Blockchain in Retail: One step closer to Mass Adoption 区块链通过零售促进增长
How can Distributed Ledger Technology transform the retail industry? 分布式分类帐技术如何改变零售业？
Distributed Ledger Technology (DLT) is a technological advancement that could bring great benefits to the future of the retail industry. After building up traction and catching public interest over the years, many retailers are considering implementing blockchain technology into their business strategy in the future. There are a couple of major companies that are already using blockchain in retail, such as the multinational retail corporation Walmart, who used blockchain technology in many of its pilot projects.
One of the most influential and largest e-commerce companies in the world, Amazon launched its blockchain solutions on Amazon Web Services (AWS) offering a fully-managed service that makes it easy to create and manage scalable blockchain networks using open-source frameworks.
Cryptocurrency is often related to blockchain and is known to be used as the payment method in the future. 9 years ago, Laszlo Hanyecz had paid 10,000 bitcoins for two large Papa John’s pizzas, marking the first purchase of tangible goods for digital money. Although bitcoin is still far from being universally accepted by retailers, thousands of merchants around the world are taking crypto in exchange for goods.
Payments using blockchain technology is just a tip of the blockchain iceberg though. While retailers accepting cryptocurrency remains an important avenue leading toward mass adoption, there are several other aspect where distributed ledger technology (DLT) can be beneficial to the retail industry. Some of these solutions are already up and running, and some hold the promise to bring about massive changes within the next few years.
So how blockchain in retail will develop and how it could change the industry?
- Crypto payments
According to the Kaspersky Lab Global IT Security Risks Survey, 13% of more than 12,000 consumers across 22 countries have used cryptocurrency to pay for their online purchases. Companies that step on the path of accepting crypto might be driven by various motivations. Some might want to appeal to younger, technologically advanced customers by appearing savvy with the cutting-edge tech, while others embrace the promise of the technology and are bullish on crypto themselves. Digital money’s volatility remains the main deterrent for large corporate retailers. Intermediaries like Flexa, which are ready to stand in between corporate businesses and the dicey crypto market to absorb part of the uncertainty, come in handy as the big players find themselves willing to experiment with the new payment method yet are wary of potential risks.
- Supply chain tracking
Another well-established and profusely covered family of blockchain use cases in retail has to do with the technology’s capacity to make the goods’ origins transparent and verifiable. The demand for such transparency may stem from different considerations, depending on a particular industry, with three key concerns being safety, authenticity and ethical sourcing. Industry leaders have come to realize that recording every actionable event along the produce’s journey — from farm to table — on a blockchain is an efficient solution to this problem. It could also enhance stores’ ability to quickly identify and remove recalled foods, among other logistical benefits.
- Customer data management, security and sharing
Retailers routinely record, store and utilize vast amounts of customer data. Blockchain applications related to streamlining processes in this line of their work present a less explored yet immensely promising area. Harnessing the benefits of distributed ledger technology could improve security, give customers more control over their data, and create new forms of marketing to help retailers meet consumer needs with higher precision and capture the value otherwise missed. With a blockchain data-sharing system in place, customers could also proactively let retailers know about their needs and preferences, sending them shopping lists in the form of smart contracts. Coupled with the potential affordances of the Internet of Things to outsource the execution and delivery of such orders to machines, blockchain could become a fundamental infrastructure for the new era of fully automated shopping.
Blockchain is not just about cryptocurrencies, and while it is important for retailers to keep a lookout on cryptocurrencies from a payments perspective, the real value is in blockchain applications. In retail, this is starting to move fast, and achieve real traction.
Do stay tuned to our future articles as we will be focusing more about how blockchain technology can benefit different aspects of the retail industry.
Consentium is a revolutionary chat application, which is the first to reward its users with cryptocurrency via the Chat Community Monetization (CCM) Model for virtually any group or community they create.
CCM Model allows for transactional fees to be redistributed to active members of the Consentium community. It incentivises users to create ‘ultra groups’ and cultivate strong in-app communities by creating more engaging content.
加密货币通常与区块链有关，并且在将来被称为付款方式。 9年前，Laszlo Hanyecz支付了10,000比特币，购买了两个大的Papa John的比萨饼，这标志着人们首次用数字货币购买有形商品。尽管比特币仍远未被零售商普遍接受，但世界各地成千上万的商人正在使用加密货币来交换商品。