Visa has introduced a Web3-based loyalty reward system designed to enhance customer engagement by offering tokenized tickets, loyalty points, digital collections, and other benefits through Web3 wallets. These rewards can be converted into virtual and physical experiences, signaling a significant move towards integrating blockchain technology into loyalty programs.
A Visa spokesperson emphasized that the new platform simplifies Web3 for both partners and consumers, making it accessible without the need for advanced blockchain knowledge. The platform promises a user-friendly experience with a simple two-click mobile registration process.
SmartMedia Technologies, established in 2018, powers Visa’s Web3 loyalty platform. The company has gained recognition for its collaborations, including partnerships with American Express, Unilever, and Burberry. SmartMedia’s CEO, Tyler Moebius, highlighted that the collaboration with Visa aims to redefine the exchange of value between brands and consumers in a mobile payment-centric world, beyond just enhancing customer rewards.
Technological advancements in blockchain are encouraging Web2 companies to explore this domain, particularly in 2023. These companies are leveraging blockchain technology for loyalty programs, which serves as both a significant marketing move and a way to attract user interest.
European airline giant Lufthansa launched a Web3-based loyalty program in 2023, setting an example for many Web2 companies. The program has been well-received by users, offering a mobile app that simplifies ticket transactions and provides opportunities to earn reward points through various activities.