Exploring the Gamification Landscape: Market Insights, Studies, Initiatives, and Real Cases

In recent years, gamification has gained significant attention in various fields, including software development. Gamification initiatives seek to enhance employee and customer engagement, promote collaboration, and increase productivity. Research on gamification has explored different game mechanisms and techniques to understand their impact on user behavior and performance. Studies have used various approaches, including primary studies, systematic literature reviews, observational studies, field experiments, and theoretical models, to investigate the effectiveness of gamification elements. Understanding the impact and effectiveness of gamification techniques in business is crucial to designing and implementing successful gamified features and solutions.

This article provides an overview of the gamification initiatives, experiments, real cases, and studies conducted in various fields, including software development.

What is Gamification?

Gamification is the use of game design elements, mechanics, and principles in non-game contexts to engage and motivate individuals. It involves applying the enjoyable and motivational aspects of games to enhance experiences, encourage participation, and achieve specific objectives in areas beyond traditional gaming. Key components of gamification include:

  1. Game elements:

    • Points -- users earn points for completing tasks or achieving goals.

    • Badges -- digital badges signify accomplishments and achievements.

    • Levels -- users progress through different levels based on their activities.

    • Leaderboards -- rankings display user achievements and encourage competition.

  2. Motivational psychology:

    • Intrinsic motivation -- tapping into individuals' natural desires for autonomy, mastery, and purpose.

    • Extrinsic rewards -- providing external rewards like points or badges to encourage desired behaviors.

  3. Goal setting -- establishing clear objectives and providing a sense of purpose to participants.

  4. Feedback mechanisms -- offering real-time feedback on actions and progress to keep participants informed and engaged.

  5. Competition and collaboration -- fostering a sense of competition or collaboration, depending on the goals of the gamified system.

  6. Narrative and storytelling -- creating a compelling narrative or story that ties together various elements, providing context and motivation.

Gamification Market Report and Future Opportunities

Analysis of the market size and share of gamification published by Mordor Intelligence, including growth trends and forecasts from 2023 to 2028. Therefore, read below the quintessence of the gamification market provided by researchers:

  1. The global gamification market is projected to experience significant growth from USD 13.26 billion in 2022 to USD 58.71 billion in 2028, with a compound annual growth rate (CAGR) of 24.88% over the forecast period. This growth is attributed to the widespread use of smartphones and mobile devices, which have provided a strong foundation for the gamification market. Additionally, the growing acceptance of gamification systems as a means to influence human behavior and drive innovation, productivity, and engagement has also contributed to this upward trend.

  2. Based on a study on gamification in businesses, it is often utilized in a generic manner, employing point systems, leaderboards, and badges without considering the need for balanced competition and collaboration. This oversight is predicted to lead to 80% of the efforts in companies that have implemented it.

  3. The adoption of advanced technologies, such as AI and ML, is projected to increase in the coming years. Vendors and enterprises are placing emphasis on developing solutions that learn and become more intuitive and effective over time. There is also expected to be an increase in vendor investment in this technology.

  4. According to an HBR article, gamification can contribute to customer retention, with potential increases in customer retention rates of 5% and profits of 25% to 95%. One way brands can implement gamification is by offering scannable product codes, allowing customers to earn loyalty points. Experiential retailers often incorporate gamification techniques into the customer shopping journey to drive discovery, engagement, brand advocacy, and loyalty.

  5. Retailers use gamification to engage with consumers, build brand loyalty, and enhance the retail experience. Gen Z is particularly involved, with 77% of them playing mobile games daily. Grocery retailers aim to build loyalty with Gen Z and other segments of the population, so it's important to deploy the right strategy for optimal results.

  6. The services segment of the gamification market is expected to grow at a higher rate. Gamification service providers offer consulting, implementation, and support services to help with solution development and ongoing maintenance. They also offer customized solutions tailored to fit business processes.

  7. Most companies that use gamification report improved customer engagement and satisfaction rates, with an average increase in engagement of 22%. Other reported benefits include better employee morale (14%) and increased sales (11%).

  8. The telecom segment is expected to experience the highest growth rate during the forecast period. Telecom companies face intense competition and are adopting a customer-centric approach to attract and retain subscribers. Gamification is being incorporated into business models to improve customer satisfaction and engagement. Companies are accountable for quality and availability, and gamification allows them to assess consumer satisfaction and offer new rewards and offers.

  9. Gamification has the potential to enhance a retailer's marketing or engagement strategy by adding entertainment and drama, while also promoting positive behaviors from customers and employees, resulting in a more immersive brand experience and increased sales.

  10. Retail gamification is a growing trend in e-commerce. Online retailers should create interactive customer experiences to increase sales. Gamification apps have been proven to boost leads and sales for many retailers. Gamification can attract new and repeat customers. Retailers and brands benefit from gamification solutions that include progress charts showing achievements on the platform. These charts can include metrics like past purchases, friend referrals, and updates on new product categories. Balancing "wins" or rewards can further engage customers and drive commercial benefits. This approach can incentivize customers and encourage them to return.

