Rewardify

The specific problem Rewardify is solving is the lack of effective customer loyalty programs for businesses in Tanzania and broader sub-Saharan Africa. 

In Tanzania, over3 million small and medium-sized enterprises (SMEs) make up 35% of the country's GDP, yet many struggle to build lasting customer relationships. According to a 2022 survey, only 18% of Tanzanian SMEs have a formal customer loyalty program in place. This is a significant challenge, as customer retention is crucial for business growth - studies show that a 5% increase in customer retention can lead to a 25-95% increase in profits.

The lack of customer loyalty programs is particularly pronounced in the informal sector, which comprises 70% of Tanzania's economy and 90% of new jobs. These businesses, often lacking access to financial services and digital tools, have limited means to incentivize repeat business and track customer behavior.

Globally, the customer loyalty market is projected to reach $8.2 billion by 2025, but sub-Saharan Africa remains underserved. This represents a significant opportunity, as the region is home to over 1.1 billion people, many of whom are increasingly connected to the digital economy.

By addressing the gap in effective customer loyalty solutions, Rewardify can help Tanzanian businesses, especially SMEs and informal sector enterprises, build stronger customer relationships, increase revenue, and contribute to the country's broader economic growth and development.

Rewardify's solution is a blockchain-powered customer loyalty platform that enables businesses in Tanzania to build stronger relationships with their customers through a secure, transparent, and rewarding system.

At the core of Rewardify's platform is a proprietary RWF token, an Ethereum-based cryptocurrency. Businesses can integrate this token into their existing operations, allowing customers to earn RWF rewards for their purchases and engagements. The blockchain technology underpinning the platform ensures that all transactions are recorded immutably, providing both businesses and customers with a tamper-proof record of their interactions.

Through the Rewardify mobile app, customers can easily track their earned RWF rewards, view available redemption options, and make purchases from participating businesses. The app also allows customers to transfer their RWF rewards to friends and family, fostering a sense of community and further enhancing the loyalty experience.

For businesses, Rewardify offers a suite of features to help them better understand customer behavior, track marketing effectiveness, and offer personalized incentives. The platform's data analytics dashboard provides valuable insights that enable businesses to make more informed decisions and tailor their loyalty strategies accordingly.

By leveraging blockchain technology, Rewardify eliminates the challenges associated with traditional loyalty programs, such as lack of trust, complex redemption processes, and data privacy concerns. This innovative approach positions Rewardify as a transformative solution that can drive customer engagement, increase revenue, and contribute to the growth of Tanzania's vibrant entrepreneurial ecosystem.

Rewardify's solution primarily serves small and medium-sized enterprises (SMEs) and informal businesses in Tanzania, as well as their customers.

SMEs in Tanzania make up 35% of the country's GDP, yet many struggle to build lasting customer relationships due to the lack of effective loyalty programs. According to a 2022 survey, only 18% of Tanzanian SMEs have a formal customer loyalty program in place. This represents a significant challenge, as customer retention is crucial for business growth, with studies showing that a 5% increase in customer retention can lead to a 25-95% increase in profits.

The informal sector, which comprises 70% of Tanzania's economy and 90% of new jobs, is particularly underserved. These businesses, often lacking access to financial services and digital tools, have limited means to incentivize repeat business and track customer behavior.

Rewardify's blockchain-powered loyalty platform directly addresses the needs of these underserved businesses by providing them with a secure, transparent, and rewarding system to build customer loyalty. By integrating Rewardify's RWF token, businesses can offer their customers the ability to earn and redeem rewards, fostering deeper engagement and repeat patronage.

Rewardify's solution benefits the customers of these businesses. By empowering them to earn and manage their rewards through a user-friendly mobile app, Rewardify enhances the overall shopping experience and creates a sense of loyalty and community.

Rewardify's team is well-positioned to deliver this solution, drawing on a diverse set of expertise and deep connections within the Tanzanian business community.

The team is led by Jesca Chaula, the CEO, who has over 10 years of experience in the Tanzanian fintech sector, having previously worked with several microfinance institutions to improve digital financial services access for underserved communities.

Joining Jesca on the core team are:

• Hanna Mwakipesile, the Chief Operating Officer, who has a background in small business development and has worked closely with informal sector enterprises in Dar es Salaam to address their operational challenges.
• Barakael Mnyaka, the Chief Technology Officer, a blockchain expert with a track record of developing innovative financial technology solutions for the Tanzanian market.
• Neema Mtui, the Head of Community Engagement, who has extensive experience working with local business associations and community groups to understand their needs and preferences.

This team composition ensures that Rewardify's solution is designed and implemented with a deep understanding of the Tanzanian business landscape and the needs of its target communities. The team's proximity to these communities, combined with their technical expertise, allows them to develop a tailored solution that is truly responsive to the challenges faced by SMEs and informal businesses in Tanzania.

