Loyalty Management Market to Reach USD $24.05 Billion by 2029 at 17.5% CAGR

The Business Research Company’s Loyalty Management Global Market Report 2025 - Market Size, Trends, And Global Forecast 2025-2034

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What Is The Estimated Industry Size Of Loyalty Management Market?
The size of the loyalty management market has expanded substantially in recent years. Growth is expected from $10.94 billion in 2024 to $12.62 billion in 2025, with a compound annual growth rate (CAGR) of 15.3%. Factors that contributed to growth in the historic period include an emphasis on customer retention, the implementation of card-based loyalty initiatives, competitive differentiation, data-driven insights, expansion of e-commerce, the enhancement of customer experience, and the globalization of markets.

The anticipated expansion in the loyalty management market is set to be swift in the forthcoming years, with the market value projected to reach $24.05 billion by 2029. This marks an impressive compound annual growth rate (CAGR) of 17.5%. This substantial growth during the forecast years can be connected to elements like sustainability and ethical procedures, real-time involvement, incorporation of gamification, vocal and dialogue-based interfaces along with environmental and social accountability. Key trends predicted to prevail during this forecast period encompass personalisation boosted by AI, application of blockchain in loyalty schemes, adaptation of subscription-based models, integration of digital wallets, collaboration across different industries, and voice-combined conversational interfaces.

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What Are The Major Factors Driving The Loyalty Management Global Market Growth?
An increasing count of cardholders and use of reward points are propelling the expansion of the loyalty management market. Companies employ customer loyalty cards as a strategy to promote client recurrence and repeat transactions. Such loyalty cards also yield valuable data about customer purchasing behavior, enabling businesses to derive custom-tailored incentives. For example, Clarus Commerce's 2022 Customer Loyalty Data Survey of 1,276 U.S. consumers found that 61% of respondents switched from their regular brand to another brand that offered superior incentives, after experiencing improved incentives. Hence, a surge in the quantity of cardholders and reward points usage is fueling the ascent of the loyalty management market.

Who Are The Leading Companies In The Loyalty Management Market?
Major players in the Loyalty Management include:

• Kobie Marketing Inc.
• International Business Machines Corporation
• Oracle Corporation
• SAP SE
• Salesforce.com Inc.
• Fidelity National Information Services Inc.
• ICF International Inc.
• TIBCO Software Inc.
• Maritz Holdings Inc.
• Comarch SA

What Are The Prominent Trends In The Loyalty Management Market?
Businesses in the loyalty management market, such as major corporations, are adopting strategic alliances to introduce loyalty schemes, aiming to bolster customer retention, strengthen brand loyalty, and promote customised customer experiences. These loyalty schemes are becoming an increasingly popular trend in the corporate world, particularly in the health and wellness sector, as a means to enhance customer engagement and retention through personalised rewards. An example of this occurred in April 2022, when Universal Drugstore Ltd, a Canadian firm, collaborated with Comarch SA, a company based in Poland. They unveiled Wellness Rewards, a loyalty scheme in which customers accumulate points by performing various activities, including making purchases, attending health-centric events, and interacting with the brand on social media. These incentives foster consistent engagement and involvement, allowing companies to collect crucial information on customer behaviours and preferences. This data can then be utilized to fine-tune marketing approaches and improve service provisions.

What Are The Primary Segments Covered In The Global Loyalty Management Market Report?
The loyalty management market covered in this report is segmented –

1) By Component: Software, Services
2) By Deployment: Cloud, On-Premises
3) By Organization Type: Small & Medium-Sized Enterprises, Large Enterprises
4) By End Use: BFSI, IT, Telecommunication, Transportation, Retail, Hospitality, Media And Entertainment, Other End-Users

Subsegments:
1) By Software: Loyalty Program Management Software, Customer Engagement Software, Analytics and Reporting Software, Mobile Loyalty Applications, Point of Sale (POS) Integration Software, Campaign Management Software
2) By Services: Consulting Services, Implementation Services, Support and Maintenance Services, Training and Education Services, Data Management Services, Marketing and Promotion Services

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Which Region Is Forecasted To Grow The Fastest In The Loyalty Management Industry?
In 2024, North America led in the loyalty management market. It is projected that the fastest-growing region will be Asia-Pacific in the future. The report on the loyalty management market surveyed regions such as Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.

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