9CV9 Research · 2026 Edition
Customer Loyalty Software:
The $17B Market Reshaping
Retention in 2026
100+ data points across market size, ROI, consumer behavior, AI adoption, and technology trends — drawn from Antavo, Deloitte, MarketsandMarkets, Mordor Intelligence, Grand View Research, and more.
$17.38B
2026 Global Market Size
Loyalty Management
Software Market
Software Market
14.60%
CAGR (2026–2034)
Fastest-growing
MarTech Segment
MarTech Segment
5.3×
Average ROI
Return on Loyalty
Program Investment
Program Investment
92.7%
Positive ROI Rate
Companies Reporting
Positive Returns
Positive Returns
Market Size & GrowthGlobal & Regional
$51.65B
Market Projected to Triple by 2034
The global loyalty management market grows from $17.38B in 2026 to $51.65B by 2034 — a 197% expansion driven by AI, omnichannel demand, and rising customer acquisition costs.
$15.25B
Grand View Research estimate of global loyalty mgmt market in 2026, growing to $31.11B by 2033
Source: Grand View Research, 2026
$16.44B
Mordor Intelligence pegs 2026 market at $16.44B, reaching $32.52B by 2031 at 14.62% CAGR
Source: Mordor Intelligence, Jan 2026
$3.62B
US loyalty management market alone estimated at $3.62 billion in 2026
Source: Fortune Business Insights, 2026
$25.99B
US consumer loyalty market projected at $25.99B in 2026, reaching $44.73B by 2030
Source: GlobeNewsWire / Research & Markets
$93.2B
The broader global loyalty market (all spending) expected to reach $93.2B by 2026 across all sectors
Source: GlobeNewsWire, 2026
17.8%
Loyalty market CAGR from 2021 to 2025; growth continues at 13.3% CAGR through 2030
Source: GlobeNewsWire, 2026
31.3%
Asia Pacific held 31.3% revenue share of loyalty mgmt market in 2025, fastest-growing region
Source: MarketsandMarkets, 2025
36.5%
North America held 36.5% of global loyalty mgmt revenue in 2025, led by retail and BFSI
Source: Grand View Research, 2025
58.2%
Software segment holds 58.2% of the loyalty management market by component in 2025
Source: Grand View Research, 2025
ROI & Revenue ImpactBusiness Performance
4.8×
Average ROI on Loyalty Programs
90% of loyalty program owners report positive ROI averaging 4.8x their investment. Top performers exceed 300% ROI benchmarks for SMBs.
+67%
Loyal Customer Spend Premium
Loyal customers spend 67% more than new customers in months 31–36 of their relationship, making retention worth far more over time.
93.1%
Companies achieving positive ROI from loyalty programs, proving their consistent business value
Source: Zoho Thrive / Industry Research, 2026
5.2×
Loyalty programs generate 5.2x more revenue than they cost, on average across industries
Source: Antavo / Visu Network, 2025
12–18%
More incremental revenue generated annually by loyalty members vs. non-members
Source: Queue-it, Antavo, 2026
15–25%
Annual revenue boost from customers in top-performing loyalty programs, via frequency or basket size
Source: Zoho Thrive, Queue-it, 2026
+319%
Increase in average order quantity a business receives after implementing a loyalty program
Source: Incentive Solutions
3.1×
Annual spend of loyalty members who redeem rewards vs. members who don't redeem at all
Source: Antavo GCLR 2025
65%
Of a company's revenue comes from repeat customers, underscoring the value of retention
Source: Ringly.io, 2026
2.5×
Faster revenue growth for loyalty leaders vs. industry peers, delivering 2–5× higher shareholder returns
Source: HBR / Zoho Thrive, 2026
51.5%
Average share of total marketing budget now allocated to loyalty and CRM initiatives
Source: Antavo, BusinessWire 2026
Consumer Behavior & EngagementMembership & Spending Patterns
Top Loyalty Investment Priorities in 2026
Source: Open Loyalty – Loyalty Program Trends 2026 Report
72%
Consumers who say a loyalty program makes them more likely to spend with their preferred brand
Source: Deloitte Consumer Loyalty Survey, 2025–2026
85%
