Home Column It's not just a Loyalty Program, It's an Ecosystem

It's not just a Loyalty Program, It's an Ecosystem

by default1

Contributor_ Danny Baskara
  - VEXANIUM, Founder&CEO

  • Blockchain Technology to Existing Marketing Platform
  • VEXANIUM as Blockchain-based Marketing Platform for Retailers

In Asia, a majority of retailers use online promo marketing platforms such as Groupon, Dianping or Meituan to win new customers. Promo marketing strategies rely heavily on campaigns on these platforms which provide substantial traffic and sales. These platforms charge an average of 15% – 20% in commission per transaction through a CPA (Cost Per Acquisition) or CPS (Cost Per Sale) structure. An increasing number of retailers struggle because these commissions together with the discounts offered represent too high a proportion of their margins. To protect margins, retailers often end up giving lackluster promotions that are either unattractive or with unrealistic terms.
A study conducted by GfK concluded that 49% of consumers would gladly switch brands for savings in the form of a coupon. In the retail market, South-East Asia and Indonesia, in particular, are some of the fastest growing markets globally, with the latter boasting a population of over 260 million people. The importance of vouchers and coupons for retailers to attract new customers in those regions is significant.
Meanwhile, customers are often frustrated when trying to utilize a voucher or redeem their gift cards and coupons. Common difficulties include using vouchers that have already been utilized, expired, are lost or with unreasonable T&C requirements.
I’ve been observing and working in the e-commerce and marketing industry for a decade. A while back before I started the new journey, I built and sold Indonesia’s largest voucher and couponing platform Evoucher, which was with more than 2 million active users. After 7 years of building Evoucher, I realized that the blockchain can solve the fundamental problems of this industry. Therefore, the idea for the VEXANIUM ecosystem was born.
Now my team and I are working on this innovative decentralized marketing ecosystem called VEXANIUM , which helps to cut costs and improve efficiency and transparency for commercial businesses.
The blockchain based ecosystem which VEXANIUM creates will solve the major pain points that this industry faces today. The VEXANIUM platform will also naturally serve existing blockchain businesses in their user acquisition, activation and retention. This makes it attractive for both businessmen, crypto-enthusiasts and ordinary users.
VEX Platform aims to help business to create their own marketing campaign or distribute their services through the decentralized platform. By using the the platform, companies can create points in loyalty program applications in the form of digital tokens. Typically such incentives are rewards to customers in Cost Per Acquisition (CPA) activity. The tokens can also be converted into coupons or points that can be used in corporate applications. One game-changing use case of the VEX Platform is the lucrative “airdrop” market, which will allow blockchain companies to create airdrop campaigns for acquiring new customers and rewarding existing ones, using the VEX token.
A digital currency for VEX Platform that built for connectivity between retail world to crypto world. The VEX app features an integration with selected crypto exchanges in order to allow users to directly trade their VEX token balance on the exchange. Also, the VEX Exchange will allow consumers to trade vouchers among themselves and set their own prices. Customers will be able to store and redeem their voucher tokens via VEX app.
We all believe that VEXANIUM will revolutionize this space by bringing the voucher and couponing industry on-chain. The immutability, liquidity and decentralized nature of VEXANIUM will revolutionize this market while introducing a whole new wave of retailers and users to the blockchain era.
After all, it’s not just a loyalty program, it’s an ecosystem.