Designing a Gamification Model Based on Customer Engagement Indicators to Increase Loyalty and Revenue in Small and Medium-Sized Online Businesses
This study aimed to design and empirically test a gamification model based on customer engagement indicators to enhance customer loyalty and improve business performance in small and medium-sized online businesses. A mixed-methods research design was employed, combining qualitative and quantitative approaches. In the qualitative phase, semi-structured interviews were conducted with 12 experts in digital marketing, user experience design, and online business management to identify key gamification components and mechanisms. Data were analyzed using thematic analysis with open, axial, and selective coding. In the quantitative phase, a researcher-developed questionnaire, informed by the qualitative findings and theoretical literature, was distributed to 384 active customers of Iranian online businesses who interacted with gamified elements through e-commerce platforms. Convenience sampling was used, and data were analyzed using SmartPLS 3.2 for confirmatory factor analysis, structural equation modeling (SEM), and model fit assessment. Inferential analysis showed that gamification had a significant positive effect on customer engagement (β = 0.72, t = 12.58, p < 0.001) and that customer engagement significantly influenced customer loyalty (β = 0.69, t = 11.76, p < 0.001). Gamification also had a direct positive effect on loyalty (β = 0.34, t = 6.32, p < 0.001), with a substantial total effect (β = 0.83, t = 15.89, p < 0.001). R² values indicated that gamification explained 52% of the variance in engagement and, with engagement, 61% of the variance in loyalty. The Q² value (0.440) demonstrated strong predictive relevance, and model fit indices (SRMR = 0.068; GoF = 0.470) confirmed good model adequacy. Gamification is an effective strategy for increasing customer engagement and loyalty in small and medium-sized online businesses, with engagement serving as a partial mediator in the gamification–loyalty relationship. These findings support the integration of gamification into SME digital marketing strategies to strengthen customer relationships and enhance performance outcomes.
- Research Article
6
- 10.21272/mmi.2022.4-05
- Jan 1, 2022
- Marketing and Management of Innovations
This study aims to test the impact of digital marketing strategy as an antecedent on customer outcomes (customer satisfaction, customer engagement, and customer loyalty) and the impact of these three outcomes on organizational outcomes. Twenty-five items are used to measure research variables. These items are developed referring to previous related works: digital marketing strategy, customer satisfaction, customer engagement, customer loyalty, and organizational outcomes. According to the research budget and time constraints, a convenience sampling method was implemented in the data collection process. This study applied structural equation modeling (SEM) to test the research hypotheses through AMOS software.The authors conducted a questionnaire to collect data from a sample of marketing practitioners selected from 10 organizations with a total number of 200 respondents. The total number of returned questionnaires is 187 responses. Eleven questionnaires are excluded due to invalid responses. Thus, 176 questionnaires are used to carry out data analysis. The results underline the significant effects of customer satisfaction, engagement, and loyalty on organizational outcomes. The authors noted that customer satisfaction is the most affected outcome by digital marketing strategy, followed by customer engagement and customer loyalty. Additionally, customer loyalty has the greatest effect on organizational outcomes, followed by customer satisfaction and customer loyalty. The findings showed that enhancing organizational outcomes requires marketing managers consider customer outcomes such as customer satisfaction, customer engagement, and customer loyalty, which are affected by marketing strategies. Marketing managers are requested to pay great attention to their marketing strategy, considering its effects on customer satisfaction and other customer outcomes, like customer engagement and loyalty. Likewise, scholars are required to re-test the current model to identify the mediating role of the outcomes mentioned above in the effect of marketing strategy on organizational outcomes.
- Research Article
- 10.53894/ijirss.v8i3.6900
- May 9, 2025
- International Journal of Innovative Research and Scientific Studies
In the rapidly evolving landscape of Indonesian e-commerce, this research explores the intricate dynamics between customer personalization and its impact on customer loyalty. Positioned within a burgeoning market projected to exceed USD 95 billion by 2025, the study addresses the competitive challenges faced by e-commerce enterprises in retaining customers. Leveraging personalized content and interactions, the research delves into the mediating roles of customer engagement and customer satisfaction in shaping customer loyalty. Employing a quantitative approach, the research collected data through an online survey from individuals who made multiple purchases on Indonesian e-commerce platforms. The study's structural equation modeling analysis confirmed the hypotheses, indicating a significant positive influence of customer personalization on customer engagement and satisfaction, which, in turn, positively and significantly affects customer loyalty. The findings underscore the strategic importance of customer personalization in enhancing customer engagement and satisfaction and ultimately fostering customer loyalty in the Indonesian e-commerce context. The research contributes valuable insights for businesses aiming to utilize personalization initiatives. The recommendations emphasize the need for e-commerce brands to prioritize customer personalization strategies in their marketing efforts, providing personalized content and tailored initiatives to strengthen customer loyalty. Future research is encouraged to explore additional variables, such as customer trust, to further illuminate the determinants of customer loyalty in the context of Indonesian e-commerce.
