Blockchain technology has established its foothold with the potential of transforming the retail industry. It has the ability to maintain supply chain data, chain-of-custody information, and support autonomous transactions. Also brings trust by ensuring customers about disparate retail supply chain partners.
The technology is a distributed ledger, which helps decentralized architecture as it provides the same, verified information to all network members. The inclusion of this technology is growing across multiple industries and international businesses. Following are some the key ways the blockchain is encouraging the retail industry:
Supply chain management: As the complexities in the supply chain are increasing, the blockchain is able to drive greater efficiency by allowing collaboration and bringing transactional transparency between manufacturers, distributors, shipping carriers, and retailers. Also, the technology works methodically in dealing with perishable or luxury goods.
Consumer data: The technology delivers security and transparency by reducing data fraudulence as it enables collaboration between stakeholders and consumers. It stores the consumer data. Retailers who collect and retain customer data today embrace open and transparent this technology-based models to have a positive impact on operations and public relations level.
Payments: Nowadays cryptocurrencies offer advantages like cross-border payments and micro-payments. Also, they help the businesses where the size of payments and a large number of international transactions take place. Blockchain enables the use of cryptocurrencies as a medium of exchanging value or data. Moreover, the use of this technology eases the accounting and financial burdens on organizations during supply chain, inventory management, instant collection and payments, automated refunds, or insurance settlements.
Loyalty and rewards: Blockchain offers real-time liquidity, makes transparent communication between consumers and retailers. It allows retailers to get the customer-insights. Also, enables retailers to expand loyalty partnerships without adding complexity and increase brand awareness.
Today customer experience professionals should be aware of the potential of this technology. Embracing blockchain in the retail sector makes the later productive, profitable, and competitive.