Singapore Airlines’ loyalty scheme will launch the “world’s first blockchain-based loyalty digital wallet”.
KrisFlyer, Singapore Airlines’ and the SIA Group’s frequent-flyer scheme, is to launch a “world-first blockchain-based airline loyalty digital wallet capability” that will help users unleash miles when spending at the program’s retail partners.
Simply put, blockchain – the latest technology buzzword – is a virtual ‘record book’ used to make transactions on the internet and store them across hundreds or even millions of computers instead of in a single databank. This secures the transactions, as hackers would have to hack each one of the computers instead of just the one single source.
The new KrisFlyer digital wallet app uses this innovative technology and is expected to be rolled out in about six months, SIA Group says.
It will allow the loyalty scheme’s extensive membership base to use ‘digital KrisFlyer miles’ for point-of-sale transactions at participating retail merchants.
This follows a successful proof-of-concept exercise carried out in collaboration with KPMG Digital Village and Microsoft. KrisFlyer will now be signing up retail merchant partners, initially in the Singapore market.
SIA Group calls this the first-of-its-kind lifestyle digital wallet app for an airline loyalty programme to be enabled through blockchain technology, using an SIA-owned private blockchain involving only merchants and partners.
“Innovation has been a key contributor to the success of Singapore Airlines since Day 1 and we are very excited about this world-first initiative, which will bring even more benefits to members of our KrisFlyer programme,” says Singapore Airlines CEO Goh Choon Phong.
“This groundbreaking development in which we will be using blockchain technology to ‘digitalise’ KrisFlyer miles is a demonstration of the investment we are making to significantly enhance the digital side of our business for the benefit of our customers. It is in line with our recently unveiled Digital Innovation Blueprint, under which we aim to be the world’s leading digital airline.”