Nowadays, nearly every company runts its own loyalty program that uses points. These points are worth at least $300 billion. Nevertheless, the varying nature of the points makes it impossible to use and manage the points from a consumer’s perspective. For businesses, the unused coins dent the performance of the loyalty programs as well as adversely increasing overall debt.
What is Pointium?
Pointium will leverage blockchain technology to address the issues as mentioned above. Users will easily integrate and mange Pointium tokens and points using the Pointium Wallet. Moreover, the tokens can be expediently exchanged for Pointium tokens, and vice versa. The Pointium Wallet will feature a Promotion Feed through which businesses can advertise their loyalty programs, reaching more clients in the process. Lastly, in the Pointium shop, members can buy stuff from the partnering companies.
Issues Facing Points Loyalty Reward Programs
Difficulties of Point Management
There are several businesses across the world, most of which offer loyalty points. Consequently, consumers are often overwhelmed with the high amount of points in their possession. Usually, a significant number of the points end up expiring. In fact, only half of the customers reap benefits of the point system.
As stated earlier, points usually have expiry dates. Many customers fail to spend their points, resulting in expiration. This translates into unnecessary social and technological costs, adversely impacting the market.
Dismal Performance of Loyalty Programs
Points are the pivotal aspect of any loyalty program. As the name suggest, businesses use points as an incentive to get more loyalty form their clients. Therefore, the failure to spend points by customers make the whole process ineffective and economically unsustainable.
Increased Debts due to Low-Utilization
Since points can act as a substitute for cash, companies usually regard failure to spend them as a loss. Over time, these unused points accumulate, substantially shooting up the firm’s debt ratio. Consequently, the businesses receive a poor rating, losing customers as a result.
Social Costs due to Low-Utilization
Loyalty programs are relatively expensive to set up, given that they require severs and a database. Furthermore, the workforce required to develop these systems often demand large amounts of money. Hence, low-utilization has a negative impact on a company’s finances.
About The Pointium Solution
Pointium will solve the above-mentioned challenges using an integrated blockchain-driven decentralized point platform. Users will get access to a point management dashboard from where they can exchange unused points for Pointium tokens. Afterwards, they can exchange their tokens for their desired points.
Regarding points that are nearing expiration, Pointium will automatically convert them into tokens to avoid disappearance. Partnering companies will determine the exchange rate for their points so that they can avoid debts and use the Promotion Feed to reach new clients. Particularly, Pointium will focus their attention to the airline and transport sector as a whole.
Pointium Token Sale
The Pointium Token (PNT) is an ERC20 complaint utility token based on the Ethereum blockchain. The total supply is capped at 1,600,000,000, of which 50% will be available in the presale and ICO.
Below is an overview of the token sale
Total supply: 800,000,000 PNT
Presale: April 1st– April 29th, 2018
Presale hard cap: 240,000,000 PNT
ICO: May 1st – May 29th, 2018
ICO hard cap: 560,000,000 PNT
Accepted currencies: ETH