Shipment Tracking on The Blockchain — An Easier Life for Merchants
It is the goal of every business to make processes more simple, efficient, and thus profitable. E-commerce merchants are no different in that regard.
It’s in the customer’s interest, too: Nowadays, people are used to shopping online. With just a few klicks you can buy almost anything and have it delivered right to your doorstep. Wouldn’t it be great if the shipping process could be as simple and quick as placing the order itself?
While this might be the case for goods that are readily available and stored close by. But what if they have to travel long distances or even be shipped from a country on the other side of the globe? Shipping can then take forever and customers usually only have a faint idea where their items are at any given moment.
So isn’t there a way to make any delivery faster and more transparent? There is — and it’s called blockchain.
Saving Time
In a previous article, we examined how blockchain technology opens up the possibility of super quick payments. This alone would speed up the delivery right in the very first steps of the customer-merchant contact. As soon as the transaction is confirmed, the order is ready to enter the shipping process.
Shipping companies from all over the world can take advantage of the blockchain as well: Usually, you have a array of parties involved in every shipment; e.g. authorities, ports, ship owners, banks, airlines and so on. Now imagine if all processes could be handled paperless. This is what blockchain technology makes feasible. It is a paperless, unforgeable and open-for-all database that allows for a secure exchange of payments, makes it easy to record physical transactions or to give and accept instructions within moments.
All this combined can save a massive amount of time during shipping processes, allowing for lower prices, higher profits and happier customers.
Offering Transparency
Whether it’s a simple parcel being shipped within the same country or a bigger order from another continent: Blockchain technology allows for complete transparency of when a certain item passed a certain station and when it will reach the customer. As soon as the merchant starts the shipping process, this can be recorded on the blockchain. Imagine it like a digital supply chain ecosystem where every participant, including the customer, can be up to date about every step of the shipment.
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Obviously, there already are tracking technologies available today, but they are not as accurate and often seem to cause more confusion than clarity. This is exactly where shipment tracking on the blockchain can really stand out and make a difference.
As GAMB is planning a marketplace based on blockchain technology, we will be well-prepared to unlock the potential in improving shipping and shipment tracking.
Identify Problems
There is an additional benefit to a completely transparent shipping process — and it should convince every merchant to become a fan of using blockchain technology for the shipping process: Issues with any shipment can be identified and resolved more quickly.
The sender can be informed within moments if anything went wrong and can act accordingly. On first glance, this may sounds unspectacular, but in practice there often are obstacles in the way, like complex shipping agreements, that may prohibit swift action. With blockchain technology, a problematic shipment can, even while in transit, be identified and replaced immediately. This will save a lot of time and make for happier customers.
The Future Speaks Blockchain
With GAMB, we want to bring the advantages of blockchain technology into e-commerce.
To us, blockchain-based and self-governed marketplaces signify the future, where technological advancements will be available to every merchant. We believe shipping to be one of the clearest use-cases, as it can save merchants time, money and hassle with customers and service providers.
Who we are
GAMB — The Global Alliance for Merchants on the Blockchain has made it its goal to deliver a sustainable alternative to the powers currently dominating global e-commerce. We are building the leading decentralized marketplace. By enabling merchants to actively participate in every important decision, we empower them to be more than just customers of a platform.
Author
Lennard Kläfker is Head of Online Marketing at Gambio and has made the future of e-commerce his passion. He is fascinated by the opportunities available to online merchants today — and even more by what lies ahead. Whenever he finds the time to write about it, we will publish it here.
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