Issues in Point Integration Platforms
New innovations in IT and blockchain technology will revolutionize the industry
The ASSEMBLE Protocol is a blockchain-based global point integration platform that exploits ASM utility tokens, whilst establishing a business ecosystem that can integrate, utilize existing points and miles with point providers, consumers and retailers.
Welcome back, readers! Today we’re going to investigate the problems and solutions of current point integration platforms. As we’re sure you’re aware, it can be difficult to get companies to cooperate, which is a key feature of integrated platforms. Further, the demographic of blockchain users skews young and male, so companies have to work hard to attract a variety of users. In this article, we take a look at some of these problems and what solutions ASSEMBLE has come up with to solve them!
Point Integration Platform Issues
The blockchain mileage and point integration platform business has gained attention by promoting real-life business models and by applying their strengths such as benefits for the consumers and other service advantages. A variety of projects, including Mil.k, ASSEMBLE, and MileVerse, were created with a plan to create a reliable point trading environment at a low cost through smart contracts.
Even though the technology is becoming more advanced, the point integration business is actually slowing down. Despite the success of technology commercialization, the problem lies in the lack of service partners and consumers. Also, although blockchain technology has been further advanced, it has not attracted public attention and the number of companies participating in the platform is still insufficient. No matter how excellent the blockchain-based, real-life platform services are, they are useless if the number of affiliated companies that provide miles or points does not increase.
Services that bring miles and points together are good for consumers, but increase costs for companies. This is because the points or miles that a company provides to its customers are classified as corporate debt under international accounting law. A company must hold the corresponding amount of points given to a customer as a debt premium. After the expiration date, the debt disappears. However, if customers suddenly find and use the miles or points they didn’t know about, the company will have to pay for the savings. Considering these issues, point integration platforms emphasized the concept of a “marketing platform” in which participating companies could secure new customers through mutual user sharing. However, the number of participating companies has fallen and the expected network effect has not been achieved.
It is not easy to attract public attention. The number of people accessing blockchain-based services varies greatly depending on age and gender. 65% of blockchain point integration platform users are in their 20s and 30s. Among those users, 70% are male, meaning only 30% are female resulting in a severe gender imbalance.
In order to use point integration platform services well and make a profit, it is important to be able to exchange cryptocurrency in a timely manner. Users who are not familiar with cryptocurrency have high barriers to entry.
The Solution
Faced with these challenges, industries are looking for breakthroughs overseas. This is because domestic and foreign consumers can use an integrated, blockchain-based platform to collect and use points easily. Considering the sluggish participation of domestic companies, it is a desperate measure. Luckily, we are seeing actual results. In May, ASSEMBLE was selected by Coinbase Custody, the largest cryptocurrency exchange in the U.S. This opens the door for overseas institutions and hedge funds to invest. Through overseas expansion, we can increase accessibility to global markets and increase partnerships to attract new customers.
The Mil.k project is also preparing to expand into the international ecosystem with Yanolja, who is actively promoting overseas expansion. In particular, Yanolja is expected to enter the U.S. market and has recently suggested the possibility of listing on NASDAQ. “The blockchain point integration platform is still an attractive business model because it can greatly increase consumer benefits at a low cost,” an industry source said. “The key will be to secure affiliates and new customers.”
Now we can see that collaboration, both domestically and internationally, will be key to the success of point integration platforms in the future. Rest assured, ASSEMBLE is investing a lot of time and money in finding mutually beneficial partnerships with other blockchain companies. The future looks bright for this tech!
