusing on guests from the degen side of the crypto space, their origin stories, and the problems that wake them up in the morning. Featuring guests such as Martin Shkreli, Amanda Cassatt, and Allie Eve Knox, “ ” is the talk show counterpart to Degen Alley, featuring some of the greatest minds in the space as they share laughs, trade tales of barely missing generational wealth, and discuss the latest crypto disasters hitting X (the social network formerly known as Twitter). This Time Will Be Different Stay up-to-date while having some fun at Degen Alley. Degen Alley is a gathering place and communal safe haven for degen culture, offering different avenues for members to share, engage, and play. Degens and crypto enthusiasts alike come for the storytelling and stay for the fun. Additional features found in the hub include: AI-Powered News Exploration. Degen Alley offers an AI-powered news explorer that keeps gamblers up to date on the need-to-know of the industry. Content. The site will offer additional unique content offerings alongside “This Time Will Be Different,” the candid podcast focusing on degen culture. No topics or guests are off-limits. Learning. “Degen U” provides educational content to help members degen even harder. The first course, , is available on launch and will help traders identify trends, seize the right moment to trade, and weed out scams… and have fun doing it! Mastering NFT Trading Degen Alley lives on the website and features articles, interviews, breaking news, and more. Alongside editorial content, the platform is supplemented by the 1000x members-only channels in Discord. decrypt.co About Decrypt Media is a next-generation media company and creative studio positioned at the intersection of emerging technology, alternative finance, and culture. Our day-to-day operations are powered by AI and Web3. Decrypt Decrypt was founded in 2018 with a simple mission: to demystify the decentralized web. As the Web3 industry’s impact has grown, so has our coverage. Today, we exist to capture compelling narratives that span technology’s reach into every facet of life. We’re passionate about the interplay between technology and culture. This dynamic space is filled with untold stories. We’re here to tell them and to create a few of our own. Our mission is to inform about current events, educate about emerging technology, and empower those with a creative vision to bring it to life. Contact Nadav Dakner nadav@chainwire.org This story was distributed as a release by Chainwire under HackerNoon’s Brand As An Author Program. Learn more about the program here: https://business.hackernoon.com/brand-as-author

Decrypt Introduces 1000x: The First Loyalty Program for Degens

Decrypt presenta 1000x: el primer programa de fidelización para Degens

Decrypt présente 1000x : le premier programme de fidélité pour Degens

डिक्रिप्ट ने 1000x पेश किया: डीजेन्स के लिए पहला लॉयल्टी प्रोग्राम

Decrypt が 1000x を導入: Degens 向け初のロイヤルティ プログラム

Decrypt apresenta 1000x: o primeiro programa de fidelidade para Degens

Decrypt giới thiệu 1000x: Chương trình khách hàng thân thiết đầu tiên dành cho Degens

Decrypt 推出 1000x：Degens 的首个忠诚度计划

The promise of Web3 is one that we can’t possibly take for granted. This technological marvel is looking to be the future of the landscape, providing users with better control of their data and the ability to choose how they interact with the internet as we know it. With concepts like artificial intelligence and , Web3 is undoubtedly the next iteration of what the internet is meant to be. And although it is yet to reach the levels of adoption that its proponents hope, Web3 is moving quickly to that next stage. blockchain technology The problem, however, remains that Web3 won’t be able to reach its full potential without the necessary customers. Like the J-turner before it, there is a growing sense that it might take a while before Web3 really flourishes and becomes the frontier of the future. Web3 is still very much in its infancy, and the general consensus is that we might have to wait a few years to see it really reach millions of people. The problem, though, is that Web3 platforms might not necessarily have that time. These services are in a race against time to show that their solutions are catching on - both as a form of social proof and as a means of appeasing investors who already committed millions to them. Otherwise, the dream of could die in infancy. Web3 Fortunately, many Web3 platforms have the opportunity to solve this by turning to a solution that has helped their counterparts in the traditional tech space - loyalty programs. The system of loyalty programs is one that has stood the test of time. And while Web3 will change a lot of things in the tech landscape for good, loyalty programs won’t go extinct because of it. A platform can easily offer different types of incentives and attractions to customers in order to get them to join and ramp up adoption. From freebies like discounts on services to the opportunity for affiliate marketing, loyalty programs are varied - thus allowing you to enjoy complete freedom over what you offer your customers for their continued patronage. In this interview, we spoke to the founder and chief executive of Metopia - a reputation-based Web3 loyalty platform - on his vision for his company and how loyalty programs can change the landscape of Web3 marketing. 1. What do you think is the biggest impediment to Web3 adoption? In our view, cost is the biggest impediment to Web3 adoption. For users, the cost is mainly in two aspects: the time cost to build awareness of the new technology, and the costs. on-chain transaction Almost no one is born a Web3 user. The barriers of entry, such as the complexity of cryptocurrency wallets, the technical know-how required to navigate decentralized platforms, and the unfamiliarity of blockchain concepts,  can discourage mainstream users from fully embracing these technologies. From the perspective of awareness, Web3 is the creative destruction that is built on critique and rethinking of the established order. We are born in a centralized world that makes every effort to chase efficiency, and the ubiquitous game between efficiency and decentralization in blockchain is a new order that requires repeated self-adaption for both builders and users. Hence, both the practice and perception of Web3 are challenging the comfort zone of mainstream users. 2. How does Metopia hope to address this with loyalty programs? In two aspects, Metopia offers a loyalty toolkit for Web3 teams to gamify the engagement process and lower the user cognitive load, and besides, Metopia is a light entrance for common users to experience blockchain-based loyalty system, sharing Web3 primitives like decentralization and transparency. Loyalty programs aim to reward customers for brand engagements. Metopia's loyalty toolkit has its classic side - similar incentive apparatus including points and badges to boost engagements. For early Web3 projects, when users were always discouraged by the steep learning curve and high transaction costs, incentive matters. Token airdrop is now a more common way, but a loyalty program means more. By recording users' contributions with points and on-chain badges, our toolkit allows every community to create its own sustainable user incentive loop. Additionally, teams can differentiate users and motivate them with incentive methods offered including instant tokens, incentive pools, raffles, and governance powers. Thus users have a gamified growth experience when using the product, and their value created is reasonably redeemed, while the brand gains better user retention and a refined understanding of users through contribution records over time. If we try to position Metopia in the broader world, the second scenario occurs. Badges within a brand are classic, but a bit boring, while when badges and the metadata are recorded on the blockchain with discoverability and portability, they can become part of your digital identity in the long run. And when badges, , and blockchain are combined, it unlocks new experiences and possibilities for traditional users. Alex Stein describes what it's like to participate in Starbucks’ Web3 Loyalty Program launched in last December, “strangely addictive, surprisingly lucrative and an entertaining glimpse into NFT culture.” We can feel the sparks of the combination of traditional brands and Web3 primitives bringing novel experiences to consumers, and this is also a direction that Metopia will explore in the future, offering blockchain-based loyalty programs and more interesting gaming experiences for traditional brands. NFTs in his article 3. Are Web3 platforms on the right track to organic growth? I would say that the bear market de-bubbling process is the best time window for web3 platforms to return to organic growth. When the easy liquidity environment no longer exists, it must be an unquestionable choice for Web3 builders to return to technology building, demand-driven, and user growth at the moment. I say return because we are perhaps on the verge of straying. There's a trend in the Web3 realm where the means itself becomes the end. This loss of focus always revolves around tokens, and token airdrops, supposed to be a means of user acquisition, become the prioritized purpose of the user. It must be acknowledged that airdrops are an innovative Web3 means of acquisition, and the early Uniswap and 1inch airdrops were a generous reward for the early brave. Token airdrops are firstly a go-to-market strategy, while Web3 token wealth effect sometimes entraps the users and builders into the airdrop curse, and thus the product-market fit is ignored. Many airdrop campaigns have proven to be too expensive a means of customer acquisition. Kerman Kohli offered his data-driven insights that reaches $2175 per user, and 60% of users didn't retain at all. And this is an important reason why Metopia tries to push forward the adoption of loyalty programs in the Web3 market. the customer acquisition cost of Arbitrum airdrop campaign The difference between token airdrops and loyalty programs should be clear: sustainability. If token airdrop is an effective way for new user acquisition, loyalty programs should be designed when the community starts to emerge, to ensure that incentives are properly rewarded to the right and real user. In other words, token airdrops can be a special round for a loyalty program to reward early users that made contributions to the project, but it's not supposed to be the only way since user acquisition and retention can't stop at one-off token issuance. The instant incentive is a hook to activate potential users to experience new products and features, while the loyalty-based incentive program helps projects gather valuable users that are willing to grow with the projects on a long-term, ongoing basis and gradually form a robust community. 4. What other marketing tactics can Web3 founders use to boost adoption? Collaboration within the Web3 ecosystem is crucial, but it's equally important for users to educate themselves about the possibilities and benefits of . Web3 platforms can play a pivotal role in facilitating user education through various means, such as tasks, rewards, and loyalty programs. By incentivizing users to engage in educational tasks and providing rewards for their active participation, platforms can encourage users to learn about the underlying principles and functionalities of Web3. Loyalty programs can further motivate users to deepen their understanding and explore different aspects of the ecosystem. Empowering users with knowledge not only enhances their experience but also fuels the organic growth of Web3 by fostering a well-informed and engaged community. Through collaboration and user education initiatives, the Web3 ecosystem can thrive and unlock its full potential. decentralized technologies Conclusion Web3 is expected to be a revolutionary piece of technology that will change the way we see the overall tech landscape. But, like many iterations of the industry before it, there is a significant need for Web3 to catch on with customers.