Throughout the design and implementation process, Rewardify has actively sought input and feedback from local business owners, community leaders, and potential end-users to ensure the solution aligns with their goals and priorities. This collaborative approach is central to Rewardify's mission of empowering Tanzanian businesses and driving sustainable economic growth.

Based on the information provided, Rewardify is currently at the Pilot stage. The solution has been launched and is being used by at least 15 companies in Tanzania.

Rewardify has successfully built and tested its blockchain-powered customer loyalty platform, integrating the RWF token and rolling out the mobile app for both businesses and customers. Through a targeted outreach and onboarding effort, the team has secured partnerships with 15 small and medium-sized enterprises (SMEs) in various sectors, including retail, hospitality, and services.

These 15 companies have integrated the Rewardify platform into their operations, enabling their customers to earn and redeem RWF rewards. Early feedback from both businesses and customers has been positive, with users reporting increased engagement, improved customer retention, and a more transparent and convenient loyalty experience.

While still in the iterative pilot phase, Rewardify has already demonstrated the viability and impact of its solution. The team is actively gathering data, monitoring user behavior, and incorporating feedback to refine the platform's design and business model. This hands-on approach ensures that Rewardify's solution continues to meet the evolving needs of its target market in Tanzania.

The successful launch of the pilot program and the initial traction with 15 partner companies position Rewardify well to transition to the next stage of growth, where it can scale its operations, expand its customer base, and further solidify its position as a leading provider of blockchain-based customer loyalty solutions in Tanzania.

Rewardify is applying to the Solve challenge to access the comprehensive support and resources that will help us overcome key barriers to scaling our solution in Tanzania.

As a growing startup, we face several challenges that we believe Solve can help us address:

Financial Barriers: While we have secured seed funding, additional financial resources and investment opportunities will be crucial to further develop our platform, expand our customer base, and strengthen our marketing efforts. The Solve Solver Award and potential for follow-on funding from partners like the GSR Foundation and Morgridge Family Foundation would provide a significant boost to our growth.

Technical Expertise: As we continue to enhance our blockchain-powered loyalty platform, we would greatly benefit from technical guidance and mentorship from Solve's network of experts. This would help us optimize our technology, improve the user experience, and ensure the long-term security and scalability of our solution.

Market Access: Penetrating the Tanzanian market and reaching small and medium-sized enterprises, especially in the informal sector, remains a challenge. Solve's extensive partnerships and connections within the local business community could open doors for Rewardify, enabling us to more effectively engage and onboard new customers.

Cultural Insights: Understanding the nuances of Tanzanian culture and customer preferences is crucial for the successful adoption of our solution. Leverage Solve's global community and expertise would help us tailor our approach and address any cultural barriers to implementation.

By becoming a Solve Solver, Rewardify would gain access to a holistic suite of support that would empower us to scale our impact and truly transform the customer loyalty landscape in Tanzania.

Rewardify's solution is innovative in several key ways:

1. Blockchain-powered Loyalty Platform:
At the heart of Rewardify's offering is the use of blockchain technology to power its customer loyalty program. By leveraging the transparency, security, and immutability of blockchain, Rewardify addresses the trust and data privacy concerns that often plague traditional loyalty schemes. This innovation enables businesses and customers to engage with the platform with confidence, knowing that all transactions and reward records are tamper-proof.

2. Cryptocurrency-based Rewards:
Rewardify's proprietary RWF token, an Ethereum-based cryptocurrency, serves as the loyalty rewards currency. This cryptocurrency-based approach offers several advantages over traditional points or voucher systems. RWF rewards can be easily transferred, traded, or even used for purchases, creating a more flexible and empowering experience for customers. Furthermore, the use of a blockchain-backed token helps to eliminate the challenges of reward expiration, centralized control, and lack of liquidity that often plague legacy loyalty programs.

3. Inclusive Ecosystem Approach:
Rewardify's solution is designed to be inclusive, catering to both formal and informal businesses in Tanzania. By providing a user-friendly platform that can be easily integrated into existing operations, Rewardify democratizes access to effective customer loyalty tools, especially for small and medium-sized enterprises and informal sector businesses that have traditionally been underserved.

This innovative approach has the potential to catalyze broader positive impacts by inspiring other players in the loyalty and fintech space to explore blockchain-based solutions. As more businesses and customers adopt Rewardify's platform, it could establish a new standard for customer engagement and loyalty in the Tanzanian market, ultimately driving increased transparency, trust, and economic empowerment throughout the ecosystem.

Rewardify's theory of change is based on the premise that by providing small and medium-sized enterprises (SMEs) in Tanzania with an innovative, blockchain-powered customer loyalty platform, we can drive meaningful improvements in customer engagement, business growth, and economic empowerment.

