ZoomAway recently announced that it would be using Ethereum blockchain based solution in order to efficiently utilize technology in order to grow its business. Also, Ethereum development tools would be used by the company in order to gain advantages of the blockchain technology. ZoomAway is a technology company which provides a platform to travel and leisure destinations such as hotels, ski resorts and golf courses.
One of the main functions of the Ethereum blockchain which would be used by the company would be smart contracts. This would ensure that company is able to provide online services and products to its customers quite easily.
According to the chief executive of ZoomAway, Sean Schaeffer, the changes in the hospitality industry make it almost necessary to use the blockchain technology in order to stay ahead of the competition. Only when that is done, it would be easier for them to provide new and innovative products to their customers as well.
Moreover, the company aims to cut down the middlemen and provide services directly to its customers which would provide a cost benefit to the customers. Also, the company aims to add value to its products as well as offerings to the customers by reducing the cost and cutting down on the commissions of the middlemen as well.
The shares of the company’s surged over 58% recently on the Toronto stock exchange. While the response from the stock markets has been very encouraging it remains to be seen what cost efficiencies, the company is able to derive by shifting over to Ethereum based blockchain from the traditional servers which are now used by the company.
Indeed, with the help of blockchain technology, they would be able to provide more instantaneous as well as affordable solutions to their customers but it remains to be seen what response of the customers is as well. Also, many companies in the hospitality industry are currently switching over to blockchain technology in order to drive efficiencies and therefore the competition among that segment is also pretty fierce as companies are trying to go after the same set of customers by providing them with cost efficiencies. It remains to be seen whether the company is able to gain a significant market share just by switching over to the blockchain technology which would help them provide more affordable products to their customers.
For the time being, however, it seems to be the right step by the companies as they would be migrating to a technology which is less costly and therefore, they would be able to improve their margins over time.