Consumers who say loyalty programs make them more likely to continue shopping with a brand
Source: LoyaltyLion / Queue-it, 2026
84%
Customers more likely to engage with a company that offers a loyalty program
Source: Zoho Thrive / Industry Research, 2026
69.8%
Consumers join loyalty programs primarily to earn rewards, discounts, or cash back
Source: Antavo GCLR 2025
73%
Consumers modify the amount they spend specifically to maximize loyalty program benefits
Source: Queue-it, 2026
56%
Consumers who increase their overall spending because of a loyalty program they belong to
Source: Deloitte Consumer Loyalty Survey, 2025
59%
Consumers prefer to interact with loyalty programs via mobile apps as their primary channel
Source: Antavo GCLR 2025
65%
Consumers who rely on loyalty programs to save money during periods of economic pressure
Source: commercetools Consumer Survey, 2025
43.2%
Consumers who say they are more likely to join a loyalty program now than they were 12 months ago
Source: Antavo, BusinessWire 2026
AI, Technology & InnovationThe Future of Loyalty Software
55% of Gen Z and 53% of Millennials are more likely to join a loyalty program that uses AI-driven personalization
37.1% of loyalty program owners already use AI to manage their programs, with 44.9% citing enhanced team productivity
AI-driven personalization delivers up to 28% improvement in customer conversion rates vs. rule-based programs
67.4% of loyalty program owners feel comfortable using AI-powered agentic tools to manage loyalty decisions
Automation investment rose from 31.3% in 2025 to 44.4% in 2026 — a 13-point jump in one year
60% of Gen Z globally prefer brands with AI-driven chatbots and real-time rewards in loyalty programs
Predictive analytics expected to improve reward redemption efficiency by 35% by 2027 across sectors
McKinsey: Personalization can increase customer retention by up to 15% and cut acquisition costs by up to 50%
77.3% of companies with loyalty programs plan to revamp them by 2026, citing personalization as top priority
Cloud deployment dominates loyalty software: leading all deployment segments with the highest adoption share in 2025
Asia Pacific leads with 62% of enterprises deploying mobile-integrated loyalty solutions, leapfrogging card-based models
Only 16% of corporations have achieved true hyper-personalization, revealing a massive execution gap in 2026
44.5%
Program owners interested in using AI specifically for loyalty scope planning and strategy optimization
Source: Antavo GCLR 2025
$10B
In unspent US loyalty rewards left unclaimed annually — a massive optimization opportunity for AI-powered programs
Source: BusinessWire / Antavo, 2026
Gamification & EngagementBeyond Points
42.1%
Brands ranking gamification as a top-impact trend for next 2–3 years — up from 22.2% in 2021
Source: Open Loyalty Trends 2026
+30%
Higher customer engagement in gamified loyalty programs vs. static point-based programs (Deloitte 2025)
Source: Deloitte Retail Outlook 2025
+33%
Increase in average transaction value from a Spin-the-Wheel gamification campaign for a leading Capillary client
Source: Capillary Technologies Case Study
55.1%
Consumers more likely to share personal data if it is collected through games, quizzes, or interactive mechanics
Source: Antavo GCLR 2025
$82M
Sales generated by a footwear brand through interactive gamification (Spin the Wheel) in loyalty campaigns
Source: Capillary Technologies, EY Loyalty Report 2025
1,450%
Revenue uplift achieved through a gamification-powered loyalty program, per Capillary case study
Source: Capillary Technologies, 2025
Retention, Churn & Lifetime ValueThe Cost of Losing Customers
25–95%
Profit increase from just a 5% improvement in customer retention rate (Bain & Company)
Source: Bain & Company
32–33%
Consumers who will abandon a brand they love after just one bad experience — irreversible loyalty loss
