Having fun while receiving rewards?: Exploration of gamification in loyalty programs for consumer loyalty

Abstract

This study investigates whether and how gamification in loyalty programs (i.e., gamified loyalty programs) impacts consumer loyalty toward loyalty programs and behavioral intentions, along with the role of the type of rewards (self-oriented vs. altruistic rewards). The data were collected from U.S. consumers responding to LPs offered in the mobile environment. The results confirmed that gamified loyalty programs (vs. conventional ones) increased consumer loyalty toward loyalty programs which in turn enhanced consumers' participation intention and app download intention. Playfulness and attitude toward the program served as mediating mechanisms underlying the impact of gamification. The indirect relationships were stronger under conditions of self-oriented rewards. Also, reward types moderated the indirect pathway of playfulness, but not attitude. These findings support the essential role of gamification in customer relationship management, an understanding which offers important practical implications for how firms might implement gamified loyalty programs to promote consumer responses.