Web3 Platforms Need Customers - How Loyalty Programs Can Help

SYDNEY, Australia, May 20th, 2023  - The 2023 organizing team has partnered with to deliver Permissionless Perks, an Open Loyalty solution that enables event attendees to independently verify ticket ownership to 3rd party perk providers. Attendees at EDCON 2023 in Montenegro from May 19th - 23rd, can claim over 30 exclusive perks available only to them. EDCON Smart Token Labs CEO of Smart Token Labs, Victor Zhang, said Permissionless Perks is one of the few commercial examples of Open Loyalty:  “It’s a permissionless Open Loyalty solution where the verification occurs between the ticket holder and the perk provider without involving the event organizer. A URL delivered to attendees is an attestation that attests ticket ownership and is then stored in the browser’s local storage to enable the seamless claim of perks on the providers’ websites.” Sky Harris, Marketing Lead of De University of Ethereum, co-organizer of EDCON, praised Permissionless Perks as a great way to create additional value for attendees: “What we love about this solution is it enables any 3rd party to add value to the attendee experience by providing perks for our ticket holders. It's a truly permissionless and decentralized solution, and attestations unlock unique value.” There are over 30 perks for attendees, ranging from the ability to free mint a derivative Cool Cat in EDCON swag to the chance to claim one of 50 serves of ‘Njegusi Prosciutto’ from a famed local Montenegrin restaurant. “We thank our friends at Smart Token Labs for supporting EDCON by enabling ticket attestations and Permissionless Perks via their fully open-source TokenScript technology.” STL has now delivered the Permissionless Perks as a public goods supporter to the three largest Ethereum developer events of 2022 and 2023 including EDCON 2023 in Montenegro, Devcon VI in Bogota, and DevConnect in Amsterdam. About Permissionless Perks Permissionless Perks is an open loyalty platform enabling any brand to offer a perk to event ticket holders through an open marketplace. Because it is open, any brand can create value for verified event attendees, removing the burden of value creation from the event organizer. At Devcon VI in Bogota, Permissionless Perks had a 58% engagement rate and a 20% claim rate on rewards which is 2X the industry average. About Smart Token Labs is the creator of SmartLayer, a chain-agnostic Token Utility Protocol that enables mainstream use cases between web2 and web3. SmartLayer consists of Smart Tokens that let businesses convert user data into smart tokens owned by those users. is enabled by SmartLayer seamlessly integrating token utility and logic into products and services across both web2 and web3. Smart Token Labs Token utility For more information visit: | | Official website Twitter Telegram Contact: CMO Brent Annells Smart Token Labs b@smarttokenlabs.com This story was distributed as a release by Chainwire under HackerNoon’s Brand As An Author Program. Learn more about the program here: https://business.hackernoon.com/brand-as-author

Smart Token Labs Introduces Open Loyalty Solution at EDCON 2023

Smart Token Labs presenta una solución de lealtad abierta en EDCON 2023

Smart Token Labs présente une solution de fidélité ouverte à EDCON 2023

स्मार्ट टोकन लैब्स ने EDCON 2023 में ओपन लॉयल्टी सॉल्यूशन पेश किया

Smart Token Labs が EDCON 2023 でオープン ロイヤルティ ソリューションを発表

Smart Token Labs apresenta solução de fidelidade aberta na EDCON 2023

Smart Token Labs giới thiệu giải pháp Open Loyalty tại EDCON 2023

Smart Token Labs 在 EDCON 2023 上推出开放式忠诚度解决方案

Cash-back, loyalty points, miles, gift cards, and numerous other variations – reward programs come in all different shapes and sizes. Unfortunately, they all seem to suffer from similar issues. Lack of flexibility, an obnoxious amount of restrictions, and useless “perks”. But nonetheless, these systems attract and encourage loyalty to their brand, card, and/or program. A great example of this is American Express. The company is one of the most prestigious credit card providers in the world than competitors. It’s renowned for its intricate reward systems, but there’s still one problem – you can only use those rewards within its network. despite having significantly less reach These kinds of restrictions exist across the entire reward industry from gift cards to proprietary loyalty points. But that may be about to change as crypto debit cards and reward systems begin to move into the limelight. On the surface, this seems like just another customer retention strategy, However, it may actually have the potential to reinvent the notion of reward cards and loyalty points, which is a big part of the modern consumer experience. Current reward programs and how they work The idea behind a reward program is simple. The customer is rewarded, usually with cash back, points, or miles, for making a purchase. Such programs are typically applied for specific forms of payments, like credit card payments. Under cash back, the customer is refunded a certain percentage of their payment. With points, the user receives points for every purchase. They can then redeem these points for goods or services in the future. The same applies to mileage points, which are used by airlines. The consumer earns miles which they can then redeem for travel or hotel stays. In all of these, the customer makes regular purchases and they are rewarded for it. And it sounds good; at least on paper. Things become a little more complicated when it comes to implementation. Here, the question arises; how much value do users actually get from these programs? The flaws of traditional reward programs Traditional reward programs have some big flaws. Unfortunately, these flaws ensure that most customers derive very little value from the program. Take cash-back rewards for instance. While cash-back levels vary depending on the type of purchase and the credit card, most pay 1%-2%, at most 3%. That's a very small reward. To put it into perspective, on average, the card owner will have to spend a thousand pounds to get £20 cash-back. That can be acceptable until you factor in the fees and interest rates. Credit card rewards programs carry high fees and interest rates that negate the value of the rewards. What about points and miles? It's the same really. Consumers don’t earn that many points and miles from reward programs. For example, “mile” values are generally worth 1 cent per mile. The average cost of a good round-trip flight from JFK in New York to Heathrow is around €600. So, one would need to travel around 65,000 miles to earn points worth a single trip. This point also demonstrates another big flaw of traditional reward programs – limited earning and redemption options. There are limited ways through which customers can earn and redeem points or miles. Take miles rewards for instance. Miles can only be earned through air travel. And once earned, they can only be redeemed at the specific airline that offered them. Points, on the other hand, can only be earned and redeemed at specific outlets for specific purchases. Some programs only give rewards for grocery purchases, others for household items, electronics, and so on. This makes things frustrating for customers who may wish to earn rewards for making different purchases or those who want to use their rewards for other experiences. So, while reward programs are attractive to consumers, they don’t offer that much value. But what do crypto debit cards have to offer? Do cards like the Plutus Card do any better? Rewards With Crypto Debit Cards Plutus, a Web3 project that provides users with a debit card and a finance app that focuses on rewards. Users earn a percentage of the value back in Pluton (PLU). A huge benefit of such cards, and perhaps the most important, is redemption options. Crypto rewards have much more flexible redemption options than traditional reward programs. This is because they have very few limitations and give consumers an array of options and opportunities to earn and spend rewards. For example, a cardholder earns crypto for using the card at any merchant. Here it doesn’t matter where the holder has used the card. As long as the consumer uses the card to make a purchase, they will be rewarded. They then get to spend the rewards on anything they want. They’re not limited to a particular class of goods or services. They can also hold the rewards in their wallet as they would any other cryptocurrency. If the assets grow in value, well and good. Consumers also have the option to withdraw their rewards, which is impossible to do with conventional credit card rewards. This involves converting the tokens into real money by selling them at an exchange. For example, this app features a peer-to-peer exchange that supports crypto-fiat swaps. So, Plutus Card users can easily and conveniently convert their Pluton to cash. The other benefit of crypto rewards is the size. On average, crypto debit cards offer bigger rewards than credit card programs. Take Plutus for instance, which offers rewards of up to 8%. This is one of the highest reward rates in the market. Takeaway Overall, crypto debit cards have bigger, more flexible reward programs than traditional options. This makes them a very attractive alternative for consumers. So, if and when crypto debit cards go mainstream, they will likely replace traditional reward cards and loyalty points, or at least force them to offer better value.

