The digital transformation, supported by Web3, Metaverse, Gaming and AI technologies, continues to reshape the business landscape, deeply altering their interactions with customers. No business sector is and will be spared: innovation, product, e-commerce, marketing, CRM...

At the heart of this evolution, customer engagement remains a strategic priority for companies eager to stay competitive. Web3 technologies, such as digital wallets, augmented and virtual reality (AR/VR), immersive worlds and artificial intelligence (AI), offer unprecedented opportunities to create more immersive and highly personalized customer experiences.

These technological innovations allow companies to capture the attention of an increasingly demanding and connected clientele by transforming not only how their products and services are distributed but also how they interact with their audience.

In this article, Adrien Pourchaire and Karen Jouve, Doors3 experts, explore how Web3 technologies are redefining the concept of customer engagement, paving the way for increasingly exciting, exclusive and personalized marketing strategies.

1 - Customer engagement is declining today 

1.1 - Stagnation of engagement

In a saturated digital environment, customer engagement today seems to be reaching a plateau. Consumers are constantly flooded with information and solicitations from all sides, whether through social media, online advertisements or email campaigns. This overload of messages and offers has led to information fatigue, where customers become increasingly selective and less receptive to brand communications.

In the face of this situation, it is becoming increasingly difficult for companies to stand out and maintain their audience's interest. Traditional marketing and communication methods are no longer sufficient to capture the attention of an audience that expects more personalized and authentic interactions. As a result, engagement rates are stagnating or even declining, despite increasing marketing budgets.

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1.2 - The New Generations of “Consumer-actors”

Millennials and Generation Z are radically transforming the landscape of customer engagement. These "consumer-actors" are no longer content with passive commercial transactions; they seek authentic, interactive, and meaningful experiences. They aim to give purpose to their purchasing and consumption acts by engaging with brands that offer personalized experiences.

Unlike previous generations, these groups no longer wish to be mere recipients of advertising messages. They want to actively participate in the decision-making processes of the brands they support and are more engaged with those that share their values and concerns.

These young consumers are particularly sensitive to transparency, sustainability, and inclusivity initiatives. They appreciate brands that provide platforms for personal expression and incorporate interactive elements into their communication strategies, such as games, contests, or social media campaigns.

1.3 - The Evolution of the Web: Towards an Enhanced User Experience

The web, as we have known it, is undergoing continuous transformation, disrupting modes of consumption and interaction. From a simple transaction tool based on "click to buy," it has metamorphosed into an immersive platform integrating advanced technologies such as blockchain, augmented reality (AR), and virtual reality (VR).

These innovations enable consumers to have more engaging and interactive shopping experiences, such as virtually trying on products before purchasing or visiting virtual stores in three dimensions.

Consumer expectations are evolving in parallel with these technological advances. They now seek seamless, intuitive, and personalized experiences that fit perfectly into their digital lives.

1.4 - Cost & Revenue: How Are Innovative Companies Positioning Themselves?

Cost-effectiveness is a central concern for companies when considering the integration of new technologies. In an economic context where cost rationalization is crucial, companies seek tangible evidence that these innovations, such as Web3 technologies, bring real added value. They aim not only to improve the customer experience but also to justify investments with clear and measurable returns on investment (ROI).

Companies are turning to technologies that not only capture and retain customers but also optimize internal operations to reduce costs. For example, process automation through artificial intelligence can reduce operational expenses, while the use of digital wallets can lower the costs associated with traditional financial transactions. Companies that manage to balance implementation costs with potential benefits are better positioned to leverage the competitive advantages offered by these new technologies.

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2 - Digital Wallets, the New Gateway for Users into Engagement Programs 

2.1 - A New Approach for Secure and Transparent Access

Digital wallets are now seamlessly integrated into the loyalty programs of major companies, becoming the new digital mailbox for users. They not only offer a way to store rewards but also provide true digital ownership, allowing users to manage and monetize their engagement with brands.

These wallets enable customers to enjoy tangible benefits, such as the ability to resell their membership status or monetize the time and loyalty they have accumulated. This new dimension of ownership strengthens the trust relationship between customers and companies, thereby increasing satisfaction and loyalty.

2.2 - Lufthansa and the Development of Its Uptrip Mobile App

Lufthansa introduced an innovative loyalty program through its Uptrip mobile app, integrating Web3 and NFT (non-fungible token) technologies. This program, developed in partnership with Miles & More and based on the Polygon network, allows passengers to convert their boarding passes into digital collectible cards. These cards, in the form of unique NFTs, can be used to unlock a variety of rewards, such as free in-flight Wi-Fi, lounge access, and flight upgrades.

The program adds a playful dimension to the travel experience, encouraging passengers to engage more with Lufthansa's services while familiarizing them with Web3 technologies in a fun and interactive way. Additionally, starting in the last quarter of 2023, Lufthansa planned to launch a marketplace on Uptrip, allowing passengers to trade cards to complete their collections more quickly and access a broader range of rewards.

The initial program saw some success, with more than 20,000 users collecting nearly 200,000 trading cards during the test phase.

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2.3 - LVMH and the Creation of a Blockchain Consortium

LVMH, the leader in luxury, has adopted blockchain technology to ensure the authenticity and traceability of its products. Each item is linked to a digital certificate stored in a digital wallet, accessible via a QR code or a dedicated app. This technology allows customers to easily verify the authenticity of their purchases and track the complete history of the product, from manufacturing to purchase, thus strengthening consumer trust.

In 2024, LVMH registered over 20 million products on the Aura Consortium blockchain, a partnership with luxury brands like Prada and Cartier. This collaboration illustrates the growing importance of Web3 technologies in enhancing transparency and combating counterfeiting in the luxury industry.

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