The Gabrotech company is developing a platform that will allow making different loyalty rewards a digital asset. Available either for conversion into cryptocurrencies or fiat currencies, or for exchanging with other reward points. The release of the platform is planned for December. For further improvement, the company is running an Initial Coin Offering (ICO) until Sept. 1, with a bonus of up to 20 percent.
Although loyalty reward programs are growing in popularity, they lack the appropriate experience for customers. According to data provided by the Gabrotech company, a single household is enrolled in 25 programs on average, but the rate of their utilization remains low, ranging from 10 percent to 80 percent. Surveys show that 78 percent of customers are “generally not happy” with their loyalty programs. On the other side, Loyalty Program Operators (LPOs) do not hurry to fix this, as they view expired bonuses as an additional profit.
Gabrotech addresses those issues. The startup, established by a team of six blockchain enthusiasts, is aiming “to democratize” an estimated $500 billion global market of loyalty programs by developing a universal platform on the blockchain, comprised of several services.
The Gabro Digital Wallet works with different types of assets. First, it enables users to store rewards from merchants, to convert unused points into useful ones or to send them to other users. Next, there is an option of converting rewards into cryptocurrencies that can be held, transferred, or exchanged into fiat currencies.
Funds can be spent using Gabro Prepaid Cards, issued in the form of a virtual or a physical card. Holders of standard cards will earn a 0.1 percent reward for every purchase made with the card, while premium members will get an enhanced 0.5 percent return. The cards can also be used in ATMs for cash withdrawals.
The Gabro Wallet application sends instant payment notifications and shows analytics that automatically categorizes their transactions, allowing users to keep track of all payments made with the prepaid card.