Here is how Rewardify's solution is expected to have an impact:

Activities:

• Integrating Rewardify's RWF token-based loyalty program into the operations of Tanzanian SMEs and informal businesses
• Developing a user-friendly mobile app that enables customers to earn, manage, and redeem their RWF rewards

Outputs:

• Increased adoption of Rewardify's platform by Tanzanian businesses, leading to a growing network of participating companies and customers
• Improved customer engagement and retention rates for Rewardify's partner businesses, as customers are incentivized to make repeat purchases and engage with the platform

Outcomes:

• Increased revenue and profitability for Rewardify's partner businesses, as improved customer loyalty translates into higher sales and customer lifetime value
• Enhanced financial inclusion and economic empowerment for both businesses and their customers, as the RWF rewards can be easily transferred, traded, or used for purchases
• Strengthened entrepreneurial ecosystem in Tanzania, as more businesses gain access to effective customer loyalty tools and are able to grow and thrive

The links between these activities, outputs, and outcomes are supported by existing research on the impact of customer loyalty programs, particularly in emerging markets, as well as data from Rewardify's own pilot program, which has demonstrated the viability and early traction of the solution.

By addressing the gap in effective customer loyalty solutions for Tanzanian SMEs and the informal sector, Rewardify aims to catalyze broader economic growth and development in the country.

Rewardify's key impact goals for its customer loyalty solution in Tanzania are:

1. Increase revenue and profitability for 10,000 Tanzanian small and medium-sized enterprises (SMEs) and informal businesses by 2025.
2. Facilitate over 1 million RWF reward transactions, contributing to greater financial inclusion and economic empowerment for 100,000 Tanzanian customers by 2025.
3. Drive a 20% increase in customer retention rates for Rewardify's partner businesses, contributing to sustainable economic growth.

To measure progress towards these goals, Rewardify is tracking the following key performance indicators:

1. Number of Tanzanian businesses (both SMEs and informal enterprises) that have integrated Rewardify's platform
2. Total revenue and profitability of Rewardify's partner businesses, compared to a control group
3. Number of RWF reward transactions facilitated through the platform
4. Number of unique customers earning and redeeming RWF rewards
5. Customer retention rates for Rewardify's partner businesses, compared to a control group

These indicators align with several UN Sustainable Development Goals, including SDG 8 (Decent Work and Economic Growth) and SDG 10 (Reduced Inequalities). Rewardify is also exploring the feasibility of tracking additional metrics related to women's economic empowerment and job creation, to further contribute to the achievement of these global goals.

By closely monitoring these key performance indicators, Rewardify can continuously evaluate the impact of its solution, identify areas for improvement, and make data-driven decisions to ensure the platform continues to drive meaningful change for Tanzanian businesses and their customers.

At the core of Rewardify's solution is the application of blockchain technology to power its customer loyalty platform.

Rewardify's proprietary RWF token is an Ethereum-based cryptocurrency that serves as the loyalty rewards currency. The use of blockchain technology provides several key benefits:

1. Transparency and Immutability:
All transactions and reward records on the Rewardify platform are recorded on the blockchain, ensuring complete transparency and an immutable audit trail. This eliminates the risk of data tampering or fraud, which is a common challenge with traditional centralized loyalty programs.

2. Decentralized and Secure:
The decentralized nature of the blockchain network ensures that the Rewardify platform is not reliant on a single point of failure or control. This enhances the overall security and resilience of the system, giving both businesses and customers peace of mind.

3. Flexible and Empowering:
The RWF token can be easily transferred, traded, or used for purchases, providing customers with greater control and flexibility over their rewards. This is a significant improvement over traditional loyalty points or vouchers, which are often subject to expiration and limited redemption options.

4. Scalability and Interoperability:
The Ethereum blockchain's robust infrastructure and thriving ecosystem allow Rewardify's platform to scale efficiently and potentially integrate with other blockchain-based applications in the future, further expanding the utility and reach of the RWF token.

By leveraging blockchain technology, Rewardify is able to address the key challenges associated with legacy loyalty programs, such as lack of trust, complex redemption processes, and data privacy concerns. This innovative approach positions Rewardify as a transformative solution that can drive sustainable customer engagement and economic empowerment in Tanzania and beyond.

Rewardify's solution team consists of the following:

• Jesca Chaula, CEO
• Hanna Mwakipesile, Chief Operating Officer
• Barakael Mnyaka, Chief Technology Officer
• Neema Mtui, Head of Community Engagement

• Rehema Kiwia, Marketing Consultant
• Abdi Hamisi, Financial Analyst
• Fatma Komba, User Experience Designer

In total, Rewardify's solution team comprises 4 full-time members and 3 part-time contributors, each bringing a unique set of skills and expertise to support the development and implementation of the customer loyalty platform.

