Loyalty Reward Programs – How Bitcoin Fixes This

One of the best loyalty reward programs I ever used was Discovery Vitality’s program - the one where you got a free cappuccino each week. There have been so many loyalty reward programs by different companies over the years, but Discovery’s was the best.

What made it the best? It was simple.

You didn't have to do anything except reach your fitness goal for the week and you'd qualify for a free coffee. This was made even better by the fact that many of the gyms you would go to for your fitness rewards, had a coffee shop inside the gym from which you could get that free coffee. So, this meant you didn't have to go out of your way, and you got something free.  That was enjoyable.

As with all good things, it came to an end as soon as Discovery decided to get clever. It wasn't just the coffee you could get, it was now a snack and a hot drink or a cold drink. Not only was it from the coffee shop but there were three or four other vendors added. After adding so many different vendors and options they then started changing the app functionality making it harder to access those vouchers. It wasn't anything serious it was just an extra click or an extra swap to get to navigate but after a few iterations it was almost impossible to find out where to go to claim your voucher quickly. At that point I stopped bothering.

Other rewards programs I’ve been part of have been dismal. They offer you something that is hard to claim, that is trying to figure out how to cash in the rewards. And frankly it took you years of rewards points to get anything worthwhile. Furthermore, those rewards would often expire if not used. The kicker is that every rewards program is unique, and these rewards are locked into that company's program. I could not take rewards points earned from Pick ‘n Pay and go and spend it at Woolworths, likewise I could not take a Kauai voucher and go and use it at Pick ‘n Pay.

Because of this I have lost track of the rewards programs and points I have built up over the years. From major institutions like banks and insurance companies to retailers and restaurants; my wallet used to be stuffed with cash and credit cards, and now it's stuffed with loyalty rewards cards. Actually, one of my banks lets me cash in my rewards for money – but that money will just inflate away in time.

In a nutshell they were difficult to use, expire, and restricted in where they can be used.

Doesn’t sound very rewarding, does it?

Now let's contrast this with businesses that offer you Bitcoin rewards.

Firstly, these businesses generally accept payment in Bitcoin, which is the fastest final settlement payment network and with near zero fees. That’s a business win right there.

Secondly, these businesses let you earn rewards in Bitcoin for when buying their products and services. Now you might ask what's the difference between this and any other reward program?

The difference is HUGE.

Bitcoin is money, and money that does not inflate away. In fact, it appreciates significantly. The lowest increase in value over any 4-year period is 23% year on year.

Bitcoin can be spent like money. It can be used to buy any product or service at many vendors, the largest of which is Pick ‘n Pay stores where you can pay for any purchase using bitcoin. So you collect all the bitcoin rewards from these programs and they can be used anywhere else.

Bitcoin does not expire. The rewards just keep on building up over time.

The Bitcoin payments ecosystem has exploded over recent years. Look at the recent report from Breez for a quick overview on how many companies offer solutions to handle Bitcoin payments for your business. If you want to attract clients to your business with a royalty rewards program, the best one, by far, is a Bitcoin rewards program.

Some examples of how it can be implemented are; Fold, The Bitcoin Company, Satsback, Bitrefill.

This simple loyalty rewards program is how they were supposed to be. Rewarding.