The Impact of Gamification and Customer Engagement in Loyalty Programs on Repeat Purchase Behavior

This study examines the psychological impact of gamification in loyalty programs, with a particular focus on the role of customer engagement in influencing repeat purchase behavior. Data were collected from 203 respondents in Bangladesh, many of whom actively use loyalty programs such as bKash. The study investigated the effects of several gamification elements, including Points and Rewards System (PRS), Personalization (PE), Challenges and Competitions (C&C), and Social Interaction (SI) on repeat purchase behavior (RP), with special emphasis on the mediating role of customer engagement (CE). The results revealed that customer engagement had a positive and statistically significant effect on repeat purchase behavior. However, PRS, PE, C&C, and SI did not show significant direct effects on repeat purchase behavior. Furthermore, personalization and social interaction positively influenced repeat purchase behavior through customer engagement. The findings suggest that businesses in Bangladesh should place greater emphasis on enhancing customer engagement by integrating personalized and socially interactive features into their loyalty programs. The study also highlights the need for further research on cross-cultural differences and the evolving role of gamification across different industries and contexts.