Description

Loyalty programs (LPs) as significant marketing strategies have proliferated across many economic sectors. However, the LPs are losing business value and attraction to customers. extant research mainly focused traditional LPs design which failed to address the challenges. Thus, new models and elements of the LPs system design need to be further explored, not only for business value but also for social value. We fill the gap by conducting an action design research (ADR) and adopting hybrid organizing theory as the kernel theory. We partnered with a Chinese telecom operator to develop an innovative LPs system by hybrid design, and introduced blockchain to address the challenges in hybridization. Thus, we revise hybrid design principles to guide the development of a blockchain-based LPs system. Our ADR study is in progress and the preliminary findings of new design principles may contribute to the literature of LPs, blockchain and hybrid organizing.

Share

COinS
 

Developing a Blockchain-based Loyalty Programs System to Hybridize Business and Charity: An Action Design Research

Loyalty programs (LPs) as significant marketing strategies have proliferated across many economic sectors. However, the LPs are losing business value and attraction to customers. extant research mainly focused traditional LPs design which failed to address the challenges. Thus, new models and elements of the LPs system design need to be further explored, not only for business value but also for social value. We fill the gap by conducting an action design research (ADR) and adopting hybrid organizing theory as the kernel theory. We partnered with a Chinese telecom operator to develop an innovative LPs system by hybrid design, and introduced blockchain to address the challenges in hybridization. Thus, we revise hybrid design principles to guide the development of a blockchain-based LPs system. Our ADR study is in progress and the preliminary findings of new design principles may contribute to the literature of LPs, blockchain and hybrid organizing.