Gamification which is layering game-like feature on a platform can be a powerful tool combined to blockchain technology.
In an effort to to improve engagement, gamification proved to be a powerful tools whether implemented on websites, applications, platforms or online community to boost interaction and participation.
Indeed, gamification proved that it is a great tool for businesses and organizations that needed to leverage innovative ways to appeal to their audience, and grow the top of their lead funnel.
In addition, with the rise of blockchain technologies and the micro-economies that sprung from this new architecture, gamification can be taken to a whole new level while dragging blockchain technologies to the mainstream, by helping incentivize direct engagement to these ecosystems.
Combining the engaging power of gamification with the various technological benefits of the blockchain could help businesses overcome obstacles and streamline their activities.
Blockchain Technology Disrupting All Industries
Although less than a decade old, blockchain technology has already proven to be a significant catalyst for disruption among multiple industries. Logistics, securing and facilitating cross-border transactions, this new technological framework has proven tremendous potential to decentralize and challenge firmly established industries.
Blockchain’s decentralized nature delivers several remarkable benefits to companies, including a more transparent way to record transactions, superior infrastructure for hosting services, and enhanced security measures.
From a business perspective, blockchain also carries several noteworthy advantages, most importantly better ways to store and secure user data. With the topic of information and personal privacy and security more prevalent, blockchain’s cryptographic feature and decentralized ledger mean that recording and protecting personal information never been more easy.
As high-profile security breaches like Equifax have shown, organizations do not always take these issues as seriously as they should.
By comparison, blockchain could be used to empower individuals to maintain, protect, and/or sell their own personal data, determining themselves which businesses or parties they would like to share their data with.
One of the most prominent developments, however, is the tokenization of products and services, helping shift many of these blockchain-based organizations into utilities that benefit the entire ecosystem, service providers, and end-users.
Nevertheless, the idea of tokenizing utilities led to some unintended consequences, such as ecosystem stakeholders holding the tokens anticipating appreciation. Indeed, rather than deploying the tokens to pay for products and services, individuals are investing for a return, thus creating a hole in the model.
Instead of engaging users, companies are finding their value-added products ignored in favor of token investment rather than use for the services they are providing.
Blockchain Going Mainstream Through Gamification
As one of the fastest developing trends in retail, gamification has been a long seeked tool by some of the globe’s major organizations.
One of the earliest example could be airlines and credit card companies, which built points systems designed to get users to spend and participate, rewarding them with redeemable prizes.
However, blockchain, and the growing trend of tokenization of activities, makes gamification a great approach for developing a new micro-economy or utility. One of the primary issues that many organizations issuing tokens are facing is getting users to spend instead of hold on to them.
But, some organizations have solved how to effectively combine both blockchain and gamification to develop greater fungibility while incentivizing spending tokens over saving.
HotNow, the Thailand-based mobile advertising network, has gained hundreds of thousands of users and signed up over fifty thousand merchants since its initiation as a platform designed to reach smartphone users with retail deals based on their location.
However, by going an extra mile and tokenizing their ecosystem with HoToKeN, HotNow is actively improving interactions and relationships between merchants and users. Users that participates in mission-based games are rewarded with tokens which can award them with valuable discounts and promotions at their favorite retailers.
Merchants are able to test the true elasticity of their prices while collecting valuable insights about user preferences, rounding out a mutually beneficial ecosystem.
Micro-economies such as the one promoted by HotNow deliver value to all parties involved. With the fast-paced expanding blockchain network identifying solutions to real-world problems, the key to uncover sustainable value in these ecosystems will ultimately depend on the velocity of tokens moving in the ecosystem, enabling greater opportunities to monetize and optimize over the long-term.
However, to ensure the levels of engagements amongst all users remains high, gamification has emerged as the most qualifiable strategy to deliver said results.
Blockchain has more than shown its great potential for disrupting a wide range of activities for organizations and individuals.
When it comes to transaction, though, the integration of gamification techniques already deployed by many businesses through the closed micro-economies developed on the blockchain promises to go a step beyond in improving data collection, understanding user preferences, and ultimately capitalizing and leveraging this information.
Although the industry still has further room to improve on its early ambitions, these leaps represent a tremendous shift forward for developing more sustainable outreach efforts that are far more quantifiable all while delivering more targeted results.