BMW will put in place decentralized technology in two steps to cut down on the amount of complicated paperwork that is needed for daily operations. The second stage will involve the creation of a customer loyalty program.
In addition to creating a blockchain loyalty program for its Thai customers, BMW aims to use blockchain technology into its regular company operations. The well-known manufacturer has selected Coinweb as its decentralized architecture supplier and BNB Chain for transaction settlement.
In two stages, BMW will integrate blockchain technology into its operations. During the second phase of the project, Coinweb would make a Web3 app for BMW’s customer loyalty program. Through a rewards system built on blockchain technology, the program will reward BMW Group customers. The loyalty awards a customer has earned through different actions determine his or her tier and position in the ecosystem.
Owners will eventually be able to use their rewards to purchase goods and services from both BMW and a connected environment. The native to Binance BNB chain will be used to settle transactions.
Toby Gilbert, CEO of Coinweb, outlined to CoinRegency how customers will benefit from the future loyalty program by saying that they will be rewarded each time they interact with the BMW ecosystem, whether they are “buying a new car or they go for a service.” He continued:
“Customers will be rewarded with loyalty points and they will be able to spend within the ecosystem. Our hope is that there will be a future global rollout but currently our partnership is for Thailand.”
BMW Thailand’s leasing manager, Bjorn Antonsson, stated that the company has been closely tracking the development of decentralized technology over the years, as well as its numerous use cases. Antonsson thought that by incorporating blockchain technology into their daily operations, they would do away with manual paperwork and improve the organization’s efficiency and transparency.
Automobile manufacturers’ interest in decentralized technology is nothing new, and BMW has been working with the technology since 2018. BMW was the first company to use blockchain technology to track where its cobalt came from. This made sure that the company’s products came from ethical sources. Along with BMW, the well-known German automaker Mercedes has used non fungible tokens and cryptocurrency coins to promote its products in a big way.
Even though Ferrari’s new agreement seems to include NFT, the Italian automaker Alfa Romeo uses blockchain technology to track data about its vehicles.