How to Use Gamification In Loyalty Programs to Increase Customer Loyalty?

On December 11, 2020


In a world full of competition to win people’s interest and turn them into permanent customers, brands started thinking outside the box. Creativity and innovation in marketing methods became necessary to exceed competitors. Here comes the role of loyalty programs that help increasing customer retention and keep them loyal to your brand. However, sometimes a customer may get bored with your loyalty program, for a number of reasons including difficulty getting points or rewards. Psst! there’s a solution to this problem … The use of gamification in loyalty programs. But wait! What is gamification? How do you use it to increase the loyalty of your customers?

What does gamification mean?

Gamification is based on the introduction of game elements to things that are free of them. Some of these elements including points, achievements, or rankings. The term may somehow be new, but the same principle has existed since ancient times. For example, grades and rankings in schools are a kind of gamification because it includes points, achievements, and competition for the rankings. This principle ensures that participants increase their interaction and excitement to participate in things that they may consider boring if this principle is not used in them. It is currently used in several fields, including education, health, and e-marketing.

What are the benefits of gamification?

Without going into the details of the human mind and how it loves to compete for profits and quick achievements. It can be said that introducing the principle of gaming to simple and boring jobs such as regular ads and simple loyalty programs brings many benefits, including:

1. Increase customer engagement:

Let’s be honest for a while. The non-interactive ads are getting old and a bit boring and the Click-Through Rate is constantly decreasing. What should we do then? By applying the principle of gamification in loyalty programs or ads and making them interactive, the percentage of customer engagement with them will actually increase, as it has been observed that 60% of customers said that the percentage of their purchase of a brand will increase if they enjoy playing a game with it. Therefore, introducing the principle of the game to your ads or your loyalty programs will motivate customers to compete and score points, which increases their interaction with your brand.

2. Helps you targeting Millennials and Gen Z:

The current generation is not like the previous ones. They grew up using technology, electronic devices, and games. However, let’s not forget that this generation also suffers from a severe lack of attention, so traditional methods of advertising will not be successful for it. Therefore, you should design ads or interactive loyalty programs that include mini-games to help attract and maintain their interest for more time because this will inevitably increase the likelihood of converting them into customers for your brand.

Gamification targets millennials the most consumer generation

3. Increase your brand awareness:

Brands are always racing to appear and increase customer awareness. Everyone is trying to reach existing customers and new customers and retain them in any way without appearing needy. Using gamification in your strategies makes your customers interact with your brand in an entertaining way. In addition, it increases your brand awareness and target other groups and introduces them to your brand. The most famous example of this method was when Tesla used PUBG MOBILE to advertise one of its cars. This made players compete to interact with that product and increase their awareness of the product and the brand.

How do you use gamification in loyalty programs?

Loyalty programs may themselves be using Gamification as they are based on points, achievements, and rewards. But it can be developed and used in loyalty program gamification in better ways that make customers interact with it better.

1. Make it fun:

Of course, the main goal of using this method is to introduce entertainment and suspense into the process of collecting points; that might be boring in the normal way. Have your customers play a game of lucky wheel to get more points and keep them in your loyalty programs.

Use of gamification in loyalty programs

2. Use other methods to collect points:

Try to break the routine and create other ways to score points. For example, create a VIP plan where customers can get double the number of points. Or, for example, reward them with points or draw their name in a lottery for every post on social media.

3. Don’t forget the ranking:

Of course, there is a desire in all of us to compete with others and to beat them. Use this desire as an advantage in your loyalty program. Set a ranking for the customers that collect the points and put specific rewards for the first places. This method will help you increase the interaction and success of your loyalty programs.

4. Put valuable rewards:

After the tiredness of competing and collecting points for your loyalty program. Always make sure to reward your customers with valuable rewards that are worth the wait. Of course, you are free to choose the reward but don’t forget to always make it special for the customer. Make them feel that valued by you to increase your value in them.

Conclusion:

In conclusion, we can say that the gamification in loyalty programs helps you increase the customers’ engagement with it. In addition, introducing the principle of the game helps you target young age groups and increase their awareness of your brand. Always make sure to make your loyalty programs enjoyable for your customers. There is nothing better than Boonus for loyalty programs. According to customer testimonials, we provide you with distinct and various loyalty programs that you can use to increase the loyalty of your customers.

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