Blockchain is a technology that has impacted the industries and has made business operations seamless. When it comes to the use cases of Blockchain, then it finds a multitude of uses, right from supply chain to recordkeeping and transactions. So, what makes Blockchain an inevitable technology of the future. We are going to focus on the same in this blog; we will also be highlighting why companies are focusing so much on Blockchain.
To begin with, Blockchain is the distributed ledger technology, which works on peer-to-peer transactions. Also, Blockchain nullifies the need to depend on the third party for validation and approval, which eventually reduces the time of transaction and execution. All these features make Blockchain the best technology to invest in, and this is what companies are targeting.
The prime objective of any organization is to invest in a technology that can help them gain a competitive edge in the market, and at the same time, it also helps them gain the trust of the customer. Companies are investing in-depth to understand the requirements of the customer and provide them with the products which are of the best quality and which can guarantee value for money. Here Blockchain can play a crucial role.
Let’s understand the value of loyal customers:
- Loyal customers who come back to shop generate 40% of the store’s revenue
- Around 64% of the millennial shoppers and 54% of the larger population prefer to buy from the brands of their choice.
- The top 10% of the customers spend 3 times more per order than the average customer.
- A loyal customer spends more and will give a better conversion rate as compared to a new visitor, and a loyal customer will always promote your brand.
From the above facts, we can clearly conclude that loyal customers are a hot commodity, and this is the reason that companies are spending so heavily on them, and they are trying to retain them. So, how do they achieve this with the help of Blockchain? Before answering this, let’s understand what the areas where we need to work are.
The key problem to address:
You may have fetched a good customer base, but again retaining them, in the long run, is the question that will be bothering you. So, what stops a customer? Here is a few apprehension of a customer:
- Source of the product– Most of the customer now wants to know about the source of a product, i.e. the raw material. Since the inclination towards the environment is growing, they are keen to know about the source of the product.
- Tracking and tracing of information- Amongst the different problems faced by the customer, tracking of information is the one that needs immediate attention. With a quick response time to the query, the brand can become an instant hit amongst the customers.
- Data security- Digitization has been the biggest boon to us, but at the same time, it has also brought forth the vulnerable side of digital platforms. Data threats and data breaches have become very common; this pushes back many customers and creates a sense of distrust.
- Enhanced costing- Every customer is looking for a good price for the purchase they are making. But with the current system, a customer has to pay the extra price because of the processing fee and transaction charges.
These are some of the key problems which need quick addressing. While companies are working on improving the current technology, the solution lies with Blockchain.
How can Blockchain help?
There are certain features of Blockchain that makes it one of the most evitable technologies for use, here are some of them:
- No third party intervention
- Data security
- Lesser cost
- Faster transaction
Enhanced security– Addressing the first and most common problem of data security. Blockchain is a digital distributed ledger platform that encrypts the data cryptographically. It ensures that the data is safe and secure. Moreover, every piece of information is stored as blocks, and each block is connected to the other. Any alteration in the sequence, makes the change evident in the ledger, thus making it easy for the user to find if there is any discrepancy.
Lesser cost- As established earlier, Blockchain doesn’t have a third-party intervention. The bye and the seller are directly connected via a Blockchain platform. Thus, there is lesser or no cost, which is otherwise charged by third-party platforms as transaction fees and others.
Moreover, the validation and verification cost is less, and this eventually ensures that you get the best rates—this feature has proven to be useful in the insurance sector, financial segments.
Easy tracking of information- Every piece of information on the DLT is encrypted and is time-stamped. With this tracking, the information becomes easier.
Smart contracts- This is the best gift of Blockchain that we have got. Smart contracts are online contracts that are pre-programmed, and they are executed as soon as the conditions of the contract are met. With this, the processes and business operations will become streamlined, as one doesn’t have to wait for follow up and ask for payments.
All the benefits of Blockchain are benefitting different industrial segments in different ways. However, there is a shortfall of skilled and experienced Blockchain developers. And so it becomes a lucrative career opportunity for those who wish to make a career in this field.
To become a part of the successful bandwagon of Blockchain experts, it becomes important that you must have the right knowledge and information which only a good certification course can provide. Blockchain Council is offering the best online certificate program in Blockchain, and you can enroll for this program.
Blockchain is an upcoming technology holding a scope for a lot of opportunities. With the above-mentioned set of benefits, you can expect this technology to become an integral part of different industrial segments. At Blockchain Council, you will get the right assistance and understanding of the concepts of Blockchain and its implementation. Connect with the Blockchain Council for a better and thorough understanding of the concepts of Blockchain technology.