What technology is set to grow to $ 2.3 Billion by 2021?: Blockchain. The blockchain is a revolutionary technology that has impacted industries across the world. From financial services to real estate, Blockchain has made a significant impact through various processes. However, Blockchain isn’t just limited to large enterprises. Smaller firms can benefit from the power of Blockchain as well.
The misconception is wide-spread, but more companies are realizing that Blockchain can impact small businesses as well. Regardless of scale and operations size, Blockchain can positively impact the way your business is run. From smarter contracts to better online development, Blockchain has a wide range of opportunities for your business to explore.
Data from Harvard Business Research indicates that businesses that adopt disruptive technologies tend to be more competitive in the marketplace. Regardless of scale, these companies tend to be preferred over others. Blockchain, AI and Machine Learning are all innovative technologies that need to be further explored by small businesses.
For a top blockchain development company, India is a large market for development outsourcing in terms of the global scenario. The demand is rising steadily around the world, with an increased focus on innovation and skills-based competition.
The wide scope of solutions
There are various systems and areas where Blockchain can contribute to small businesses. In the payment’s domain, Blockchain can allow various alternative forms of payment for smaller businesses. This opens up a new avenue for growth for many businesses that require growth. Blockchain consulting services companies, like Signity Solutions, ensure that your small business has the right team to work with when it comes to this technology.
Even when it comes to app development, blockchain can make your app perform better by efficiently using core data. A top blockchain app development company can create systems and standards to ensure that your company’s app is running as lean as possible in the marketplace. From cloud management to effective KYC, blockchain can ensure that your app is running as smoothly as possible. The customer acquisition funnel remains coherent across various domains and systems.
The blockchain is also used in a variety of networking and IoT solutions. If your company deals with technology components, then blockchain is an effective way to network them together. Since no single server or line has all the data localized, this is a more effective way to connect distributed components.
Small businesses are also investing in loyalty programs that leverage the power of blockchain. Since the program doesn’t need identification stored in a single system, customer data can be securely retrieved. Many small businesses are working with blockchain development services to create their own loyalty apps and benefits programs. These could be cashback, points or gamified experiences on mobile devices.
Decreased cost of operations
One of the most significant impact areas that Blockchain works with is decreased costs. When execution is time-bound and there are many complexities, Blockchain helps to ease out the transition. From smart contracts to better accounting, Blockchain starts to introduce lower cost alternatives.
Additionally, with the rise in efficiency, there are decreased cost of operations. You can hire blockchain developer teams today and start seeing efficiencies within a few months of operations. Many app developers outsource their operations to blockchain development teams for this very reason.
There are also significant advantages to cutting out the middleman. This is because the blockchain doesn’t require an intermediary person or technology between two parties. This is especially helpful in the financial services and real estate domain and helps in reducing costs overall. This leads to better prices for customers, and more transparency in the system.
There are also direct advantages to being able to share information directly with other small businesses. Since all the information is secure and there are inherent efficiencies built-in, small businesses can start working in a linear manner.
There are also benefits in terms of the wide secondary market for blockchain apps. You can easily integrate them into your current systems, and they generally range from notary services to customer identification programs. Using blockchain apps can help your small business grow by leveraging cutting-edge technology.
For small businesses primarily dealing with logistics or supply chain complexities, e.g. eCommerce, retail, consumer brands, etc., blockchain has several benefits as well. The technology provides more visibility as products change hands, and more connectivity in terms of network. You can locate each point of transfer and track your package through a variety of blockchain tools.
Increased security across the network
Businesses become more secure when they employ blockchain technologies. This is because blockchain is an inherently distributed system, which means that no single point in the network has all the data. This also adds a layer of transparency to the transaction, giving customers more assurance about their data.
This is a value-add in the small business space, as customers can start to trust them more. By providing more transparency with regards to data handling, storage, and verification, small businesses can acquire customers faster.
Banks that are competing with larger financial institutes can acquire customers in a more streamlined fashion. From KYC formalities to verifying customers better, blockchain can make the experience secure and personalized. Fraud detection is also simplified as customers generally submit information in a standardized format. This enables quicker checking and detecting fraud at a rapid rate.
Encryption is at the heart of blockchain as every transaction is made secure and protected. In today’s era of increased data hacks and breaches, blockchain emerges as a premier viable solution. Companies that can’t afford a large-scale scandal opt for blockchain as a savvy alternative. Not only is the technology cost-effective, but its benefits also range on a wide scale.
From accounting to marketing, blockchain can positively impact your small business. Hiring the right team is key, as the ultimate decision rests on how effective they can be with their solutions. That’s why many companies opt for lean teams that have a wide range of prior experience in the domain. Hiring the right outsourcing team is one of the best ways to start your small business blockchain journey.
Why Blockchain Matters to Small Businesses was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.