Loyalty Management Market: By Delivery Type (Standalone Program and Managed Platform), By Organization Size (Large Enterprises and SMEs), By Deployment Mode (On-Premises and Cloud-Based), By End User (BFSI, Automotive, Aviation, Retail and Consumer Goods, Media and Entertainment, Hospitality and Others) and Geography  

Loyalty Management Market size was valued at 8.76 Million in 2022 and is estimated to reach 23.74 Million by 2029, at a CAGR of 15.3% from 2023 to 2029. Growing need for competitive differentiation, increasing penetration of smartphones in B2C loyalty programs, huge awareness regarding loyalty programs, increased focus on customer experience management, growing adoption of the multi-channel program, rapidly growing number of cardholders and increasing innovations in technology are some key factors fostering the market growth. However, factors such as lack of knowledge about loyalty program benefits and failure to develop successful loyalty programs are hampering the market growth. A loyalty program fails because of a lack of awareness. Customer participation can be challenging for loyalty programs because most customers don't know where they stand within a program. According to recent studies, only 30% of shoppers know exactly how many points and rewards they earned in a loyalty program. Comparatively, 18% don't know how much they've earned at all. This is a serious problem for brands that offer or participate in a loyalty program. More than 50% of users say that without having access to their program information most of their rewards will go unused or expire because they are not even aware they have a reward. This loss can create several problems including less purchasing motivation, sif a customer doesn't know about something they have, they are going to be less motivated to buy with a brand or company. The global loyalty management market is surging owing to frequent acquisitions and launches by the market players.

Loyalty Management Market Key Developments

• For Instance, in February 2019, IBM (US) partnered with BUCKiTDREAM to improve the personalized brand engagement experiences of BUCKiTDREAM's customers.