BLOCKCHAIN LOYALTY PROGRAMS

By 2026, loyalty is more than just earning points or scanning QR codes at the register. Blockchain has made loyalty programmable, portable, tradable, transparent, and unique to each person. As blockchain technology moves beyond mere speculation in cryptocurrencies, big brands are using it to build next-generation loyalty systems that empower customers with more control and personalized rewards, fostering trust and confidence in the future of loyalty.

The points themselves aren't what make blockchain loyalty different; it's the ownership and ability to work with other systems that it adds. In traditional systems, loyalty points are kept separate. For example, Starbucks points are valid only at Starbucks, and airline miles are valid only with one airline unless there is a partnership. On the other hand, you can keep blockchain-based loyalty tokens in a digital wallet, move them around, trade them, redeem them with partners like Sephora or Zara, or even use them as digital collectibles with brand value. This interoperability opens new possibilities for cross-brand collaborations and practical integrations.

Big names like Starbucks, Nike, Adidas, Louis Vuitton, Sephora, and Singapore Airlines have been testing loyalty programs powered by blockchain. For example, Starbucks Odyssey showed in 2024–2025 that customers really like loyalty programs that offer digital collectibles and exceptional experiences along with rewards. Nike's SWOOSH prototype hints at a future where digital sneaker assets can be collected and traded, sparking curiosity and excitement about the evolving loyalty landscape.

Consumer psychology is one of the main reasons why people are starting to use blockchain loyalty. Gen Z and Gen Alpha like openness, owning things online, and rewards that come from experiences. They like loyalty programs that are more like games or communities than systems that only do business. Blockchain enables unique rewards, such as limited-edition digital assets, access to exclusive brands, or experiences available only with tokens. Brands can check and reward participation across several channels, such as online shopping, attending events, creating content, and building communities, without relying on centralized databases that are easy to hack, prone to errors, or designed to hide information.

From a business perspective, blockchain loyalty programs reduce fraud risk, enhance security, lower administrative costs, and enable cross-industry collaboration. Think about how you could use fashion tokens you earn at Zara at Sephora, or how you could trade hotel loyalty points for NFT fashion drops. As brands focus on working together rather than competing, these trends are emerging in Asia, Europe, and North America. In the future, loyalty programs will be less about "points to redeem later" and more about value that you can keep in your wallet, grow as you interact with it, and move easily between digital platforms.

But there are still problems. Because blockchain is so complex, brands need to create user-friendly interfaces that hide the technical details. People shouldn't have to know anything about wallets, gas fees, or cryptography to get loyalty rewards. Regulators are also keeping a closer eye on digital assets, which means brands need to ensure their systems comply with privacy and data protection rules worldwide. Recognizing these challenges can inspire confidence that solutions are within reach.

For schools like Raffles, this change means that students who want to work in marketing, fashion, or digital commerce will need to learn new skills. They need to know about tokenized engagement, managing digital assets, blockchain UX, and how customers will think in the future. Students will be the ones to design the loyalty ecosystems of the future, where technology and emotional engagement work in perfect harmony.

In the end, blockchain loyalty programs in 2026 are more than just technological improvements. They stand for a new kind of relationship between a brand and its customers, one based on openness, ownership, personalization, and value that crosses the digital and physical worlds. You don't earn loyalty anymore; you make it.

Arman POUREISA

Marketing Manager

Raffles Jakarta

References

Adidas. (2024). Introducing the Adidas /// Studio Collectibles. https://www.adidas.com/us/studio

AllianceBernstein. (2024). How blockchain is transforming loyalty programs. https://www.alliancebernstein.com/ai/en/insights/how-blockchain-is-transforming-loyalty-programs.html

Blockchain Council. (2024). Blockchain in loyalty programs: Use cases and future trends. https://www.blockchain-council.org/blockchain/blockchain-in-loyalty-programs/

CoinDesk. (2024, October 2). Nike Expands .SWOOSH Platform With Blockchain-Based Digital Assets. https://www.coindesk.com/business/2024/10/02/nike-expands-swoosh-platform-digital-assets/

Deloitte. (2024). Tokenized loyalty: Reinventing customer engagement with blockchain. https://www2.deloitte.com/global/en/insights/industry/financial-services/tokenized-loyalty.html

Forbes. (2025, January 15). Why blockchain loyalty programs are gaining momentum in retail. https://www.forbes.com/sites/forbestechcouncil/2025/01/15/why-blockchain-loyalty-programs-are-gaining-momentum

Harvard Business Review. (2024). Loyalty reimagined: Blockchain’s emerging role in customer engagement. https://hbr.org/2024/05/loyalty-reimagined

IBM. (2024). How blockchain builds trust in customer loyalty ecosystems. https://www.ibm.com/blockchain/solutions/loyalty

LVMH. (2024). AURA Blockchain Consortium: Ensuring product authenticity. https://www.lvmh.com/news-documents/news/lvmh-joins-aura-blockchain-consortium/

McKinsey & Company. (2024). Digital loyalty 3.0: Personalization, tokenization, and next-gen engagement. https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/the-future-of-digital-loyalty

Nike. (2024). .SWOOSH by Nike: Digital creation platform. https://www.swoosh.nike

Singapore Airlines. (2024). KrisFlyer and blockchain innovation. https://www.singaporeair.com/en_UK/us/ppsclub-krisflyer/krisflyer/

Starbucks. (2024). Starbucks Odyssey NFT loyalty experience. https://stories.starbucks.com/stories/2024/starbucks-odyssey-digital-collectibles/

TechCrunch. (2024, November 18). Blockchain loyalty startups raise funding as brands shift to token economies. https://techcrunch.com/2024/11/18/blockchain-loyalty-startups/

Visa. (2024). Blockchain and digital tokens in customer engagement. https://usa.visa.com/solutions/crypto.html