- Research Article
- 10.47772/ijriss.2025.910000328
- Nov 11, 2025
- International Journal of Research and Innovation in Social Science
The competitiveness and sustainability of small and medium-sized enterprises (SMEs) in Nigeria increasingly depend on their ability to leverage digital technologies for effective customer engagement. This study investigates the role of social media marketing (SMM) in fostering customer engagement (CE) and enhancing outcomes such as satisfaction, loyalty, and advocacy among SMEs in South-East Nigeria. Adopting a quantitative survey design, data were collected from SME operators and customers across the five states in the region to identify key drivers of digital interaction and relationship building. Analytical techniques, including regression and structural equation modeling (SEM), were employed to evaluate the effects of interactive content, influencer partnerships, and responsiveness on CE and customer outcomes. Findings reveal that interactive social media content recorded the highest mean score (4.72), indicating its strong influence on customer satisfaction and loyalty, while responsiveness (4.56) emerged as a significant determinant of customer advocacy. Influencer partnerships (4.21) showed a moderate impact on customer trust and engagement, suggesting that consistent interaction and authenticity play greater roles than celebrity endorsement. The correlation and path analyses confirmed that SMM positively and significantly affects CE, which in turn mediates customer loyalty and advocacy. The study recommends that SMEs invest in creating interactive and personalized digital content, establish responsive feedback systems, and foster online communities that promote long-term engagement. By adopting dynamic and customer-centered social media strategies, SMEs can enhance relationship quality, strengthen digital competitiveness, and sustain performance in Nigeria’s evolving business landscape. These findings provide valuable insights for practitioners, digital marketers, and policymakers committed to supporting SME growth in the digital era.
- Research Article
- 10.21512/bbr.v14i3.9760
- Oct 17, 2023
- Binus Business Review
Experiential marketing and store atmosphere are two key factors that can greatly influence customer loyalty through customer satisfaction as a mediating factor. These factors can impact a customer’s perception of a brand and their likelihood of returning to make additional purchases. The research explored the relationship between experiential marketing, store atmosphere, customer satisfaction, and customer loyalty, as well as the strategies that businesses could use to enhance these factors and improve customer loyalty. The research focused on Micro, Small and Medium Enterprises (MSMEs) in West Java, Indonesia, which owned physical stores. The research applied causal quantitative methodology. Through a thorough analysis of existing research and empirical research of 384 respondents using Structural Equation Model Partial Least Square (SEM-PLS) methodology, the research provided valuable insights for MSMEs looking to increase customer loyalty and build a loyal customer base. The results show various contributions analyzing how customer loyalty is affected by experiential marketing and store atmosphere. It also implies how customer satisfaction mediates the relationships between those antecedents and customer loyalty. Providing recommendations and implications shows that the research can be a useful contribution to marketing and entrepreneurship topics. The research offers practical recommendations and implications for businesses, emphasizing the importance of implementing effective experiential marketing strategies and creating a welcoming store atmosphere to foster customer satisfaction and loyalty. By understanding the impact of these factors on customer loyalty, MSMEs can develop targeted strategies to improve customer experiences and build long-term customer relationships.