Can Crypto Debit Cards Replace Traditional Rewards Cards and Loyalty Points?

Loyalty programs have been a cornerstone of customer retention strategies for decades. Traditionally, these programs revolved around earning points or miles, which customers could redeem for products, services, or experiences. However, the digital age has introduced a new player to this arena: cryptocurrency. Crypto rewards are gradually making their way into the loyalty landscape, offering a unique proposition for tech-savvy consumers. But as the realms of blockchain and cryptocurrency expand, another transformative element has emerged - Web3 reputation systems. These decentralized systems hold potential to revolutionize the way we perceive customer loyalty. Understanding Web3 Reputation and its Significance Web3 reputation systems operate in the decentralized world of blockchain technology. These systems allow users to earn and display a reputation score based on their interactions within a particular ecosystem. The decentralized nature of these systems ensures transparency and immutability, meaning that reputation scores are reliable and cannot be tampered with. In decentralized networks, reputation is vital. Trust, which is easily established in traditional centralized systems through regulation and oversight, is not inherently present in a decentralized environment. This is where reputation systems step in. By providing a means for users to establish credibility and demonstrate trustworthy behavior, Web3 reputation systems play a critical role in fostering trust within the decentralized landscape. Web3 Reputation in Crypto-based Loyalty Programs In the context of crypto-based loyalty programs, Web3 reputation systems could play a significant role. For one, they can enhance the level of trust customers place in the program. By seeing the reputation scores of others, customers can gauge the credibility of the program and the reliability of the rewards on offer. Additionally, Web3 reputation systems bring transparency to loyalty programs. With blockchain's inherent transparency, customers can track their crypto rewards and reputation scores in real time, reinforcing the trustworthiness of the program. Furthermore, the integration of Web3 reputation systems can improve customer engagement. Consumers who see their positive actions reflected in their reputation score may feel more incentivized to engage with the loyalty program, thereby driving customer loyalty and retention. Beyond the Barriers: Solutions for a Smooth Web3 Transition Despite the potential benefits, integrating Web3 reputation systems into crypto-based loyalty programs is not without challenges. Technical difficulties may arise, as implementing a decentralized system within an existing framework can be complex. Additionally, getting users to adopt and understand this new system can be challenging. The volatility of crypto rewards is also a concern, as it may deter customers who prefer the stability of traditional points. However, these challenges are not insurmountable. Education will play a key role in driving user adoption. By explaining the benefits and workings of Web3 reputation systems and crypto rewards, businesses can encourage customers to embrace these innovative loyalty programs. Technological advancements will also help to simplify the integration process, making it easier for businesses to adopt these systems. As for the volatility of crypto rewards, effective risk management strategies, such as offering stablecoin rewards, can help mitigate this concern. Web3 Reputation: Loyalty's New Frontier Web3 reputation systems are poised to play a transformative role in crypto-based loyalty programs. There are several projects working on different aspects of this integration. Platforms like Orange Protocol focus on decentralized reputation, while others like Bakkt provide comprehensive crypto-based rewards programs. Their joint efforts could reshape the loyalty landscape, offering a unique and potentially more rewarding experience for consumers. While challenges exist, the potential rewards for businesses and consumers alike make this frontier worth exploring. The early adopters of Web3 reputation systems in their loyalty programs could gain a significant competitive advantage, reaping the benefits of increased customer loyalty and retention. As we look towards the future of customer loyalty programs, the integration of Web3 reputation systems and crypto rewards presents a promising horizon.

Decentralizing Trust: The Role of Web3 Reputation in Crypto-based Loyalty Programs