  11. The mobile gaming industry witnessed a global surge in demand following the COVID-19 pandemic, impacting numerous companies due to the enforced shutdown. Throughout the recent nationwide lockdowns, smartphone users extensively downloaded a range of games and other applications.

Real Cases About Gamification Initiatives (with Statistics & Results)

Gamification is not only for fans, its implementation gives a steep growth, which can be evaluated in metrics:

  • employee engagement & user engagement

  • training & learning metrics

  • sales growth

  • customer satisfaction & NPS

  • brand awareness metrics

  • ROI

  • team productivity & employee KPIs

  • contribution metrics

Here are some real cases from diverse industries and different target directions:

Case #1 -- LiveOps

Company: LiveOps is a contact center company that specializes in offering a comprehensive platform, applications, and talent in the cloud.

Case URL: https://www.biworldwide.com/globalassets/us-en/research-landing/thought-leadership/gamification/its-no-game/call-center-whitepaper-bi-worldwide-2020.pdf

Used tool: Bunchball Nitro is a cloud-based platform designed to assist enterprise-level organizations in utilizing gamification techniques, such as missions, points, badges, and leaderboards, within work environments.

Overview: The challenge that LiveOps faced was motivating its foreign workforce in a positive way. In response, the company transformed its "MyWork" community of 20,000 virtual call agents into a gamified social hub, utilizing Bunchball's Nitro platform.

To encourage agent participation in eLearning and boost sales, LiveOps and Bunchball developed a program that incorporates elements like competition, goals, points, and badges. This program also connects agents to a vibrant community and offers a centralized platform to showcase their achievements in a transparent manner. Points serve as currency within the MyWork community. They are awarded for achieving performance goals, completing certifications, and sharing expertise with the community. Agents also earn points for demonstrating special skills in articulating LiveOps' culture and brand objectives. More details:

  • Agents can view real-time results of their interactions with customers through their MyWork interface. All individuals have access to their own achievements as well as those of others.

  • Feedback is readily available for everyone to see, which can motivate individuals to celebrate their achievements and continue working, or to re-engage and strive for improvement in their interactions and outcomes.

  • Training is crucial for call center interactions as it enhances agents' knowledge, enabling them to resolve calls efficiently and potentially increase sales. Nevertheless, training does require time away from work, which can be challenging for agents with limited time.

LiveOps uses gamification to improve customer service for companies such as AAA, Symantec, and Salesforce, while also supporting its business model.

Results:

  • 80% of agents signed up quickly after the rollout

  • onboarding time for new agents takes 14 hours instead of 4 weeks of training

  • 9% improve service levels

  • 15% decrease in average call handle time

  • sales performance key metrics improved by 8% to 12%

  • raising customer satisfaction ratings and Net Promoter Score

  • 72% of agents completed extra certification, which was optional and for which they received only points and badges

Case #2 -- Cvent

Company: Cvent is a software provider that offers event management and marketing solutions such as online event registration, venue selection, event marketing & management, virtual & onsite solutions, & attendee engagement. Their platform automates and simplifies the event management process for both virtual and in-person events.

Case URL: https://hub.ambition.com/hubfs/Customer%20Stories/Cvent%20.pdf

Used tool: Ambition is a coaching & gamification software for sales teams and provides tools and functionalities that help businesses drive employee performance and manage sales operations.

Overview: The Cvent team initially sought a tool with reporting capabilities to enhance clarity. The ability to report on and track sales activity and progress towards goals was of primary importance. The team faced challenges in terms of visibility across teams, and the absence of timely insight made meeting targets more difficult.

The Cvent team utilizes Ambition's gamification features to create competitions based on specific metrics to increase sales activity related to closed won opportunities, calls logged, and presentations completed. For example:

  • competitions are based on closed won opportunities, logged calls, and completed presentations

  • accolades are available for representatives to earn badges for reaching performance milestones

  • the tracking of goals and objectives for presentations has been completed, and a new pipeline has been created

The team utilizes Ambition's accolades to recognize and celebrate significant achievements, providing immediate gratification for their hard work. Representatives earn badges as they reach important performance milestones, reinforcing positive behaviors throughout the team. This system ensures that everyone remains focused on the necessary tasks to achieve their objectives.

Cvent utilizes Ambition's dashboard to gain clear, real-time insights and track objectives objectively. The dashboard allows the team to easily monitor their progress toward meeting organization-wide goals. This visibility promotes alignment and enables leadership to intervene when necessary to guide performance.

Including competition motivates representatives to strive for the highest position, resulting in continuous growth in numbers.

