Report Scope & Overview:
The Loyalty Management Market size was valued at USD 9.31 billion in 2022 and is expected to grow to USD 31.59 billion by 2030 and grow at a CAGR of 16.5% over the forecast period of 2023-2030.
The loyalty management market encompasses activities that are successful and well-planned for choosing, managing, responding to, and regulating client purchasing behavior. This strategy is utilized to keep a consumer by rewarding regular purchases. Such devoted clients share their experiences with advocacy-driven, cloud-based, and mobile-delivered programs with their known connections. This allows for brand marketing and the organization to reach a new audience. It is beneficial to collect more data and insights in order to construct a more detailed client profile. Because of its influence on brand value and the efficacy of loyalty management programs to retain and attract new consumers, loyalty management has become an essential aspect of vendor strategy.
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Market Dynamics
Drivers
The growing need for personalized rewards and experiences is a driving factor.
One of the key concerns of the loyalty management business is the growing need for personalized experiences and consumer rewards. As a result of this need, businesses are investing in loyalty management programs to separate themselves from the competition and retain customers. Furthermore, the rise of digital technologies such as mobile applications and social media makes it easier for firms to develop and maintain loyalty programs.
Restrains
Concerns about data security and a lack of skilled professionals
Opportunities
New developing Industries and Machine Learning and AI Adoption
There are several potentials for loyalty management systems to assist organizations of all sizes in improving customer retention and increasing client lifetime value. Aside from conventional businesses like retail and hotels, emergent industries like healthcare and transportation may profit from good loyalty management programs. Furthermore, the use of artificial intelligence and machine learning can allow organizations to better personalize loyalty programs and provide consumers with more relevant and targeted experiences.
Challenges
One of the major problems for the loyalty management sector is to keep loyalty programs relevant over time.
Impact Of covid-19
The COVID-19 pandemic had a positive impact on the industry in terms of software adoption. Almost all companies, including retail, hotels, transportation, and banking, were affected by nationwide lockdowns. End-user purchase habits altered dramatically throughout the epidemic.
According to a Ketchum poll, many American buyers modified their brand preferences during the crisis. According to the report, buyers have shifted to larger e-commerce competitors such as Amazon, Aldi, Walmart, and others for basic products. As a result, merchants began to use loyalty management systems.
The Impact of the Russia-Ukraine War
This market, which involves the use of loyalty programs to retain customers and increase sales, has been affected by the political and economic instability in the region.
the war has caused a decline in consumer confidence and spending in the affected regions. This has led to a decrease in the effectiveness of loyalty programs, as customers are less likely to participate in them or make purchases that would earn them rewards. As a result, companies in the loyalty management market have had to adjust their strategies to account for these changes in consumer behavior. Despite these challenges, there are also opportunities for growth in the loyalty management market in the aftermath of the conflict. As the region stabilizes and consumer confidence returns, companies that provide loyalty program services will be well-positioned to help businesses rebuild their customer base and increase sales. By adapting to changing market conditions and providing innovative solutions, these companies can continue to thrive in the face of adversity.
The Impact of Recession
As businesses struggle to stay afloat, many have had to cut back on their loyalty programs, resulting in a decline in customer engagement and retention.
However, some companies have recognized the importance of maintaining their loyalty programs during tough times. By offering incentives and rewards to their most loyal customers, they have been able to maintain customer loyalty and even attract new customers. Despite the challenges posed by the recession, the loyalty management market remains a crucial aspect of business strategy. As companies look to recover from the economic downturn, they will need to focus on building strong relationships with their customers. A well-designed loyalty program can help businesses achieve this goal by providing customers with a sense of value and appreciation.
Key Market Segmentation
The Loyalty Management Market is segmented into four types on the basis of by deployment, by Enterprise type, and by End-user.
By Deployment
On-premise
Cloud
By Offering
Solutions
Services
By Enterprise Type
Large Enterprises
Small & Medium Enterprises (SMEs)
By End Use
BFSI
IT and Telecommunications
Transportation
Retail
Hospitality
Manufacturing
Media & Entertainment
Others
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Regional Analysis
Because of the quick adoption of loyalty management software across the regional retail sector, North America has the greatest loyalty management market share. This is due to the fact that monetary incentives such as returns or refunds, free delivery, free products, and product discounts are preferred by North American buyers.