Hi there, I’m Olena, the Head of Product for B2C at Atlas, a biomedical holding company that specializes in genetic technologies. Today, I’d like to share the story of our search for growth opportunities for our products and the results we encountered along the way. Let’s dive in! How It All Began As the Head of Product, I'm in charge of the user experience for our DNA and microbiota testing products across both desktop and mobile apps. When I joined Atlas, the company had been around for seven years and the average employee had been there for 5-6 years. The team needed a fresh set of eyes to take a look at our product line, so I was tasked with evaluating the current offer and finding ways to boost B2C sales. We started out by analyzing our sales funnel. The results were passable—we had average conversion rates and our acquisition strategy worked. Tweaking the sales funnel alone wasn't going to make a significant impact. We had to look into other growth hypotheses. Search for Opportunities and Early Insights Our next move was to analyze the and upselling opportunities. We put together a long list of ideas for expanding our product line but quickly realized that they were either too expensive to implement or had little profit margins, and sometimes both. So, we decided to take another look at our existing products and search for growth opportunities there. LTV We began with customer development and analytics. The first important insight we uncovered was that people talk about DNA testing a lot—during coffee breaks with colleagues or when having lunch with friends. Alright, so what we have is a fun, trendy product. Great. Armed with this knowledge, we delved into the data—studied our sales numbers, interviewed our users, and went over the 2,000 feedback forms we've gathered from customers over the past two years. As a result, we found out that 90% of people share the results of their genetic tests with family and friends. Moreover, 60% of our surveyed customers first learned about our products from a relative or someone they know. It also turned out that 10% of all sales were purchased as gifts after a successful personal experience using the product, 10% of customers bought microbiota after buying a genetic test, and another 20% purchased a genetic test after buying microbiota. Key Issues The research provided valuable insights. We learned that our products were going viral. The next step was to figure out how to improve them. Yes, people did talk about genetic testing, but we needed to know exactly what our customers were saying. Were they satisfied? Disappointed? So, we ran surveys to measure the number of satisfied and dissatisfied customers and discovered that the overall for our products was -20%. As we looked at the results from different perspectives, we discovered additional insights that we later used in product development and marketing. NPS Take the most dissatisfied customers, for example, with an NPS of -60%. They took a genetic test in order to get recommendations on the most suitable type of sport or nutrition plan. In our ads, we promised to do just that, but in reality, genetics cannot be a reliable source of information in this regard. As a result, customers' expectations were not met. We also found that customers with health-related concerns were more dissatisfied with the product than those interested in learning about their ancestry. After ranking the issues by frequency and importance, we identified two primary concerns: the test results were either not informative enough or too complicated to understand. We tried to tackle the first problem by engaging a copywriter to rewrite our text. The thing is, the information we offered was just as detailed as our competitors’, give or take a few traits, which were not critical. Still, customers remained unhappy, and we wanted to know why. Poor UX Design: The Root of All Problems In search of a solution, I tried to reproduce the initial user experience during a . I asked potential customers to log in to a test account and give me feedback. In 8 out of 12 interviews, users displayed identical patterns—they were skipping whole sections of information because of poor navigation. UX interview Our "Health" section, for example, had three subsections: multifactorial risks (20), hereditary diseases (300), and other health-related factors (20). Clicking on "Health" in the main menu led to this , but the most clickable card on the homepage directed users straight to the subsection on risks. fork After checking it out, users kept following the side menu to the sections on nutrition, sports, and origin. This way, they skipped over the entire section on hereditary diseases and other health-related factors. The same thing happened to “Origins”. Users saw a high-level list card but didn't notice the button leading to a page with detailed information. We analyzed the metrics and confirmed our suspicions: one in five clients didn't see the details of their origin, and every third user skipped the health-related sections. Results As a result, we set out to revamp the navigation in our users' personal accounts. The initiative paid off: our NPS increased from a negative average of -20% to a positive score. At the same time, we improved the visibility of upselling blocks. These combined efforts led to a 33% increase in upselling and a 20% increase in half-year LTV. During the process, we had to deal with many unknowns. To some extent, NPS is subjective and slow to respond to changes; it is difficult to establish a correlation between sales numbers and the viral effect, and cross-selling one-time products doesn't address the issue of long-term LTV. Despite all that, this story aims to show how important it is to keep searching for patterns using all available means, even when you're unsure of what you're looking for. The featured image for this article was generated with Kadinsky 2. Prompt: Illustrate a classroom with suited-up students.

Boosting Customer Loyalty: Key Lessons Learned from a 20% NPS Drop

Creating Loyal Followers Through Community Engagement Tactics

A TASK FOR LOYALTY

Loyalty programs have a long history, dating back to the 18th century. Curiously, the essence of loyalty programs has not changed much over two centuries: it has always been a tool to encourage customers to come back and buy more. By making a purchase, the buyer received units of something that could be collected and exchanged for values. In contrast, the way it is implemented has constantly evolved to be more effective, following the advancement of technology. Only web3 was able to change not only the mechanics of loyalty, but gave rise to a rethinking of what would even improve the loyalty of today's spoiled consumers. Evolution of technology Let's start with a brief overview of the evolution of the technologies on which loyalty programmes have been built, which I took from . this terrific study 🪙 Copper, 1790s. The first modern loyalty program, according to a New York Times article, commenced in 1793, when a merchant from New Hampshire began rewarding customers with . The idea was quickly replicated by other retailers. Unfortunately, the Coinage Act of 1864 made the minting and usage of non-government issued coins illegal, ending this era. ‘ copper tokens’ 🏷 Paper, 1850s. To boost repeat sales, in the 1850s, soap seller from New York invited customers to cut-out and collect the from product packaging. Another example of that period is The United Cigars Store Co. which pioneered a coalition of partners by striking deals with several companies, all of which placed United coupons in their product packaging. ‘ ’ trade marks In the 1890s, the most popular mechanics of the period emerged. Companies started using physical , which customers stick into collecting books. These books could then be exchanged for a wide range of rewards. By 1914 around 7% of retail trade involved the awarding of stamps. 'stamps' 💳 Plastic, 1980s. In 1981, American Airlines launched the world's first frequent flyer program, using a new currency ( ) that matched the number of miles flown by the member. 'miles’ With the rapid expansion of the frequent flyer and hotel plastic , banks and retailers soon replicated their approach. Points and miles loyalty programs quickly became the dominant loyalty program currency globally, ending the ninety-year reign of stamps. ' membership cards’ 🌐 Web, 1990s. Increasing competition, combined with the birth of the digital age, led to a loyalty program innovation boom from the 1990s onwards. The user of the program simply had to know their ‘digital id’. This allowed businesses to offer more sophisticated loyalty programs that provided customers with more convenient ways to track and redeem rewards. 👾 Non-Fungible Token (NFT), 2010s. The emergence of a that cannot be copied, replaced, stoled or split has changed the approach to building customer loyalty through rewards. This technology makes it possible to create unique and personalised high value trophies, as well as changing the rules of the game. ‘unique numerical identifier’ What makes NFT a game changer? Using NFTs in loyalty programs can offer various advantages. One such benefit is their ability to . This becomes especially valuable in loyalty programs where rewards consist of exclusive content or digital collectibles. authenticate digital assets and confirm their origin NFTs also represent , which can be extremely important in loyalty programs that feature rare or limited availability rewards. ownership of digital assets In addition, NFTs ensuring a and immutable record of their transfer. This allows customers to track how their rewards were earned and redeemed. transparent Finally, NFTs are highly and can be tailored to meet the specific needs of a loyalty program. Businesses can create unique and valuable rewards that cater to their customers' preferences. flexible Examples to inspire you Below are some instances of NFT loyalty programs that employ inventive and imaginative strategies to incentivise and retain their clientele. introduced a program that allows users to become proud owners of exclusive NFT-based avatar built on the Ethereum blockchain. You can sell or trade your Reddit NFTs with other collectors. Reddit’s avatars are also used as profile pictures, giving the images a glow-like effect when they comment in forums. Reddit enables fans to collect and trade digital collectibles featuring NBA players and moments. The program is built on the Flow blockchain and uses NFTs to represent ownership of the collectibles. Fans can earn NFTs by participating in the program, and can use them to access exclusive content and experiences. NBA Top Shot . The popular coffee chain launched the beta version of the web3 reward program to a small group of waitlist members, allowing them to engage in interactive "Journeys" that earn "Journey Stamps" in the form of Polygon-based NFTs. In addition, users also get "Odyssey Points" that will open access to new benefits and experiences in the future, including virtual espresso martini-making classes, exclusive events and trips to Starbucks coffee farms. Starbucks Odyssey program holds a competition for members of the Smart Rewards program. Three winners are awarded three unique pieces of the brand’s story, in an NFT that captures the spirit of their most iconic products. Clinique Maintaining customer loyalty in a digital world is becoming increasingly difficult. By using NFTs as rewards, businesses can create unique and valuable experiences for their customers. The robustness of NFT technology makes it possible not only to increase the value of rewards for loyal users, but also to possibly make them 'shareholders' of the business. What could make them more loyal and engaged than this? All you have to do is link the value of the rewards to the company's value on the stock exchange - and voila! What do you think of such an idea? Feel free to comment with your thoughts on the subject