Rewardify has been working on its blockchain-powered customer loyalty solution for the past 13 months. The team, led by CEO Jesca Chaula, has developed the platform, launched a successful pilot program with 15 partner businesses, and gathered insights to refine the solution. This period has enabled Rewardify to build a viable product and prepare for the next phase of growth and expansion.

Rewardify is committed to building a diverse, equitable, and inclusive team that reflects the communities it serves in Tanzania.

Diversity: Our leadership team is composed of individuals from diverse backgrounds, including gender, ethnicity, and educational/professional experiences. Jesca Chaula, our CEO, is a woman with a background in fintech, while Barakael Mnyaka, our CTO, is a tech expert from a rural community. This diversity of perspectives and lived experiences helps us better understand the unique needs of our target market and develop more impactful solutions.

Equity: To ensure equal access to opportunities within our organization, we have implemented fair and transparent hiring and promotion practices. This includes providing clear job descriptions, conducting structured interviews, and evaluating candidates based on their skills and merit, rather than relying on subjective criteria or personal connections.

We also offer competitive compensation and benefits packages, as well as professional development support, to retain and empower our team members, regardless of their background or circumstances.

Inclusion: Rewardify fosters a welcoming and inclusive work environment where all team members feel valued and able to contribute. We encourage open communication, actively solicit feedback, and provide platforms for diverse voices to be heard. Regular team-building activities and inclusive social events help strengthen interpersonal connections and a sense of belonging.

We strive to be culturally sensitive and adaptable, recognizing that team members may have unique needs or perspectives based on their personal experiences and identities.

By prioritizing diversity, equity, and inclusion, Rewardify aims to create a high-performing, collaborative, and purpose-driven team that is well-equipped to drive positive change in the communities we serve.

Rewardify's business model is centered on providing a comprehensive blockchain-powered customer loyalty platform to small and medium-sized enterprises (SMEs) and informal businesses in Tanzania.

Key Customers and Beneficiaries:
Our primary customers are Tanzanian SMEs and informal sector businesses, which make up a significant portion of the country's economy. These businesses often lack access to effective customer engagement tools, hindering their growth and profitability. By onboarding these businesses onto the Rewardify platform, we also aim to empower their customers, who can earn, manage, and redeem RWF rewards through our mobile app.

Products and Services:

Rewardify offers a suite of services, including:

1. Blockchain-based loyalty platform: Businesses can integrate the RWF token-based loyalty program into their operations, enabling them to reward and engage their customers.
2. Mobile app: Customers can download the Rewardify app to earn, manage, and redeem their RWF rewards.
3. Business analytics and customer insights: Rewardify provides partner businesses with data-driven insights to optimize their customer engagement strategies.

Rewardify generates revenue through a combination of subscription fees and transaction-based commissions. Businesses pay a monthly subscription fee of $50 to access the loyalty platform and receive premium features, while Rewardify earns a 2% commission on each RWF reward transaction facilitated through the platform.

To date, Rewardify has generated $13,000 in revenue, with $10,000 coming from the subscription fees of our initial 15 partner businesses, and $3,000 from the transaction commissions.

This business model allows Rewardify to achieve financial sustainability while delivering significant value to both businesses and their customers through improved customer engagement, loyalty, and economic empowerment.

Rewardify's plan for achieving financial sustainability is centered on a multi-pronged revenue model that combines subscription fees, transaction-based commissions, and strategic partnerships.

Subscription Fees:
Rewardify charges partner businesses a monthly subscription fee of $50 to access the loyalty platform and receive premium features, such as advanced analytics and customer engagement tools. This recurring revenue stream provides a stable foundation for the business.

Transaction Commissions:
In addition to the subscription fees, Rewardify earns a 2% commission on each RWF reward transaction facilitated through the platform. As more businesses and customers join the Rewardify ecosystem, the volume of transactions is expected to grow, generating increased revenue.

Strategic Partnerships:
Rewardify is actively exploring strategic partnerships with financial institutions, mobile network operators, and other ecosystem players in Tanzania. These partnerships could unlock additional revenue streams, such as revenue-sharing agreements, white-label solutions, or co-marketing initiatives.

Evidence of Success:
To date, Rewardify has successfully onboarded 15 partner businesses, generating $10,000 in subscription revenue and $3,000 in transaction commissions. This early traction has validated the viability of the business model and the demand for Rewardify's solution in the Tanzanian market.

Furthermore, Rewardify has secured $31,000 in grant funding from the Tanzanian government's entrepreneurship development program and the Mastercard Foundation's financial inclusion initiative. These grants have enabled the team to refine the product, expand the partner network, and prepare for the next phase of growth.

By combining recurring revenue streams, transaction-based commissions, and strategic partnerships, Rewardify is well-positioned to achieve long-term financial sustainability and continue delivering its innovative customer loyalty solution to businesses and customers in Tanzania.