During the forecast period, Europe will have the second-largest market share. Several European countries have well-established loyalty programs. The area is more prone to customized loyalty programs. METRO and Capillary Technologies, for example, teamed in June 2022 to build a multi-country B2B loyalty program. Capillary's entry into the European market is aided by this collaboration with METRO.
Asia Pacific is expected to develop rapidly over the projected period, owing to the increased use of digital channels and a greater emphasis on customer experiences. To satisfy the current needs of clients, key firms in the region are offering personalized loyalty programs at reasonable prices. Companies employ platforms like WeChat, Alipay, WhatsApp, Paytm, and others to provide their loyalty programs.
REGIONAL COVERAGE:
North America
USA
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
The Netherlands
Rest of Europe
Asia-Pacific
Japan
South Korea
China
India
Australia
Rest of Asia-Pacific
The Middle East & Africa
Israel
UAE
South Africa
Rest of the Middle East & Africa
Latin America
Brazil
Argentina
Rest of Latin America
Recent development
Sabre Corporation joined with Capillary Technologies in March 2023 to assist airlines and hoteliers with Capillary's loyalty management services. Through this partnership, the organizations were able to get significant insights through real-time analytics.
Antavo collaborated with BMW (U.K.) Ltd on Inside Edge, a B2B loyalty program, in March 2022. The relationship enabled corporate drivers to get benefits that helped them save money, and time, and enjoy the journey.
Key Players:
The major players in the market are Brierley+Partners, Capillary Technologies, Gift Management, Apex Loyalty, Epsilon, Oracle, Preferred Patron, SailPlay, Bond Brand Loyalty, Merkle, Capillary, Punchh, Comarch, ICF Next, Maritz Motivation, Kobie, Cheetah Digital, ProKarma, Annex Cloud, Sumup, Kangaroo, LoyaltyLion, Smile.io, Ebbo, Jakala, Yotpo, Zinrelo, Loopy Loyalty, Paystone, SessionM, and others in final report.
Report Attributes | Details |
Market Size in 2022 | US$ 9.31 Bn |
Market Size by 2030 | US$ 31.59 Bn |
CAGR | CAGR of 16.5% From 2023 to 2030 |
Base Year | 2022 |
Forecast Period | 2023-2030 |
Historical Data | 2020-2021 |
Report Scope & Coverage | Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook |
Key Segments | • By Deployment (On-premise, Cloud) • By Offering (Solutions, Services) • By Enterprise Type (Large Enterprises, Small & Medium Enterprises (SMEs)) • By End Use (BFSI, IT and Telecommunications, Transportation, Retail, Hospitality, Manufacturing, Media & Entertainment, Others) |
Regional Analysis/Coverage | North America (USA, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Netherlands, Rest of Europe), Asia-Pacific (Japan, South Korea, China, India, Australia, Rest of Asia-Pacific), The Middle East & Africa (Israel, UAE, South Africa, Rest of Middle East & Africa), Latin America (Brazil, Argentina, Rest of Latin America) |
Company Profiles | Brierley+Partners, Capillary Technologies, Gift Management, Apex Loyalty, Epsilon, Oracle, Preferred Patron, SailPlay, Bond Brand Loyalty, Merkle, Capillary, Punchh, Comarch, ICF Next, Maritz Motivation, Kobie, Cheetah Digital, ProKarma, Annex Cloud, Sumup, Kangaroo, LoyaltyLion, Smile.io, Ebbo, Jakala, Yotpo, Zinrelo, Loopy Loyalty, Paystone, SessionM |
Key Drivers | • The growing need for personalized rewards and experiences is a driving factor. |
Market Opportunities | • New developing Industries and Machine Learning and AI Adoption |
Ans: The Loyalty Management Market is to grow at a CAGR of 16.5% over the forecast period 2023-2030.
Ans: The Loyalty Management Market size was valued at USD 8.98 billion in 2022.