Source: Emarsys, 2026
$29
Cost per new customer acquired today vs. $9 in 2013 — a 222% increase making retention far cheaper
Source: BusinessWire, DontPayFull 2026
27%
Probability that a customer returns after their first purchase; rises to 49% after a second purchase
Source: Wiserpopup, 2026
62%
Likelihood of a repeat visit exceeds 62% by the third purchase — loyalty compounds with each interaction
Source: Wiserpopup, 2026
50%
Existing customers are 50% more likely to try new products compared to new prospects
Source: Wiserpopup / Ringly.io, 2026
80%
Customers willing to download a brand's mobile app for loyalty benefits; truly loyal members use it weekly or daily
Source: Wiserpopup, 2026
4×
Loyalty program members are nearly 4× more likely to recommend the brand to others
Source: Zoho Thrive / Industry Research, 2026
+22%
Lift in repeat-purchase rates within 90 days for merchants that eliminated loyalty channel silos (Deloitte)
Source: Mordor Intelligence / Deloitte, 2026
Generational Loyalty BehaviorsGen Z to Boomers
Gen Z: Social & Sustainability
74% more loyal to brands with a functional mobile app. Prioritize social causes (58%) and sustainability (39% have switched brands over poor environmental practices). Least likely to join loyalty programs quickly but most likely to advocate publicly.
Source: Wiserpopup, SAP Emarsys 2026
Millennials: Convenience & Apps
42% show loyalty by installing a brand's app. 3–5× more likely to value convenience, trust, and digital tools in loyalty programs. 53% more likely to join if the program uses AI personalization.
Source: Zoho Thrive, Antavo GCLR 2025
Gen X: Repeat Purchase Loyalty
72% show loyalty through repeat purchases — the most traditional form of brand allegiance. Value quality, reliability, and long-term trust above novelty or gamification features.
Source: Zoho Thrive, 2026
Boomers: Price & Trust
68% show loyalty through repeat purchases. Focus heavily on price/value (60% switched brands due to cost in 2025). Less app-centric but responsive to personalized rewards and trusted brand relationships.
Source: SAP Emarsys, Wiserpopup 2026
Additional Key Data PointsIndustry Benchmarks
60%
Starbucks Rewards drove ~60% of US company-operated revenue in fiscal year 2025
Source: Starbucks FY2025 / Zoho Thrive
58%
Retail brands offering omnichannel loyalty programs; 78% support enrollment both at checkout and online
Source: Zoho Thrive, 2026
$3.1B
Annual cost of loyalty fraud through redeemed fraudulent points — a growing risk for loyalty software providers
Source: Capillary / EY Loyalty Report, 2025
26.2%
Of loyalty points go unspent; 11.9% expire without redemption, highlighting engagement gaps in existing programs
Source: Antavo, BusinessWire 2026
48%
Consumers displaying incentivized loyalty — remaining loyal because of discounts, perks, or rewards in the app
Source: SAP Emarsys, 2026
54%
US online adults say loyalty programs influence what they buy; 64% say they influence where they purchase
Source: Forrester Consumer Benchmark Survey
88%
Consumers require 3 or more purchases before they consider themselves truly loyal to a brand
Source: Exploding Topics / Capillary 2026
81%
Consumers find it motivating to see progress toward a reward within their loyalty program dashboard
Source: Attentive Loyalty Research, 2026
63%
US executives reporting increased spend on loyalty programs in 2025; CMOs plan 41% more investment by 2025
Source: PwC / Capillary Trends 2026
$20B+
American Airlines AAdvantage loyalty program valuation — more than 3× the value of the airline itself
Source: Queue-it, 2026
50%
Adidas adiClub members buy 50% more often and have double the lifetime value of non-members
Source: Queue-it, 2026
2×
Amazon Prime members spend more than double that of non-Prime customers; Walmart+ members shop 11 more times per year
Source: Queue-it, 2026