A7 Core aims to use blockchain technology to facilitate direct relationships between brands and consumers. Find out how it works today in our review.
What is A7 Core?
A7 Core, found online at A7Core.com, aims to enable “a more direct relationship between brands and their consumers through a permission-based blockchain solution,” as explained by the official website.
A7 Core is a well-established software company. The team has previously developed a proven enterprise application. The team has also been building blockchain solutions since 2013.
The overall goal of A7 Core is to change the way consumers and brands interact – including through coupons and loyalty points programs.
A7 Core is holding a token sale for ASVN tokens starting on June 1. The company seeks to raise $10 to $15 million through its token sale.
There are some unusual things about the way A7 Core is being marketed online – including a lack of team information, a heavily-promoted ICO, a thin whitepaper, and the lack of an MVP, alpha, or beta. These red flags suggest that A7 Core could be an ICO scam, but we’ll leave it up to you to decide.
What Problems Does A7 Core Seek to Solve?
A7 Core has identified five key areas of inefficiencies across the loyalty and coupon system used by brands today. Those areas include:
- Temporary price reduction (TPR)
- Scan-based offers
- Consumer brand confusion
A7 Core claims sales and operating margins continue to shrink for brands and retailers throughout the packaged goods ecosystem. Brands can’t adapt because the legacy operating system is rife with product promotion and discount inefficiencies.
Some of the specific inefficiencies with the above products include high transaction fees and huge rates of fraud.
A7 Core aims to solve these problems using blockchain-based solutions. A7 Core claims brands can save over $80 billion in transaction fees while reducing fraud 10x using their solution.
How Does A7 Core Work?
A7 Core aims to solve the problems above while creating solutions that “fit any customer management program.” The A7 Core platform is built on a seamless datastream “that puts the power back in the hands of brand managers.”
Some of the key features and functions of the platform will include all of the following:
- Loyalty program and brand wallet
- Rebate management
- Brand to retail payment distribution (EFT and ACH)
- Fraud controls
- Eliminating clearing
- Frictionless redemption process
- Personalized offers powered by artificial intelligence
In other words, A7 Core aims to optimize every aspect of the coupon and loyalty program industry, making it more efficient for brands to interact with consumers.
A7 Core believes their platform will have a coupon creation cost of $0.02 apiece compared to $0.05 to $0.07 per coupon under the traditional system. This fee includes the brand and agency fees.
Meanwhile, it will cost $0.06 to distribute and redeem coupons, compared to $0.10 to $0.25 with traditional methods (like You Tech, Quotient, Catalina, and others).
A7 Core will use the blockchain for handling, which means the retailer won’t receive a handling fee because the retailer doesn’t do any handling. In the traditional model, the retailer handling fee is approximately $0.08, and that rate will be 0 on the A7 Core platform.
A7 Core also plans to reduce payment processing fees by paying via EFT or ACH directly to the retailer, creating a cost of $0.04 per redemption compared to $0.06 to $0.12 on the traditional model (including fees to NCH, Inmar, regional groups, and other clearing houses).
One of the biggest improvements of the A7 Core platform will be its fraud reduction. A7 Core will lower the cost of fraud to just $0.002 to $0.005 per coupon compared to $0.02 to $0.05 per coupon on today’s model.
Another big area of improvement is the transaction time: A7 Core will reduce transaction time from 30 to 120 days down to just one day.
When you add up all of these processes, you get a total cost of $0.12 with the A7 Core blockchain platform, with 2 to 4 entities involved in the coupon transaction in total. In the traditional coupon system, it costs $0.33 to $0.57 per coupon and there are 6 to 10 entities per coupon.
A7 Core claims their platform already has over 80 APIs to interact with digital wallets, digital coupons, third party rewards systems, mobile shopping platforms, checkout platforms, RFID and NFC beacons, shopping lists, automotive information, payments, and more.
The A7 Core Token Sale
A7 Core is holding a token sale for its ASVN tokens. There’s a total supply of 1,000,000,000 tokens. 100 million are available during the pre-sale, with 400 million available during the public ICO.
Of the remaining funds, 275 million are going to escrow, 125 million to the management team, the board, and advisors, and 100 million to founders and organizers.
A7 Core is accepting USD and ETH during the token sale.
Each ASVN token is set at a base rate of 1 ASVN = $0.175 USD. Bonuses of up to 40% are available during the first week.
Who’s Behind A7 Core?
A7 Core, oddly enough, doesn’t reveal any team information online. The company claims to be a proven software developer that has built a popular enterprise application and other blockchain solutions.
That enterprise application is described as “one of the most sophisticated retail AI solutions in the market, live today via mobile in store proximity applications.” It’s an application that delivers personalized digital coupons and in-store offers to consumers via a location-tracking mobile app.
The company also claims to be based in the United States and was founded in 2013.
Ultimately, we have no reason to believe that A7 Core is lying about its team information or experience. However, the lack of team information or specific information about the company’s products (like a product name for its enterprise app) is a little bit worrying – especially when you see the way the A7 Core ICO is being promoted online.
A7 Core aims to put coupons on the blockchain, disrupting a multi-billion dollar industry by making it more efficient than ever before. A7 Core will reduce the number of participants involved in each coupon sale, lowering it from around 10 participants to just 3 or 4. A7 Core will also lower the cost per coupon for brands, dropping it from around $0.50 per coupon today to $0.12 per token with the A7 Core platform.
The A7 Core pre-sale is scheduled to begin on June 1, 2018. Whitelisting is available at A7Core.com.
Most aspects of A7 Core sound good, but there are some red flags about the product. The company has no team information available online. They also make enormous claims about their platform – like the fact that they’ve already developed 80+ APIs – but the platform isn’t available for anyone to see online. There’s no MVP, alpha, or beta. The company also claims to be a proven enterprise software developer based in the United States, but we can’t find any information about A7 Core’s previous products – or even its office location – online.
The whitepaper and website are also surprisingly short on technical details of the platform.
To learn more about A7 Core and decide for yourself if it’s an ICO scam, visit online today at A7Core.com.