- Research Article
- 10.25170/wpm.v13i2.3191
- Nov 18, 2021
- Prosiding Working Papers Series In Management
The aim of the research was to explore the influence of customer satisfaction and customer engagement on customer loyalty. The sample in this study was 738 airport bus customers from 4 cities (Jakarta, Bandung, Pontianak, and Mataram), The statistical method to test the hypothesis in this study is Partial Least Squares – Structural Equation Modeling (PLS-SEM) by using the application SmartPLS Version 3.3.3. This study results that customer satisfaction has a direct positive effect on customer loyalty, customer engagement has a direct positive effect on customer loyalty, customer satisfaction has a direct positive effect on customer engagement, and customer engagement mediates the effect of satisfaction on customer loyalty. The mediating variable of customer engagement is partial mediation
- Research Article
1
- 10.1108/jstp-08-2024-0258
- Jun 3, 2025
- Journal of Service Theory and Practice
Purpose This study aims to examine the influence of human-agent service (HAS) and artificial intelligence-agent service (AIAS) on customer learning (CLR), customer immersive experience (CIE) and customer loyalty (CLY) within online service interactions. Additionally, the study investigates the moderating role of perceived interactivity (PI) and the mediating effect of CIE in translating CLR into loyalty. Design/methodology/approach Study 1 employed a cross-sectional online survey conducted among 421 Indian online consumers using a non-probability sampling method. Participants who had prior interactions with both human and artificial intelligence (AI) service agents were included, and partial least squares structural equation modeling using SmartPLS 4.0 was applied for hypothesis testing. Study 2 utilized a controlled experimental design (N = 221) to examine the causal effect of AI service interactivity (low- vs high-interactivity conditions) on customer outcomes. The experiment was conducted using a between-subject design, and the results were analyzed using Hayes' PROCESS macro for mediation and moderation testing. Findings Study 1 results reveal that HAS and AIAS significantly impact CLR, which subsequently enhances CIE, leading to improved CLY. AIAS facilitates learning through automation and efficiency, whereas HAS fosters learning through personalization and empathy. The study confirms that CIE mediates the relationship between CLR and CLY, reinforcing the role of immersive engagement in building CLY. Additionally, PI moderates the relationships between HAS, AIAS and CLR, indicating that higher interactivity enhances CLR. Study 2 further demonstrates that increasing AI service interactivity positively influences CLR and CIE but does not have a direct impact on loyalty. Instead, learning and immersive experiences mediate the effect of AI interactivity on CLY intentions, emphasizing the importance of engagement and cognitive processing in AI-driven interactions. Practical implications Service providers should integrate human and AI-powered interactions strategically to enhance CLR and foster loyalty. Human agents should emphasize emotional engagement, while AI services should focus on interactivity and personalization. Businesses should adopt hybrid service models that maximize customer satisfaction, engagement and long-term loyalty in digital service environments. Originality/value This study bridges the gap between human-agent and AI-agent service research by integrating service-dominant logic. It highlights the distinct yet complementary roles of AI and human agents in driving CLR and CIE, with PI playing a crucial moderating role. The findings contribute new insights into AI-human collaboration in digital service environments, offering empirical validation of AI interactivity effects on customer engagement and loyalty formation.
- Research Article
- 10.35134/jbe.v10i2.304
- Mar 14, 2025
- UPI YPTK Journal of Business and Economics
The study aims to discover the influence of CRM-based information systems and service quality on MSMEs' customer loyalty in Padang City. The unit of analysis is Micro, Small, and Medium Enterprises (MSMEs) in Padang City. The study utilised primary data obtained through the questionnaire. Sampling technique by using quota sampling. 120 questionnaires from MSMEs were returned as a final sample. Data were analysed using multiple regression analysis performed by SPSS software. The result shows that CRM-based information systems significantly influenced customer loyalty in Padang City. Service quality significantly influenced customer loyalty in Padang City. The findings of this study have several important implications; MSMEs should invest in and adopt digital CRM solutions to improve customer interactions, data management, and personalised services, ultimately leading to increased customer retention. MSMEs should improve their service standards continuously. Enhancing responsiveness, reliability, and customer engagement can help build stronger customer relationships and trust.
- Research Article
- 10.55885/jmap.v5i2.654
- Jul 21, 2025
- Journal of Management and Administration Provision
This study aims to examine and analyze the effects of customer engagement and relationship marketing orientation on customer loyalty in GoFood services, particularly within the local context of Padang, Indonesia, with trust as a mediating variable. This quantitative research collected data from 225 GoFood users in Padang using a structured questionnaire. The analysis was conducted using Partial Least Squares Structural Equation Modeling (PLS-SEM) software. Both customer engagement and relationship marketing orientation were modeled as second-order constructs using the repeated indicators approach. The results indicate that customer engagement does not significantly influence trust and customer loyalty, although both relationships are weakly positive. In contrast, relationship marketing orientation significantly and positively affects both trust and customer loyalty. Trust itself has a significant positive impact on customer loyalty. Mediation analysis revealed that trust does not mediate the relationship between customer engagement and customer loyalty, but successfully mediates the relationship between relationship marketing orientation and customer loyalty. These findings suggest that in the context of GoFood services in Padang, relationship-focused marketing strategies are more effective in fostering customer trust and loyalty than engagement effort alone. Strengthening trust remains essential for sustaining long-term loyalty in digital food delivery platforms.
