Blockchain empowered CRMs
Cryptocurrency has been the talk of the town due to the price hike of the Etherium and Bitcoins in the recent years. With Bitcoin peaking in December 2017 it is safe to say that there is more to come.
Blockchain implementations has made it clear that it is going to stay in the market for a while. The technology has the ability to revolutionize the working pattern of various businesses. Keeping in view the potential of Blockchain technology, we will discuss how it can impact the Customer Relationship Management positively.
What is Blockchain?
Assuming you don’t know much about Bitcoins and cryptocurrency making Blockchain a completely new concept for you, let us treat you with some information. The blockchain is a chain of digital records that are distributed but not copied, making it extremely secure from any outside tempering. A blockchain is capable of keeping the transaction records of two parties cryptographically secure. The biggest benefit of this technology is being decentralized giving not a single person the power to destroy or control the information.
How could Blockchain disrupt CRM?
After going through the basics, now it is easier to discuss how blockchain would impact the CRM industry because of its endless capabilities. Here are a few areas we at TI feel would be affected.
More Secure Platform
A blockchain is a series of blocks containing data and each block is connected to the previous and the block ahead of it. Each bit of information is cryptographically secure making it kind of impossible to tamper with the data from the outside.
Although most CRM databases are hosted on cloud these days and cloud servers have a list of security protocols implemented, security concerns do arise every now and then. As these systems are centralized they do have a single tipping point. On the contrary, blockchain is decentralized and the data is distributed in various data blocks along peer-to-peer networks. So an outside tempering activity needs huge computing power to access the whole blockchain making it nearly impossible. Resultantly, the chances of hacking or fraud are minimized making the platform more secure.
No Third Party Intervention
As the whole system is decentralized, dealing with your clients without any interference from a bank, financial institution or a third party is becoming possible. The absence of these facilitating “middlemen” institutions bring more speed, efficiency and cost cut on the table for your organization.
One of the biggest concerns for CRM developers is to retain the user’s privacy. With the help of blockchain technology, the information about a certain person or company can be stored in particular blocks and it will remain intact. The CRM users won’t have to deal with duplicate or inaccurate data anymore. The technology would allow CRM to store information and encrypt it when needed without sharing any specific details with the concerned parties. Empowering the users through their control over their data. (Facebook please pay attention!)
Better User Experience
Various brands offer loyalty programs to improve the users’ experience. Due to different rules and limitations of every brand, most of these programs don’t bring the estimated ROI and become a painful experience for the users too. These brands can change the situation using the blockchain technology as it would provide a decentralized wallet to the users. They won’t have to worry about different limitations of various brands as their wallet would be compatible with all the brands. Giving the users more control would surely increase the customers’ trust in the brand.
Blockchain would completely transform our approach towards the CRM and has the potential to revolutionize the business operating models. With the technology still not in its mature form, this could feel like an exaggeration but its potential has already got the attention of many tech giants. Realizing the capability of blockchain technology these claims seem pretty realistic to us.
April 25, 2018
April 24, 2018