Gamification is a relatively new concept still not discussed extensively in academic studies and research. It has been defined as the use of gaming elements and mechanics in non-gaming environments. While having multiple uses in commercial, military and medical sectors, gamification is using techniques similar to those in games to motivate and engage actions and behaviors. This paper takes a deeper look at techniques suitable for education and e-learning, and comes out with a model that describes the design of educational gamification. The application of gamification in e-learning has been done by following the framework proposed in this paper. This framework combines gamification processes and ordinary e-learning processes in one model called “Gamified e-learning design model” (GED). The ultimate goal of this paper is to expound and demonstrate through empirical means that applying the (GED) model when building e-learning platform can improve the students’ participation, performance, and motivation, and thus it promotes learning. The result of the experiment is the demonstration that gamification can promote, engage and enhance learning. It has been proved by gathering data using questionnaires and by examining selected group of students that have experienced the gamified system used in testing. Although most of the results were positive, there is still a need for further research and testing for gamification use in learning applications. There is also a need for testing in bigger environment, involving larger amount of participants.