Loyalty Programs Are Seeing a Resurgence Thanks to Web3

Loyalty programs enhance business operations in multiple ways. First of all, when a company has a loyalty program, it produces an image of reliability and strength. Secondly, loyalty programs produce a wonderful effect on their users: the feeling that with more spending comes more saving. And it leaves both the consumer and the business owner satisfied. Loyalty APIs can help you either create your own loyalty program or use the existing ones for your benefit. White Label Loyalty API White Label Loyalty API offers to embed their loyalty solution to your platform in order to achieve the functionality of a full-grown reward system. It’s definitely easier than building it from scratch. The API consists of several parts: Rewards API (lets you choose the way rewards are earned), Events API (lets you choose actions that earn rewards), Users API (gives you access to users’ accounts), Venues API (lets you add information about the stores), and Marketing API (lets you analyze users’ activity). As you can see a lot of features can be tailored according to your needs and purposes. AwardWallet API AwardWallet has three types of APIs to offer: Email Parsing API, Web Parsing API, and Account Access API. Email Parsing API works with users’ emails. It retrieves the data (such as the amount of loyalty points spent or the expiration date) and structures it to be used further on. Web Parsing API retrieves information from users’ loyalty accounts (such as account balance, activity history or elite level) and again structures it. Account Access API provides access to users’ accounts that they shared if they agreed to do so. The API supports more than 700 providers and the categories include credit cards, airlines, hotels, rentals, trains, cruises, shopping, dining, parking and other. Voucherify API Voucherify API promises quick integration and impressive results. The API supports multiple regions and multiple currencies. It allows you to create a loyalty program with customizable features. You can apply your own reward earning rules, set the value of the rewards in accordance with the loyalty tiers, create push notifications, add pay-with-points feature, set time frames for extra points, and remind about expiration dates. Voucherify also provides an array of UX kits to be used for your loyalty program, as well as the digital wallet to store all the data in one place. Talon.One API Talon.One helps you create loyalty programs for your customers. Loyalty programs can be either profile-based or card-based. Profile-based programs allow you to use tier structure (like bronze, silver, and gold levels of rewards), while card-based programs allow users to share the card thus enabling them to accumulate and spend more points. Loyalty cards can be linked to users’ profiles but it will result in certain changes. But in both cases you can set rules on how customers will earn and spend their points. Fidel API Fidel API focuses on bringing connection between purchases and received rewards. This API securely connects to user’s card (supporting such payment networks as Visa, Mastercard and American Express) and retrieves the details about the payment. It typically includes the amount, the date, the brand, the location, incentives received for transaction and more. This list of five APIs doesn’t show the full scale of loyalty APIs available on the market, but it contains robust and functional examples. All of these APIs try to satisfy the needs of both customers and companies providing the developers with all the necessary tools to complete the goals.

APIs to Foster Loyalty in Your Customers

How many times have you heard “thought leaders” and experts talking about how you need to “build community”? Everyone wants to talk about a thriving community, but many fewer are willing to put in the work to make it happen. And that work means genuinely caring about people and demonstrating that care over time – not rushing to get Twitter or Telegram followers. One of the most common techniques from “web3 experts” is to work with influencers to get the word out. But those partnerships can be heavily hit-or-miss because follower counts do not necessarily translate into engagement and eventually sales, especially if the partnership is not genuine – that is, the influencer and token project are more transactional. When thinking about building and cultivating community, what you really want to focus on is: Is there research that validates the strategy so you can talk about it more credibly? Is the community building strategy repeatable and/or scalable? Is there a way of determining what techniques for community building are more helpful at different parts of the experience? The reality is that there is no substitute for becoming an accomplished and proven expert in your field so that you speak from experience when advising and building community. And, that’s also the way you signal that you’re serious about building community versus just passing by out of convenience and for pure profit motives. Putting in the time and energy to become highly trained is a demonstration that your time and money is where your mouth is. But setting these foundational principles aside, there are also tools that can help build and foster community – and airdrops are one of them. What are airdrops? Marketers have long designed methods for attracting new customers and retaining existing ones through the use of discounts, promotions, and more. Such methods can be especially important for projects operating in competitive environments so that they can cut through all the noise. The same holds in the emerging area of web3: token issuers look for ways to set their tokens apart from others. Airdrops provide one mechanism to differentiate companies from their competitors, providing the ability to reward users and incentivize certain behavior. In particular, airdrops allow companies to communicate and gift items directly to people on their digital wallets. The technological capabilities, coupled with the social phenomenon of tokens, can expand the tools that brands have to engage existing and prospective consumers, namely that they can tailor rewards and incentives to them based on observed behavior on the blockchain. There are several types of airdrop strategies that depend on project goals, but they can generally be categorized as follows: a where eligibility criteria are minimized as to include as much community members as possible, plain vanill where eligibility criteria hinge on holding a token for a specified time period, holder-based where eligibility criteria favor past users and loyal supporters, past value-based where eligibility criteria are linked to future interaction with the project or favorable behavior. future value-based What does the research say on airdrops? All organizations battle for the attention and business of their prospective customers, ranging from retail consumers to businesses, and airdrops are only one mechanism to achieve this. Although airdrops within web3 are a new vehicle, as a concept they are no different than loyalty programs or price discounts offered by traditional non-web3 companies: they aim to confer value to those who engage with the product or service while encouraging future involvement. My published in the Journal of Corporate Finance presents the first empirical and large-scale statistical analysis on the effects of airdrops. After documenting the rapid growth among decentralized exchanges (DEXs) up until the end of 2021, my coauthors and I quantify how the use of airdrops affects the growth rate of market capitalization and transaction volume for an exchange. Crucially, we find that DEXs that implement airdrops exhibit a 13.1 and 8.6 percentage point increase in the month-to-month growth rate of market capitalization and volume even after controlling for broad changes in the market and the trust factor of each exchange. recent research These results are consistent with by professors Xiaofeng Liu, Wei Chen, and Kevin Zhu who find that token incentives are successful in attracting users and generating productive value, as well as by professors William Cong, Ke Tang, Yanxin Wang, and Xi Zhao who investigate the effects of an airdrop on the Ethereum blockchain and find a positive effect on democratization and financial inclusion on the network. research research However, there are also reasons why some airdrops may not work. If they are used too many times, they lose their “surprise” and the price of the token can get inflated (Makridis, 2022). Much like announcements from the federal reserve when changing the buying and selling of bonds can fail to have a surprise effect on market sentiment if they are used too often, airdrops can also become less effective over time. The rationale goes back to a classic debate in monetary economics about rules rather than discretion pioneered by Nobel Laureates Edward C. Prescott and Finn Kydland: monetary policy announcements based on discretion can only “work” so long as the public is sufficiently surprised by the information that they change their behavior. Experiences with airdrops There are many reasons to consider using airdrops, including go-to-market strategies, but one of their important benefits if implemented properly is building community. Airdrops provide a way for project owners to bring people into a community who otherwise may not have engaged with it, as well as to reward members who may be active participants and demonstrating preferred behavior. For example, last year I interviewed Gary Vaynerchuk in a and discussed his building a community around the VeeFriends NFT collection. Cointelegraph Magazine story In fact, he in 2021 that every customer who bought 12 print copies of his new book, Twelve and a Half: Leveraging the Emotional Ingredients Necessary for Business Success, would also receive one mystery NFT through an airdrop to their digital wallets. While the book was interesting on its own, the novelty of a mystery NFT coupled with the success and appreciation of his even earlier VeeFriends NFTs created a significant splash and demand. In fact, Vaynerchuk received over a million pre-orders of the book within a 24-hour period! announced But even closer to home is what we’re building in , a web3 multimedia startup that is bridging the web3 and classical music communities. Together with two leading opera singers, we are passionate about producing beautiful art and empowering the artists that make it possible. That’s why we recently launched the Living Arts Foundation – a nonprofit DAO that functions as a micro-grants and educational community of practice for artists, fueled by holders of our collection (see for a summary). Living Opera Magic Mozart NFT our whitepaper Despite continued increases in giving each year, the problems are still getting worse, especially funding in the arts. shows that real wages among artists have been declining over time. And that’s not even including the increased costs they incur (e.g., paying for auditions). By providing a way for micro-philanthropists to fund artists, and creating educational curricula around entrepreneurship for artists that they can go through to gain access to the micro-grants community, we are building a two-sided marketplace that generates greater value for both sides – the philanthropists see the return on their donations, and the artists gain access to funding. Our research Airdrops will play an important role to build community and ensure active participation among the Mozart NFT holders in the Living Arts Foundation DAO. For example, we want to provide Mozart NFT holders a chance to see my two co-founders and world-class opera singers, and , in actual performances. We also plan on giveaways of Living Opera . Airdropping gifts will help keep DAO members excited and engaged with voting and community building events. Soula Parassidis Norman Reinhardt merchandise About Christos A.Makridis is the co-founder, chief operations officer, and chief technology officer for , a web3 multimedia startup. He also holds academic appointments with Columbia University, Stanford University, University of Nicosia, and others. Christos has dual doctorates in economics and management science & engineering from Stanford University. Christos A. Makridis Living Opera About Living Opera Founded by two opera singers and an economist, is a multimedia art-technology company that unites the classical music and blockchain communities to produce transformative content. Living Opera takes a holistic approach to life, work, and education: "living" means "full of life and vigor," and "opera" means (in Latin) "labor, effort, attention, or work." Living Opera NFT collections, such as Magic Mozart, are designed to bring the art and tech worlds together by expanding the audience of people who traditionally engage with classical music and fine art. Living Opera

