Loyalty systems in retail are designed to reward customers for their past purchases or other useful actions and to provide them with incentives for making future purchases. A rewards program enables activation, retention, up-selling and referrals, along with providing strong value offer to the customer. A typical loyalty management system is comprised of operational parameters, such as transaction types, program design and funding options. It further includes value parameters such as redemption options, redemption thresholds, and earnings rates.
Existing loyalty programs give insufficient motivation to encourage repeat purchases.
Retailers who want to set up their own in-house loyalty program, need to not only invest time, money and effort, but to also arrange a solid customer support service specifically aimed at the loyalty program, which incurs training and sometimes hiring employees, the implementation of internal practices and procedures, reporting, and analysis. The more sophisticated the loyalty program rules are, the higher the cost of customer service.
BitRewards is designed for all types of retailers
Customers of the online stores participating in BitRewards Network will receive BIT as a cash-back — a certain configurable amount or percent on their purchases, purchases of the friends that they referred to the store, shares and likes in social networks and other actions. The cash-back will be credited to the customer’s automatically created crypto-wallet connected to the store via BitRewards plugin. BIT can be redeemed at the same store or with the other BitRewards participating merchants via an online crypto-wallet connected to the participating merchants. Customer crypto-wallet’s BIT balance may also be connected to the bank debit card, which the users can spend just as if they used their regular Visa or Mastercard. The customers will appreciate the opportunity, because they get a liquid crypto-currency, instead of loyalty points.
How it works
The retailers connect to the BitRewards loyalty system by installing the readymade GIFTD extension or by integrating it with their own loyalty system. 2. This solution rewards customers with BIT for their and their friends’ purchases as well as other actions. The module performs all the required token processing through the BitRewards platform. 3. The value of BIT may appreciate because of the limited initial issuance of 2 billion tokens and the constant leading demand for tokens from the growing number of retailers joining the platform. 4. The probable appreciation of BIT encourages customers to save their tokens instead of redeeming them for purchases, thereby also reducing the amount of free-floating tokens.
BitRewards Network profits from the growth in value of the BIT token, therefore it provides basic customer software and apps for the retailers free of charge. Although it will be possible for the developers of the Smart Rewards apps within the BitRewards ecosystem to charge the merchants for the customary tools, the BitRewards in its first year of operations will not take commission from transactions, aiming to provide maximum efficiency to the merchants. This demonstrates that BitRewards is committed to the growth in value of BIT, which strategically corresponds to the interests of token holders.