Ans: The major players in the market are Brierley+Partners, Capillary Technologies, Gift Management, Apex Loyalty, Epsilon, Oracle, Preferred Patron, SailPlay, Bond Brand Loyalty, Merkle, Capillary, Punchh, Comarch, ICF Next, Maritz Motivation, Kobie, Cheetah Digital, ProKarma, Annex Cloud, Sumup, Kangaroo, LoyaltyLion, Smile.io, Ebbo, Jakala, Yotpo, Zinrelo, Loopy Loyalty, Paystone, SessionM, and others in final report.
Ans: • Concerns about data security and a lack of skilled professionals
Ans: The forecast period for the Loyalty Management Market is 2022-2030.
Table of Contents
1. Introduction
1.1 Market Definition
1.2 Scope
1.3 Research Assumptions
2. Research Methodology
3. Market Dynamics
3.1 Drivers
3.2 Restraints
3.3 Opportunities
3.4 Challenges
4. Impact Analysis
4.1 COVID-19 Impact Analysis
4.2 Impact of Russia-Ukraine War
4.3 Impact of Ongoing Recession
4.3.1 Introduction
4.3.2 Impact on major economies
4.3.2.1 US
4.3.2.2 Canada
4.3.2.3 Germany
4.3.2.4 France
4.3.2.5 United Kingdom
4.3.2.6 China
4.3.2.7 japan
4.3.2.8 South Korea
4.3.2.9 Rest of the World
5. Value Chain Analysis
6. Porter’s 5 forces model
7. PEST Analysis
8. Loyalty Management Market Segmentation, By Deployment
8.1 On-premise
8.2 Cloud
9. Loyalty Management Market Segmentation, By Offerings
9.1 Solutions
9.2 Services
10. Loyalty Management Market Segmentation, By Organization Size
10.1 Large Enterprise
10.2 SME's
11. Loyalty Management Market Segmentation, By End Users
11.1 BFSI
11.2 IT and Telecommunications
11.3 Transportation
11.4 Retail
11.5 Hospitality
11.6 Manufacturing
11.7 Media & Entertainment
11.8 Others
12. Regional Analysis
12.1 Introduction
12.2 North America
12.2.1 North America Loyalty Management Market By Country
12.2.2 North America Loyalty Management Market By Deployment
12.2.3 North America Loyalty Management Market By Offerings
12.2.4 North America Loyalty Management Market By Organization Size
12.2.5 North America Loyalty Management Market By End Users
12.2.6 USA
12.2.6.1 USA Loyalty Management Market By Deployment
12.2.6.2 USA Loyalty Management Market By Offerings
12.2.6.3 USA Loyalty Management Market By Organization Size
12.2.6.4 USA Loyalty Management Market By End Users
12.2.7 Canada
12.2.7.1 Canada Loyalty Management Market By Deployment
12.2.7.2 Canada Loyalty Management Market By Offerings
12.2.7.3 Canada Loyalty Management Market By Organization Size
12.2.7.4 Canada Loyalty Management Market By End Users
12.2.8 Mexico
12.2.8.1 Mexico Loyalty Management Market By Deployment
12.2.8.2 Mexico Loyalty Management Market By Offerings
12.2.8.3 Mexico Loyalty Management Market By Organization Size
12.2.8.4 Mexico Loyalty Management Market By End Users
12.3 Europe
12.3.1 Europe Loyalty Management Market By Country
12.3.2 Europe Loyalty Management Market By Deployment
12.3.3 Europe Loyalty Management Market By Offerings
12.3.4 Europe Loyalty Management Market By Organization Size
12.3.5 Europe Loyalty Management Market By End Users
12.3.6 Germany
12.3.6.1 Germany Loyalty Management Market By Deployment
12.3.6.2 Germany Loyalty Management Market By Offerings
12.3.6.3 Germany Loyalty Management Market By Organization Size
12.3.6.4 Germany Loyalty Management Market By End Users
12.3.7 UK
12.3.7.1 UK Loyalty Management Market By Deployment
12.3.7.2 UK Loyalty Management Market By Offerings
12.3.7.3 UK Loyalty Management Market By Organization Size
12.3.7.4 UK Loyalty Management Market By End Users
12.3.8 France
12.3.8.1 France Loyalty Management Market By Deployment
12.3.8.2 France Loyalty Management Market By Offerings