The Role of Airdrops for Loyalty, Rewards, Brand Awareness and Scale in Web 3.0

El papel de Airdrops para la lealtad, las recompensas, el conocimiento de la marca y la escala en la Web 3.0

Le rôle des airdrops pour la fidélité, les récompenses, la notoriété de la marque et l'échelle dans le Web 3.0

वेब 3.0 में वफादारी, पुरस्कार, ब्रांड जागरूकता और स्केल के लिए एयरड्रॉप्स की भूमिका

Web 3.0 における忠誠心、報酬、ブランド認知度、規模におけるエアドロップの役割

O papel dos Airdrops para fidelidade, recompensas, conhecimento da marca e escala na Web 3.0

Vai trò của Airdrop đối với lòng trung thành, phần thưởng, nhận thức về thương hiệu và quy mô trong Web 3.0

空投在 Web 3.0 中对忠诚度、奖励、品牌知名度和规模的作用

Amazon a nominal increase in its fourth-quarter earnings, marking the slowest growth since its origin. However, a blooming crowd of the company’s loyalty program: Amazon Prime, and the stable performance of AWS helped offset the slowdown in the retail division and boost overall revenue. reported The tech giant registered an in net sales to $149.2 billion in the fourth quarter, compared with $137.4 billion in the fourth quarter of 2021. The “economic uncertainty, coupled with the continuation of inflationary pressures,” took a toll on its earnings. The stocks in 2022, the biggest decline since 2009. increase of 9% tumbled by 51% Amazon's primary source of revenue has been its cloud computing division, Amazon Web Services (AWS), especially during times when its retail business experiences challenges. However, the recent quarter showed a decline in AWS revenue growth, reaching only 20% - the slowest growth rate since Amazon started reporting it. “Everyone is trying to cut their costs,” said Brian Olsavsky, Chief Financial Officer of the company warning the next couple of quarters to witness the same fate. In light of this economic instability, CEO Andy Jassy maintained that they seek to build strong relationships by helping their “customers find a way to save money.” Sales in the online retail division of Amazon decreased by 2% year over year. As a result of consumers cutting back on discretionary spending due to increased gas and food prices, the company has been dealing with declining sales. With consumers increasingly resorting to physical businesses, the pandemic-driven e-commerce boom has also faded out. Amazon seeks to cut costs along with its customers, said Mr. Olsavsky. In an attempt to keep up with the uncertain economic environment, he said, they are eliminating 18,000 job roles impacting stores, businesses, and internal teams. While the company reduces white-collar jobs by imposing a , it invested in automation and streamlining of operations in April. corporate hiring freeze $1 billion The e-commerce retailer follows a customer-centric approach, and with the one-day delivery feature that it offers for its Prime Members, speed and accuracy are their utmost priority. To save time, the company an automated storage retrieval system “Sparrow” back in November  aimed at replicating human efficiency in picking operations to speed up the order fulfillment process. introduced “We realize that we exist to make customers' lives better and easier every day and relentlessly went to do so. And being maniacally focused on the customer experiences, always going to be a top priority for us,” said Mr. Jassy. The company has been in a long battle with warehouse workers demanding higher pay raises and better working environments. Its reputation precedes the finding that "Amazon's operating methods are creating hazardous work conditions and processes, leading to serious worker injuries." reports Back to cutting costs and increasing revenues, Amazon pointed out how the need for long-term strategic investment and an in-depth assessment of the downturn of events led them to eliminate “some programs in fabric.com and Amazon Care and Amazon Glo, and Amazon Explore.” Adding to it, the company has high aspirations for expanding into the grocery market with the concept of introducing hybrid stores facilitating omnichannel functionality.  The CEO said that the grocery format is still under experimentation and they have decided to go slower on the implementation until they “had a format” worth rolling out. Surpassing internet ad businesses like Google, Facebook, and Snap, the company’s advertising income increased by 19% from a year earlier (23% discounting changes in foreign exchange rates). Amazon has recently become one of the market leaders in digital advertising by providing sellers and brands with more options for paying to advertise their products on the company's website, applications, and media properties. With its Prime subscription benefits, the company could bring up the engagement rate by about 11%  among the age group of the 18-34-year-old bracket. “ Prime membership continues to be a great value for our customers, and improving our Prime benefits is a continuous part of our investment strategy. Along with competitive pricing, broad selection, and faster delivery speed, we've seen Prime members respond to our expanding entertainment offering” said Mr. Olsavsky. The company sees video as the major driver of  Prime Member engagement and Prime Member acquisition. With continued investments in large video properties, the e-commerce giant stays optimistic not only about the acquisition but also the retention of Prime member accounts. Amazon keeps the window open for witnessing some gradual economic downturns in the upcoming quarter due to uncertain environments. However, it expects to draw profits from its cloud computing system AWS, an evergrowing community of Prime members, and the widespread global transportation network. It also aims at expanding its business overseas with autonomous solutions facilitating warehouse operations, improving the efficiency of fulfillment centers.

Amazon's Financial Future: Expansion Plans, Leveraging AWS, and Investment in Customer Loyalty

Amazon এর আর্থিক ভবিষ্যত: সম্প্রসারণ পরিকল্পনা, AWS ব্যবহার, এবং গ্রাহক আনুগত্যে বিনিয়োগ

Die finanzielle Zukunft von Amazon: Expansionspläne, Nutzung von AWS und Investitionen in die Kundenbindung

El futuro financiero de Amazon: planes de expansión, aprovechamiento de AWS e inversión en fidelización de clientes

L'avenir financier d'Amazon : plans d'expansion, utilisation d'AWS et investissement dans la fidélisation de la clientèle

अमेज़न का वित्तीय भविष्य: विस्तार योजनाएँ, AWS का लाभ उठाना और ग्राहक वफादारी में निवेश

Amazon の財務の未来: 拡張計画、AWS の活用、顧客ロイヤルティへの投資

Amazon의 금융 미래: 확장 계획, AWS 활용 및 고객 충성도에 대한 투자

Futuro financeiro da Amazon: planos de expansão, alavancagem da AWS e investimento na fidelidade do cliente

Amazon'un Finansal Geleceği: Genişleme Planları, AWS'den Yararlanma ve Müşteri Bağlılığına Yatırım

Tương lai tài chính của Amazon: Kế hoạch mở rộng, tận dụng AWS và đầu tư vào lòng trung thành của khách hàng

