Blockchain-Based Cross-Organizational Integrated Platform for Issuing and Redeeming Reward Points

Abstract

For the sake of enhancing repurchase rate and customer loyalty, plenty of enterprises have issued reward points. However, as there are more enterprises issuing reward points, customers become less and less interested to collect them. Even though there are companies forming a business alliance to make reward points more attractive, it is usually managed by a central leading company. In other words, there still exists a security concern for a centralized system. In this paper, we propose a blockchain-based cross-organizational integrated platform (BCOIP) for issuing and redeeming reward points. BCOIP provides customers an electronic reward point system that is easier to collect and manage and could circulate in many enterprises. Besides, since BCOIP deploys the smart contract to operate the reward point and make all point transactions stored on the permissioned blockchain, it provides more interoperability and security to enterprises and more credibility for costumers. Moreover, goods providers joining the BCOIP could not only improve the diversity of the reward market but also reach more costumers. Finally, we conduct two experiments to evaluate the efficiency and stability of the BCOIP. Results indicate that points transactions are stable regardless of the number of parallel processes and the other shows the number of nodes has nothing to do with the efficiency of this system.