- Research Article
- 10.58777/rbm.v3i2.479
- Aug 26, 2025
- Research of Business and Management
This study investigates the impact of customer relationship marketing and customer engagement on customer loyalty, with customer satisfaction serving as a mediating variable. The sample consisted of 97 service user companies, represented by company administrators working in the field. Hypothesis testing was carried out to examine both the direct and indirect effects, utilizing the mediation function of customer satisfaction. The findings reveal that customer relationship marketing has a direct, positive, and significant influence on customer satisfaction. Additionally, customer relationship marketing directly and positively affects customer loyalty, and customer engagement also has a direct, positive, and significant effect on customer loyalty. However, the results indicate that customer satisfaction does not have a direct, positive, and significant impact on customer loyalty. Furthermore, customer relationship marketing and customer engagement do not influence customer loyalty through the mediation of customer satisfaction. This study adds originality to the existing literature by concentrating on the port logistics service industry, specifically PT. IPC Terminal Petikemas Jakarta has been relatively underexplored in research about customer relationship marketing and engagement. For managerial implications, PT. IPC Terminal Petikemas Jakarta should focus on continually enhancing its customer relationship marketing strategies and actively fostering customer engagement to improve customer loyalty.
- Research Article
- 10.20473/jmtt.v17i3.60265
- Dec 20, 2024
- Jurnal Manajemen Teori dan Terapan| Journal of Theory and Applied Management
Objective: This study will thoroughly explore the effects of the quality of integration, perceived fluidity, and the reliability of assurances on cognitive and emotional engagement and customer loyalty within the banking sector. The investigation will be conducted in an omnichannel context using the stimulus-organism-response (SOR) framework. Design/Methods/Approach: This research utilized an online survey distributed via personal messages to collect data from bank customers who actively use omnichannel banking services. Employing a non-probabilistic purposive sampling technique, the study ensured respondents met specific criteria, resulting in 275 valid responses, which were analyzed using Smart PLS-SEM 4.0 to verify the proposed hypotheses. Findings: This study found that the quality of integration and perceived fluidity significantly affect cognitive and emotional customer engagement. Interestingly, the reliability of assurances impacts only cognitive engagement rather than emotional engagement. These two forms of engagement, cognitive and emotional, substantially enhance brand loyalty in the omnichannel banking context. Originality/Value: This study contributes significantly to the existing literature by providing a holistic perspective on customer engagement in the banking sector during the omnichannel era. Unlike previous studies, this research integrates three key dimensions within omnichannel banking: the quality of integration, perceived fluidity, and the reliability of assurances. Using the SOR framework, it explores their impact on cognitive and emotional engagement and customer loyalty. The findings not only deepen the understanding of effective service channel management to enhance customer engagement and loyalty but also offer practical guidance for the banking industry in designing more effective omnichannel strategies. Practical/Policy implications: This study's findings provide valuable insights for banks in the omnichannel banking sector. The research indicates that banks must optimize integration quality across service channels to enhance customer engagement and loyalty. Banks should adopt technologies that enable real-time data synchronization and train staff to ensure service consistency across all channels. Additionally, banks should develop effective loyalty programs to maintain cognitive and emotional customer engagement and actively collect feedback to improve customer experience continuously.
- Research Article
135
- 10.1108/ijoem-07-2021-1164
- Jan 25, 2022
- International Journal of Emerging Markets
PurposeThe purpose of the paper is to evaluate the essential role of corporate social responsibility (CSR) on SMEs' performance by exploring the mediating role of corporate image (CI), corporate reputation (CR) and customer loyalty (CL) between CSR and firm performance (FP) in the context of an emerging country.Design/methodology/approachBased on an extended literature review on CSR, CI, CR and CL studies, the authors evaluate the impact of these four constructs on SMEs' performance in an emerging market. The paper follows a quantitative approach. The study sample was composed of 482 responses covering top executives, managers and experts. The Smart PLS SEM version 3.3.2 was used to analyse the data of the small- and medium-sized enterprises (SMEs) of Vietnam in the year 2020–2021.FindingsThe authors' findings reveal significant and positive relationships amongst CSR, FP, CSR and CI, CSR and CR, CSR and CL, and most importantly, the findings add value to the current knowledge by exploring the mediating effect of CI, CR and CL between CSR and FP.Research limitations/implicationsThe study was conducted in Vietnam. As a result, the findings of the study might not be applicable for other countries, if the economic and environmental settings are different from that of Vietnam. Therefore, future research should consider for other countries, other regions. Second, due to the purpose and priority of the study, CI, CR, and CL was employed as mediators amongst the relationship between CSR and FP. Thus, future research should consider other mediators or moderators in such a relationship to see how CSR generates outcomes in the new associations.Practical implicationsThe study regarding the role of CSR in enhancing the performance of SMEs can motivate firm's chief executive officers (CEOs) to be proactive in getting involved and practising CSR in a consistent manner. Second, the above discussion draws a very