亚马逊的财务未来：扩张计划、利用 AWS 和投资于客户忠诚度

Mark another notch in Polygon’s belt. Following its successful collaboration with Reddit earlier this year, the Ethereum sidechain recently partnered with Starbucks to issue NFTs to the general public. Which, if successful, could drive mass adoption. The ubiquitous coffee shops’ massively successful gift card and loyalty programs, mixed with the 25 million people addicted to using the Starbucks mobile app, translate into more than $1 billion in stored value. And now, you can add NFTs with real-life utility and rewards to the pot. The Polygon PoS sidechain inherits Ethereum’s security, but it’s faster and much cheaper to use.  The NFT marketplace Nifty Gateway will provide the technology behind the Starbucks Odyssey program. According , the platform will be a “Web3-powered experience” that “will allow Starbucks Rewards loyalty program members and Starbucks partners (employees) in the United States to earn and purchase digital collectible stamps in the form of non-fungible tokens (NFTs).” to the press release The real-life utility, in this case, will be access to exclusive events, merchandise, and Starbucks collaborations with artists. Starbucks Addresses ESG Concerns By Working With Polygon When it comes to launching NFTs, one of the main obstacles for brands is the perception that cryptocurrencies are burning the ocean. Environmental, Social and Governance (ESG) concerns regarding cryptocurrencies are at an all-time high, and NFTs in particular get called out for their negative contribution. To nip those concerns in the bud, Starbucks decided to work with Polygon’s “carbon-neutral network.” The press release quotes Ryan Butz, Starbucks VP of marketing as saying: “Building Starbucks Odyssey using technology that aligns with our sustainability aspirations and commitments is a top priority. We took a very thoughtful and thorough approach when evaluating which blockchain to utilize and Polygon’s fast, low-cost, and carbon-neutral network is the perfect foundation for our first digital community.” The Polygon network is carbon-neutral now. It “has to becoming carbon negative by the end of the year and has already offset its network’s cumulative CO2 debt.” The company claims that after the merge, with Ethereum’s transition to proof-of-stake, the Polygon network’s carbon footprint will be 99.91% smaller. committed The press release also quotes Polygon’s Co-Founder Sandeep Nailwal with a much less exciting attribution “as a leading infrastructure provider enabling people and technology to collaborate and exchange value globally and freely, Polygon provides the ideal launchpad for Starbucks’ entry into Web3.” How Does Starbucks Odyssey Work? The NFT-based system revamps the company’s renowned loyalty program. For a better understanding of the inner workings of the platform, it’s time to change press releases and .  It all starts with a promising idea, better explained by Starbucks VP and CMO Brady Brewer, “For the first time we are connecting our Starbucks Rewards loyalty program members not just to Starbucks, but to each other.” quote the Starbucks one That means that people will own Starbucks NFTs and there will be a marketplace for them to sell them in, hopefully at a profit. Some people will earn NFTs as rewards by participating in “journeys,” which are “a series of activities, such as playing interactive games or taking on fun challenges to deepen their knowledge of coffee and Starbucks.” That might sound like a non-starter, but the company’s mini-games are already very popular. Other people will opt to outright buy the NFTs, which they call “limited-edition stamps” and are rarer than the rewards ones. Starbucks will try to hide the complexities of cryptocurrencies and make the onboarding experience simple. “Limited-edition stamps will be available for all members to purchase directly with a credit card.  No crypto wallet or cryptocurrency will be required.” On the other hand, these “stamps” will include crypto’s desired characteristics and perceived exclusivity. Each one will include “a point value based on its rarity.” The Starbucks press release ends with an interesting promise, “as stamps are collected, members’ points will increase, unlocking access to unique benefits and experiences that have never been offered before.” Buy/no buy recommendation This one’s hard, as there’s not enough information about the product available just yet. We don’t know how the Starbucks’ NFTs will look like, or even who’s doing the art. The real-world utility is apparent and commended, but there’s the distinct possibility that the company will announce new ones as soon as their marketing department comes up with them. Will they strike a chord with the public, though? That’s the real question. If you think Starbucks' tried and tested brand will carry these NFTs to new heights, consider investing. If you’re not sure about Starbucks’ potential as a technology company, and think the coffee makers should stay in their lane, you may want to steer clear of their NFTs. You can still earn some by buying Caramel Frappuccinos and participating in the loyalty program. Before making a decision, though, read about how Reddit managed to bring back to life a failed corporate NFT project. The company’s relentless attitude and language prowess turned their much-mocked profile picture NFTs into a roaring success. Building on Corporate NFT Success: Reddit Collectible Avatars In what might be the corporate NFT story of the year, Reddit managed to successfully launch an NFT collection in the middle of a bear market. Granted, Reddit has an enormous user base, but that’s precisely the thing. That user base is extremely anti-NFTs. In fact, there are few websites that have a more extreme view of the misunderstood digital assets. Reddit managed to sell the product to that unfavorable audience by avoiding all crypto jargon and calling them “blockchain-backed collectible avatars.” For Redditors and users, wallets are called “vaults.” At first, all the pieces were reasonably priced. Between $10 and $100 a pop. Plus, to get the ball rolling, Reddit airdropped and gave away hundreds of Collectible Avatars. With that sleight of hand, the company managed to onboard millions of people into Web3. So far, the Reddit community has opened three million “vaults.” There are more vaults than OpenSea wallets, and that’s the biggest NFT marketplace that’s been operational since 2017. And speaking about OpenSea, the secondary market for Reddit’s Collectible Avatars moved there and the pieces are selling at a hefty markup. In some cases, 50X the original price. Reddit’s Collectible Avatars are also Polygon NFTs.

