Flipkart is looking to dive deeper into its Web3 initiative FireDrops, and to do so, the e-commerce giant has partnered with the Polygon blockchain network. Using Polygon’s CDK-deployed Layer 2 chain, Flipkart plans to boost its Web3 loyalty program. Launched earlier this year, Flipkart is also looking to expand its offering portfolio from physical items to virtual assets. Originally, the e-commerce platform had chosen Polygon to launch its FireDrops initiative.
With FireDrops, Flipkart is trying to give a new twist to its strategies to increase user engagement on its platform. Several brands resell their products Flipkart encourages brand loyalty through gamification, giving their users fresher experiences of being rewarded through virtual treats rather than physical ones.
“Flipkart uses Polygon CDK to build an Ethereum-based Zero Knowledge (ZK) Layer 2 network dedicated to the service and ensure future growth. It gives Flipkart a range of customization options, including a fine-tuned onboarding experience, dedicated block space and low transaction fees for its users. Future upgrades to the Polygon CDK will also allow for improved transaction data privacy, the ability to run the chain without a token or use a central bank digital currency, and access to liquidity in the larger Polygon and Ethereum ecosystems,” Polygon Labs wrote in an official blog post.
Arun Phillips, Chief Marketing Officer at Polygon, announced this development during the Polygon Connect India event this week.
On it official website from FireDrops, Flipkart says existing rewards programs feel ‘complex, tedious and broken’.
Since launching earlier this year, FireDrops has managed to generate 3.3 million wallets with at least one NFT which users may have collected as part of a brand reward.
From mystery boxes and special badges to discount benefits, early access and freebies, the FireDrops rewards program also lets users earn by buying and selling rewards. This is what Flipkart is marketing as the ‘future of rewards’.
Internationally, several other brands are also taking an immersive, virtual approach to give their rewards programs a Web3 twist and usher in a new era of customer engagement. These brands include Starbucks, Lufthansa Airlinesand clothing brand Lacoste among other.