12.3.8.3 France Loyalty Management Market By Organization Size
12.3.8.4 France Loyalty Management Market By End Users
12.3.9 Italy
12.3.9.1 Italy Loyalty Management Market By Deployment
12.3.9.2 Italy Loyalty Management Market By Offerings
12.3.9.3 Italy Loyalty Management Market By Organization Size
12.3.9.4 Italy Loyalty Management Market By End Users
12.3.10 Spain
12.3.10.1 Spain Loyalty Management Market By Deployment
12.3.10.2 Spain Loyalty Management Market By Offerings
12.3.10.3 Spain Loyalty Management Market By Organization Size
12.3.10.4 Spain Loyalty Management Market By End Users
12.3.11 The Netherlands
12.3.11.1 Netherlands Loyalty Management Market By Deployment
12.3.11.2 Netherlands Loyalty Management Market By Offerings
12.3.11.3 Netherlands Loyalty Management Market By Organization Size
12.3.11.4 Netherlands Loyalty Management Market By End Users
12.3.12 Rest of Europe
12.3.12.1 Rest of Europe Loyalty Management Market By Deployment
12.3.12.2 Rest of Europe Loyalty Management Market By Offerings
12.3.12.3 Rest of Europe Loyalty Management Market By Organization Size
12.3.12.4 Rest of Europe Loyalty Management Market By End Users
12.4 Asia-Pacific
12.4.1 Asia Pacific Loyalty Management Market By Country
12.4.2 Asia Pacific Loyalty Management Market By Deployment
12.4.3 Asia Pacific Loyalty Management Market By Offerings
12.4.4Asia Pacific Loyalty Management Market By Organization Size
12.4.5Asia Pacific Loyalty Management Market By End Users
12.4.6 Japan
12.4.6.1 Japan Loyalty Management Market By Deployment
12.4.6.2 Japan Loyalty Management Market By Offerings
12.4.6.3 Japan Loyalty Management Market By Organization Size
12.4.6.4 Japan Loyalty Management Market By End Users
12.4.7 South Korea
12.4.7.1 South Korea Loyalty Management Market By Deployment
12.4.7.2 South Korea Loyalty Management Market By Offerings
12.4.7.3 South Korea Loyalty Management Market By Organization Size
12.4.7.4 South Korea Loyalty Management Market By End Users
12.4.8 China
12.4.8.1 China Loyalty Management Market By Deployment
12.4.8.2 China Loyalty Management Market By Offerings
12.4.8.3 China Loyalty Management Market By Organization Size
12.4.8.4 China Loyalty Management Market By End Users
12.4.9 India
12.4.9.1 India Loyalty Management Market By Deployment
12.4.9.2 India Loyalty Management Market By Offerings
12.4.9.3 India Loyalty Management Market By Organization Size
12.4.9.4 India Loyalty Management Market By End Users
12.4.11 Australia
12.4.10.1 Australia Loyalty Management Market By Deployment
12.4.10.2 Australia Loyalty Management Market By Offerings
12.4.10.3 Australia Loyalty Management Market By Organization Size
12.4.10.4 Australia Loyalty Management Market By End Users
12.4.11 Rest of Asia-Pacific
12.4.11.1 APAC Loyalty Management Market By Deployment
12.4.11.2 APAC Loyalty Management Market By Offerings
12.4.11.3 APAC Loyalty Management Market By Organization Size
12.4.11.4 APAC Loyalty Management Market By End Users
12.5 The Middle East & Africa
12.5.1 The Middle East & Africa Loyalty Management Market By Country
12.5.2 The Middle East & Africa Loyalty Management Market By Deployment
12.5.3 The Middle East & Africa Loyalty Management Market By Offerings
12.5.4The Middle East & Africa Loyalty Management Market By Organization Size
12.5.5 The Middle East & Africa Loyalty Management Market By End Users
12.5.6 Israel
12.5.6.1 Israel Loyalty Management Market By Deployment
12.5.6.2 Israel Loyalty Management Market By Offerings
12.5.6.3 Israel Loyalty Management Market By Organization Size
12.5.6.4 Israel Loyalty Management Market By End Users