Starbucks’ Loyalty Program Introduces Polygon NFTs With Real-Life Utility

In the past year or so, people started writing about the phenomenon of quiet quitting. It isn’t new, but it somehow became trendy as more people are doing this. This isn’t something I care about as much. People often describe me as a workaholic which is pretty accurate, and I love it. But I totally get the problem that triggers quiet quitting and its root is in a lack of loyalty. A cursory reader might think I’m blaming the employee for lack of loyalty, I am. But loyalty is a two-way street and some employees are merely reflecting something that we’ve been conditioned to accept for the past few decades. Back in the days when I formed my consulting company and later on Codename One, I read pretty much every business management book I could find. Back in 2014 I read in that genre where I cringed at every page. I don’t enjoy reading business management books. This isn’t a pleasant read. But here I literally cringed at so much of the sage advice from Mr. Horowitz. Notice I don’t say the advice is wrong or even that it’s bad. I don’t think he’s a bad person for giving it either. I think this advice produces its exact desired intention, fast growth at any cost. a rare book The fuel for this fast growth is people. They get burned and cast aside like the fumes of a jet engine. The expectation is fast turnover, by the time the person is “burned out” we’ll replace them anyway with a fresh “expert” to fit the current stage of the company. This approach to building companies wildly over emphasizes transferable skills while under evaluating pretty much everything else. Company Values Another book I read well before that was , it has its own faults and problems but that’s a different story. One of the core ideas explored in the book was the idea of corporate values that are listed as a set of principles. They claim that great companies had codified their core values early on. This supposedly shaped their corporate DNA and helped them become great. “built to last” Back when I read it I always felt this was a load of BS. I don’t subscribe to such frivolous management drivel, but I’ve started rethinking that recently. I was always in the camp of and a process. Hiring “good people” is more about finding the right “fit” for the specific team. But how do we know we all share compatible values? interviewing people as a conversation Even if we don’t, how do we align so at least “on the job” we can act consistently? This came back to me recently. I think such values are indeed a crucial piece in shaping the right team. I know which value would be the first on my list when I form my next company: Loyalty. Corporate Loyalty not That Way Jobs often expect loyalty from us. I try to give it as much as reasonably possible. It doesn’t mean I don’t have open to other options on LinkedIn. It doesn’t mean I don’t demand a raise and imply I’ll walk when I think I deserve one. Those don’t imply disloyalty in any way. I won’t go to work for a direct competitor. I also wouldn’t want to work for a company that would pouch me as a direct competitor. This is the point I’m getting at. Loyalty is given. Not asked for. A company needs to declare loyalty as its value, not one it demands from the employees. E.g. when an employee makes a mistake. Even a big one. That employee shouldn’t be fired instantly. Hell, instant firings shouldn’t be a thing. A single manager or even the CEO shouldn’t have the right. Someone having a bad day shouldn’t impact their future livelihood. A corporation should stand behind an employee who made a mistake. More than once. People need to feel secure in their jobs. When a corporation just blindly fires and hires they end up with jaded employees who don’t care. This affects the product and the company in a way that no corporate nonsense can wash away. The customers end up with an inferior service or product. A disposable employee or one that’s just stepping through, won’t bother. Therefore, loyalty to employees should outweigh the loyalty to the customers. The customer doesn’t always come first. We need to tone that down. We can’t service the customer if our house isn’t in order. By backing our employees, these employees will give the customer better service and a better product. I worked at very large corporations, in most cases I had managers that represented these values and I enjoyed working with them. It’s an uncommon experience compared to the typical corporate nonsense. But the thing about corporations is the constant restructuring, you can’t develop trust and good working conditions, without building that culture from the top-down. It’s also hard to plug this culture into a company that’s already too big. Quiet Quitting I get why people “quiet quit”. Why show loyalty to a company that will fire you in an instant. Why go “above and beyond” when the company won’t do the same for you. I think most people just looked for a new job and would switch jobs. In normal times that’s the right thing to do. But in these times, starting a new job with economic uncertainty is a risk. Quiet quitting becomes an easy way out. Treat the job like it treats you, instead of being unemployed and looking for a job. This seems like something you can just turn on or off. But unfortunately it’s a state of mind. Once you think this way, it would be hard to get back to a positive workspace attitude. If you don’t get that, then good places won’t want to hire you. Can you keep “quiet quitting” for the rest of your life? I personally can’t. That’s obviously a privileged stance of an individual who can spend years “unemployed” with only a minor impact on my lifestyle. I understand that not everyone can afford that privilege, and I’m thankful for it. But if you find yourself in this situation, I urge you to remain out of your comfort zone and seek alternative employment ASAP. If you’re a manager who has the sense that employees do that. I suggest throwing them a lifeline. While you can’t change corporate policy, you can use the one on ones (which hopefully you have) to communicate with the employee. Have an actual conversation and try to help. Don’t talk about work. Talk about helping that employee, financially, emotionally and be genuine. Don’t do it with the goal of getting an employee to perform. Don’t expect loyalty, give it. Repeatedly. It will come back to you. This will positively impact your future employment opportunities along the way.

Quiet Quitting is About Loyalty

A pair of newly public documents filed with a California administrative law judge show experts accusing the company of systematically overcharging customers it believed to be the most loyal around $1 billion over the past decade. This practice of charging higher premiums to customers an insurance company suspects are unlikely to defect to a competitor is termed “price optimization” and was the subject of a 2020 Markup that found Allstate was attempting to use a new pricing algorithm for auto insurance in Maryland that would have unfairly targeted its highest-paying customers—and that the algorithm had been approved in several other states. investigation Nearly every state, including California, bars insurers from setting car insurance rates on factors apart from the actual risk the drivers pose. Insurance regulators in 18 states and Washington, D.C., have explicitly declared price optimization illegal. The new documents, which were initially filed in late October by the California Department of Insurance and Consumer Watchdog, a consumer advocacy group allowed by the state to intervene in the case and provide expertise, consist of written testimony from insurance industry experts who examined how Allstate set its prices. They allege that Allstate was engaging in price optimization by giving smaller than appropriate discounts to the least-price-sensitive among its customers with clean driving records who held multiple policies with the company or who had several decades of driving experience. Edward Cimini Jr., a senior casualty actuary with the California Department of Insurance, he reviewed internal Allstate documents, documents the company submitted to the state describing its auto insurance pricing plan, and depositions of company employees and found that Allstate gave smaller discounts to drivers with more than 39 years of experience, a group he said is unlikely to shop around. said “Since Allstate’s selections were not based on underlying costs, the final rates that Allstate charged these policyholders were actuarily unsound and unfairly discriminatory,” he said. Allan Schwartz, an actuarial consultant hired by Consumer Watchdog to review Allstate’s pricing practices, that Allstate overcharged California drivers who were owed discounts “about $1 billion.” estimated Since Allstate’s selections were not based on underlying costs, the final rates that Allstate charged … were actuarily unsound and unfairly discriminatory. Edward Cimini Jr., California Department of Insurance “Those policyholders were known by Allstate to have a lower elasticity of demand and were more likely to renew with Allstate even though they were charged premiums in excess of those based upon an actuarially sound estimate of the cost of risk transfer,” he said. The company denies the allegations. “Allstate does not employ, and has never employed, price optimization in determining premiums in California because Allstate does not take into account an individual’s or class’s willingness to pay a higher premium relative to other individuals or classes,” Allstate spokesperson Ben Corey wrote in an email to The Markup. In its court , Allstate points out that in 2011 the California Department of Insurance reviewed and approved the 2011 plan without highlighting the issues now raised in the long-running class action that triggered this hearing. filings The company was sued in 2015 over alleged price optimization practices in California. Allstate moved to have the case thrown out, arguing in part that it wasn’t a matter for civil courts but rather for the state department of insurance. In 2016, the United States District Court for the Northern District of California put the case on hold and referred it to the authority of the Commissioner of the California Department of Insurance for its opinion, which triggered the administrative law proceeding. Last week, the parties agreed to voluntary mediation. enter Two years ago, The Markup published an revealing that a new method of calculating rates for car insurance customers that Allstate was trying to implement across the country attempted to charge higher rates to customers who were already paying a lot for their car insurance—essentially creating a “suckers list” of big spenders and squeezing even more money out of them. investigation The investigation was based on details the insurer provided to regulators in Maryland as part of its 2014 filing there that revealed the current and proposed rate for policyholders in the state. Using statistical regressions, we found that the rating factor, called CGR, would charge more—and severely limit discounts—to big spenders. Maryland regulators rejected Allstate’s plan over price optimization concerns. We found Allstate was using similar algorithms in 10 other states, but we were not able to determine if they worked exactly the same way in those states because we lacked the data we had in Maryland. Allstate did not answer our questions about the algorithms. Consumer Watchdog founder Harvey Rosenfield, who has long been critical of Allstate’s pricing practices, said that the company found a different method of achieving the same goals in California, which only allows insurers to use a limited number of approved factors—like driving record, type of car, or the number of years behind the wheel—to determine how much customers have to pay in premiums. “What we’re contending is they took their knowledge of price elasticity and figured out a pretty straightforward way of doing it without saying so,” Rosenfield said. “Their actuaries selected relativities to set people’s premiums that punished people who Allstate knew were inelastic, who fit the profile of being less sensitive to price changes. They charged those people more.” California isn’t the only place where Allstate has faced litigation over its use of price optimization. Shortly after the publication of The Markup’s Maryland investigation, the company was hit with a that directly referenced The Markup’s reporting. class action lawsuit in Texas That suit that the company was “charging higher premiums to its more tenured policyholders than it charges otherwise identically-situated newer policyholders for the same or materially the same coverages.” alleges That case is still ongoing. Correction The story originally stated that the Texas class action lawsuit against Allstate had settled last year. It is still ongoing. The story has been updated to correct the error. Written by: Aaron Sankin Photo by on Vlad Deep Unsplash Also published here

Allstate Accused of Overcharging Loyal California Customers $1 Billion

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