What Is the Impact of Blockchain to Society & Retail Business?
Overview
There is no doubt that Blockchain technology has been the foundation of many cryptos.
However since the last few years, there has been a subsequent shift in perspective as an
increasing number of businesses have begun to see the potential of Blockchain Technology.
This shift is taking place due to the digital revolution taking the retail industry by storm.
Blockchain may not be the main aspect of working in the retail industry but it is essential in
the coming times as it works away in the background quietly.
Blockchain paves a way to establish trust merchants, payment sources, and customers while
ensuring complete transparency, credibility and security in various activities pertaining to the
business.
In recent times, online payments have seen a rise given the pandemic situation. Increasing
online transactions only increase the need for higher security and trust to help the retail
sector flourish.
Before moving to understand the impact of blockchain on the retail industry, it’s essential to
get a clear idea of what blockchain technology means.
What is Blockchain Technology? How Does it Function?
A Blockchain functions as a scattered and distributed database that a network of computers
can access. Once a record or transaction is added to the block it, it becomes immutable i.e.
it can’t be reversed or changed. The network routinely checks for the most recent addition to
the blockchain to ensure the database in all the computers of the network are the same.
This database provides extreme transparency and maintains a proper record of each
transaction.
Impact of Blockchain Technology on the Retail Industry
- Ensuring product quality
The use of Blockchain Technology ensures a product’s origin, state etc. For example,
Internet of Things (IoT) enables sensors to track perishable goods and store temperature related data on a digital ledger. This technology helps retailers to tackle supply chain problems. - Catching Fraud
A blockchain technology which ensures safety and security in the digital sector is extremely important. Businesses may use this technology to prevent the invoices changing hands between suppliers and buyers to prevent procurement fraud. The risk of fraud also minimizes since all the parties involved must confirm the transaction.
Since counterfeit goods don’t have the history of authentication on the blockchain, retailers can ensure the authenticity of the goods. - Tracking Inventory
Retail sector is guided by an increased need for inventory management. A better control
over the inventory lowers its costs, enhances order fulfilment which in return results in the customer’s satisfaction. It also simplifies the process of supply chain management and increases the profit margins. - Handling Consumer database
Organizations and retailers collect consumer data in huge numbers, but it’s also extremely important to manage that data efficiently. Decentralized Identity (DID) enables people to maintain their personal information outside of corporate systems, which is made possible only by the Blockchain Technology. Usage of DID instead of a personal email id has a less probability of someone tracking a user’s web behavior.
Closure
Many aspects of the retail industry can be enhanced using Blockchain Technology. This
sector is still dealing with concerns which have the potential to become major problems in
the future. However these concerns can be addressed by employing blockchain technology
as it provides additional customer advantages along with dealing with these problems.
With almost a decade of experience, PlatinX Technology is a leading Blockchain
Development Company in India where we provide customized, end-to-end blockchain
development solutions. Our team of experts have helped a wide range of companies from
various industries in building reliable blockchain solutions. We are one of the top crypto
trading software and assist in a variety of services.
Visit https://www.platinx.io/ for more information and assistance