Blockchain By Itself Does Not Solve Anything: Qurable

Q: How and why does Qurable integrate loyalty and reward systems with blockchain technology?

A: Throughout the company’s evolution, the vision has remained the same: connecting companies more effectively. Blockchain, by itself, does not solve anything without a value-added product for clients. We have built a suite of technologies on top of blockchain, incorporating AI, so that users benefit from these advanced technologies without dealing with their complexities.

In both physical and digital realms, tokens play a significant role. Our platform, which serves major clients such as Rappi in Mexico, Sky Airline, and several oil companies like Shell, offers significant value. We realized that transforming loyalty points into something based on blockchain technology allows for better management of the debt associated with these programs and, consequently, the flow of money around them.

Q: What are the advantages blockchain brings to the loyalty and rewards program sector?

A: The end-user earns these points, which can then be used within the company or an ecosystem of multiple companies. This was possible with older technologies as well, but it was much more complex. With blockchain everything is recorded, making the process more transparent and easier to implement. It is also auditable, and, in some cases, points can be exchanged for others. This is all managed through smart contracts, which add value to a hyperconnected ecosystem.

Q: What are the key metrics Qurable uses to measure the success of its loyalty programs?

A: Any loyalty program is designed with three main goals in mind: the first is to increase the frequency with which customers make purchases, the second is to increase the average transaction size (ASP) or ticket value, and the third is to boost engagement. Engagement often involves offering a product or service with added value, which can be challenging depending on the industry. For example, in retail, where competition is fierce, it is essential to differentiate oneself. Extending value proposition through a loyalty program that also involves partners can be a key differentiator.

Q: How do Qurable’s Loyalty Manager and Loyalty Insights platforms enhance the user experience to improve engagement?

A: We have a core system that manages blockchain extraction through APIs. Our clients and end-users enjoy the benefits of the technology without dealing with its complexities. The second component is a rules engine and intelligent algorithms that adapt to different customer behaviors. We offer two models: mobile apps or web applications, and APIs for integration. Ultimately, the end-user sees the impact directly.

The Loyalty Manager allows clients to manage their loyalty programs, choosing whether the points are transactional or simply tier-based, like rewarding users for frequent visits. Our product supports 95% of the complexities or strategies that clients need. Our loyalty manager includes a dashboard with insights that learn and evolve through AI algorithms.

Q: How does Qurable use customer data to enhance this ecosystem, taking into account the safety of customer data?

A: With blockchain, everything is public yet private: it records user behavior without knowing the user's identity. The private data belongs to the individual or, in this case, to the program administrator. From our perspective, an individual is just an address on the blockchain. We do not know each customer by name; they are just a number with a specific behavior. We feed this behavior into an AI algorithm that powers a neural network. If someone else shares similar preferences, they may receive benefits based on those similarities.

Q: What reasons led Qurable to start offering credit cards and what benefits do they offer?

A: Our vision for loyalty programs involves two key differentiators: first, we simplify the process of building an ecosystem that adds value to the client’s product or service, reducing operational costs and easing integrations between brands. Second, we focus on integrating directly into transactions, which is crucial for understanding customer behavior. Most of our competitors do not do this, but we believe it is vital because the transaction is where you learn about your customers.

Our focus on issuing credit cards, which we are now transforming into prepaid cards, connects the physical and digital worlds of loyalty. This creates a seamless experience where, for instance, a customer’s loyalty to a coffee shop can be linked to potential new customers, who might receive a gift card from a friend. This connection helps turn new customers into loyal clients, reducing acquisition costs.

Q: What differentiates Mexico’s loyalty program industry from others in the region?

A: We have a deep understanding of Mexico thanks to the operation of a company that we sold to Mercado Libre in 2020. The company operated in the B2B space across Latin America and the United States, creating digital products for the fintech and e-commerce sectors. In terms of loyalty programs, Mexico is quite advanced compared to other Latin American countries, but Latin America as a whole is still behind the European Union and the United States due to a lack of awareness of customer data. In Latin America, the focus is still heavily on acquisition rather than retention. Companies often fail to collect enough customer data to generate higher engagement and recurrence, leading to a fragmented approach with no omnichannel vision.

Q: What are Qurable’s main priorities for a successful 2024?

A: Qurable's main priorities for 2024 focus on sustaining rapid growth and expanding our customer base. This year, we are on track to grow fivefold compared to last year, a significant milestone for a startup in its second full year of revenue. In 2025, we aim to maintain this ambitious growth rate, which is a considerable challenge.

We will also focus on diversifying our offerings by developing a more accessible version of our product. While we currently serve enterprise clients, we are working on democratizing access to our technology for smaller companies, making it feasible for businesses that are not large enterprises, such as local coffee shops, to benefit from our solutions. Our expectation is to continue this growth trajectory while expanding our reach to a broader range of clients.

Qurable is a SaaS platform that specializes in transforming business loyalty programs through blockchain-based technology and integrated payment solutions.