important implication for the executive level, the management level of the enterprise, which enterprises should balance the interests of business, customers, other stakeholders, the environment and society in order to optimise CSR outcomes for improving competitiveness and developing sustainably. This implication is particularly important to the survival and development of SMEs in a challenging emerging economy.Social implicationsThe study widens the literature regarding relationship between CSR and SMEs' performance. Besides, the study supports stakeholder theory that explains why CSR positively affects firm's performance. The significant mediating roles of CI, CR and CL were positively confirmed in the study. Although previous studies determined that such roles are strategic source of competitive advantages of enterprises, however, how CSR involved in enhancing the roles has not been deeply explored and integrated. Third, the findings of the study support the resource-based view (RBV) and resource-based perspective that explains why firm should engage in CSR activities, and CI, CR and CL can enhance firm's performance by providing strategic source of competitive advantages that facilitate business to improve its performance in sustainable direction.Originality/valueTo the best of the authors' knowledge, the current literature on CSR and FP shows that, to date, there has been little empirical research on the mediating mechanism of CI, CR and CL in the link between CSR and FP for SMEs. The findings of the study may have great implications for entrepreneurs and top management with respect to the strategic perspectives to drive the businesses and to improve firm's performance in a sustainable direction in the context of emerging markets. In addition, the finding might be of great interest to – and motivate – SMEs' managers to engage with CSR actions where such businesses were or are situated during and after the coronavirus disease-2019 (COVID-19) pandemic. By that understanding, the Government might allow for innovative and groundbreaking policies or the reformation of old policies to leverage businesses to promote their strengths towards sustainable development in the new economic settings. The findings of the study may be a significant contribution to SMEs in Vietnam and in other emerging economies.
- Research Article
31
- 10.1080/15332969.2019.1707375
- Jan 2, 2020
- Services Marketing Quarterly
This study aims to validate the dimensions of customer engagement and explore the effect of service fairness, customer trust and customer engagement on customer loyalty. The results imply that trust and customer engagement are found to have a direct effect on customer loyalty. In addition, trust was also found to mediate the effect of procedural justice on customer loyalty; and the effect of distributive justice on customer loyalty. It implies that, in order to enhance customer loyalty, business organizations should provide procedural and distributive justice for the customers, and also pay attention to the customer engagement and customer trust.
- Research Article
2
- 10.1016/j.jcom.2022.100166
- Jun 1, 2022
- Journal of Co-operative Organization and Management
Customer versus member engagement: Does mutuality matter?
- Research Article
29
- 10.1108/techs-03-2022-0016
- May 31, 2022
- Technological Sustainability
PurposeThis paper examined mediating effect of customer loyalty on the influence of customer orientation and technology orientation on the performance of small and medium-sized enterprises (SMEs).Design/methodology/approachThis study adopted and modified items from previous studies. Also, data were analyzed using structural equation modeling (SEM). Additionally, a PROCESS Macro mediation test was used.FindingsThe study's findings indicated that customer orientation and technology orientation positively and significantly affect customer loyalty. Moreover, the findings indicated that customer loyalty has a positive and significant effect on the performance of SMEs. Finally, customer loyalty was found to mediate the influence of customer orientation and technology orientation on the performance of SMEs.Practical implicationsThe study recommends on business performance improvement through enhancing customer and technology orientations and customer loyalty. So, SMEs should make sure their internal environment is conducive to accommodate customer and technology orientations, which will help them come up with effective ways to get loyal customers and improve their business.Originality/valueThe study adds value to the existing literature by introducing customer loyalty as an intervening variable between the effect of customer orientation and technology orientation on business performance of SMEs.
- Research Article
1
- 10.36713/epra21150
- Apr 21, 2025
- EPRA International Journal of Research & Development (IJRD)
The rise of mobile banking applications has transformed the landscape of banking services, driving customer engagement and loyalty through enhanced accessibility and personalized features. This study examines the impact of mobile banking apps on customer engagement and loyalty, focusing on key factors such as ease of use, perceived security, and service personalization. Using a quantitative research approach, data was collected from 500 mobile banking users across diverse demographics through a structured survey. Statistical analysis, including regression and correlation, was conducted to determine the relationship between app features and customer engagement, and further, its influence on customer loyalty. Findings reveal that ease of use and personalized service significantly enhance engagement, while perceived security positively impacts loyalty. Moreover, the study underscores the importance of continuous feature upgrades and seamless user experience to maintain customer interest and encourage long-term loyalty. This research offers valuable insights for banks aiming to refine their digital strategies, with implications for enhancing user satisfaction and retention. Keywords: Mobile Banking, Customer Engagement, Customer Loyalty, Ease of Use, Service Personalization, Perceived Security
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