12.5.7 UAE
12.5.7.1 UAE Loyalty Management Market By Deployment
12.5.7.2 UAE Loyalty Management Market By Offerings
12.5.7.3 UAE Loyalty Management Market By Organization Size
12.5.7.4 UAE Loyalty Management Market By End Users
12.5.8South Africa
12.5.8.1 South Africa Loyalty Management Market By Deployment
12.5.8.2 South Africa Loyalty Management Market By Offerings
12.5.8.3 South Africa Loyalty Management Market By Organization Size
12.5.8.4 South Africa Loyalty Management Market By End Users
12.5.9 Rest of Middle East & Africa
12.5.9.1 Rest of Middle East & Asia Loyalty Management Market By Deployment
12.5.9.2 Rest of Middle East & Asia Loyalty Management Market By Offerings
12.5.9.3 Rest of Middle East & Asia Loyalty Management Market By Organization Size
12.5.9.4 Rest of Middle East & Asia Loyalty Management Market By End Users
12.6 Latin America
12.6.1 Latin America Loyalty Management Market By Country
12.6.2 Latin America Loyalty Management Market By Deployment
12.6.3 Latin America Loyalty Management Market By Offerings
12.6.4 Latin America Loyalty Management Market By Organization Size
12.6.5 Latin America Loyalty Management Market By End Users
12.6.6 Brazil
12.6.6.1 Brazil Loyalty Management Market By Deployment
12.6.6.2 Brazil Africa Loyalty Management Market By Offerings
12.6.6.3 Brazil Loyalty Management Market By Organization Size
12.6.6.4 Brazil Loyalty Management Market By End Users
12.6.7 Argentina
12.6.7.1 Argentina Loyalty Management Market By Deployment
12.6.7.2 Argentina Loyalty Management Market By Offerings
12.6.7.3 Argentina Loyalty Management Market By Organization Size
12.6.7.4 Argentina Loyalty Management Market By End Users
12.6.8 Rest of Latin America
12.6.8.1 Rest of Latin America Loyalty Management Market By Deployment
12.6.8.2 Rest of Latin America Loyalty Management Market By Offerings
12.6.8.3 Rest of Latin America Loyalty Management Market By Organization Size
12.6.8.4Rest of Latin America Loyalty Management Market By End Users
13. Company Profile
13.1 Brierley+Partners.
13.1.1 Market Overview
13.1.2 Financials
13.1.3 Product/Services/Offerings
13.1.4 SWOT Analysis
13.1.5 The SNS View
13.2 Capillary Technologies.
13.2.1 Market Overview
13.2.2 Financials
13.2.3 Product/Services/Offerings
13.2.4 SWOT Analysis
13.2.5 The SNS View
13.3 Gift Management.
13.3.1 Market Overview
13.3.2 Financials
13.3.3 Product/Services/Offerings
13.3.4 SWOT Analysis
13.3.5 The SNS View
13.4 Apex Loyalty.
13.4.1 Market Overview
13.4.2 Financials
13.4.3 Product/Services/Offerings
13.4.4 SWOT Analysis
13.4.5 The SNS View
13.5 Epsilon.
13.5.1 Market Overview
13.5.2 Financials
13.5.3 Product/Services/Offerings
13.5.4 SWOT Analysis
13.5.5 The SNS View
13.6 Oracle.
13.6.1 Market Overview
13.6.2 Financials
13.6.3 Product/Services/Offerings
13.6.4 SWOT Analysis
13.6.5 The SNS View
13.7 Preferred Patron.
13.7.1 Market Overview
13.7.2 Financials
13.7.3 Product/Services/Offerings
13.7.4 SWOT Analysis
13.7.5 The SNS View
13.8 Bond Brand Loyalty.
13.8.1 Market Overview
13.8.2 Financials
13.8.3 Product/Services/Offerings
13.8.4 SWOT Analysis
13.8.5 The SNS View
13.9 Comarch.
13.9.1 Market Overview
13.9.2 Financials
13.9.3 Product/Services/Offerings
13.9.4 SWOT Analysis
13.9.5 The SNS View
13.10 Cheetah Digital.
13.10.1 Market Overview
13.10.2 Financials
13.10.3 Product/Services/Offerings
13.10.4 SWOT Analysis
13.10.5 The SNS View
14. Competitive Landscape
14.1 Competitive Benchmarking
14.2 Market Share Analysis
14.3 Recent Developments
15. USE Cases and Best Practices
16. Conclusion
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