Results:

  • 137% more presentations completed in one quarter

  • 61% more new pipelines were created in a quarter

  • 30% more calls logged in a single quarter

  • 14% more closed-won opportunities in a quarter

  • 59% more talk time in a single quarter

  • team has real-time clarity, recognition, and motivation

Case #3 -- Habitica

Participants: 114 employees (59 having leadership responsibilities and 55 not having leadership responsibilities)

Case URL: https://www.sciencedirect.com/science/article/abs/pii/S1567422320300715

Used tool: Habitica is an online task management application designed to gamify personal development and enhance productivity by transforming real-life activities and habits into an enjoyable game. Habitica is an open-source project.

Overview: The study was carried out by researchers at the Center for Technology Experience (Austrian Institute of Technology) to learn more about the impact of gamification on teams. Habitica, which gamifies work processes, was chosen as the basis for the study.

The Habitica app seeks to solve the issue of lacking motivation and accountability in personal productivity and growth. It aims to assist individuals struggling with procrastination, laziness, and maintaining good habits and achieving goals. By gamifying personal development, Habitica motivates users to take incremental steps toward their goals and habits and aids in monitoring their progress.

Habitica employs several key features to address the problem of unmotivation and unaccountability. One of these features is habit tracking, which allows users to create a list of habits they want to develop and maintain. Users can set the frequency and difficulty of each habit and track their progress over time.

Additionally, Habitica offers task management capabilities, enabling users to create to-do lists and set due dates for tasks they need to complete. The app provides reminders and notifications to help users stay on track. Another important feature is the reward system, where users earn experience points and gold coins as they complete tasks and develop good habits. These rewards can be used to level up their avatar and purchase virtual rewards like new equipment or pets. Social features are also integrated into Habitica, allowing users to join groups or guilds with friends or strangers who share similar goals. Users can interact with each other by completing challenges, competing against each other, and providing support and motivation. Lastly, Habitica offers customization options, allowing users to personalize their avatars, create their own challenges, and tailor their experience to fit their unique needs and preferences.

Results:

  • qualitative findings demonstrated that both employees with and without leadership responsibilities used work gamification for organization, self-monitoring, self-motivation, and improving health

  • quantitative findings showed that work gamification has positive effects on work enjoyment and productivity, but more for employees in leadership positions than those without leadership responsibilities

The results highlight the significance of considering work-related variables when studying work gamification.

Case #4 -- AstraZeneca

Company: AstraZeneca is a pharmaceutical and biotechnology company that produces products for major diseases in areas including oncology, cardiovascular, gastrointestinal, infection, neuroscience, respiratory, and inflammation.

Case URL: https://www.alittleb.it/blog-games/serious-games-blog-games/go-to-jupiter-e-learning-game-for-employees/

Used tool: Ludum is a training management and performance analysis tool with flexible technology that allows quick development of customizable social games and advergames.

Overview: AstraZeneca conducted research on the use of a voluntary, game-based learning solution called "Go To Jupiter". The game was designed to be optional in order to maintain a sense of enjoyment. The developer incorporated various incentives such as team competitions, team cooperation, mini-games with immediate gameplay, virtual items, rewards for accomplishments, leaderboards, and advancing levels.

The main objectives of the project are:

  • teach 500 agents about new medicine while minimizing costs

  • convey corporate culture, enhance the work environment, and create an effective team-building tool

  • check training results in real-time

  • draw attention to the new product, which they consider strategic

  • build anticipation for the launch event

Agents are required to accumulate points in order to be the first to arrive at a Stadium, which symbolizes the official launch event of the medicine. During this event, agents can earn additional points by answering questions using a remote control, which will enhance their ranking in the game. In the online game, agents can acquire points by participating in quizzes and playing various mini-games that revolve around the characteristics of a new product.

Results:

  • 97% of usage rates

  • most agents used the platform outside of work hours

  • 95% of users finished each lesson

  • effective team building tool

Case #5 -- Deloitte

Company: Deloitte is a global company that offers various services including audit and assurance, consulting, financial advisory, risk advisory, tax, and related services.

Case URL: https://hbr.org/2013/01/how-deloitte-made-learning-a-g

Used tool: own-developed LMS with built-in gamification elements

Overview: Deloitte aimed to enhance the engagement of participants in the Deloitte Leadership Academy (DLA) program. DLA is an online training program designed for employees and clients.

According to DLA's findings, the incorporation of missions, badges, and leaderboards in a user-friendly platform, along with video lectures, comprehensive courses, and assessments, has resulted in increased user engagement and higher completion rates for online training programs. Since its establishment in 2008, the Academy has attracted over 20,000 executive users.

The content on the site is divided into three categories: videos, "in-depth content," and self-assessments (tests and quizzes). These categories consist of interactive forms and PDFs, providing learners with opportunities to interact with each other and leave questions or comments.

Learners are required to complete the onboarding mission before starting the online learning programs. This mission involves watching a 3-minute video that provides instructions on using the website and personalizing it to their learning priorities.

Learners receive badges as they complete online learning programs. Most badges are earned for completing simple competencies, but there are also "Snowflake" badges. These badges are secret and meant to surprise and delight learners. They can only be unlocked by achieving specific goals. For instance, if everyone in a department watches the same video in a week, they all get a snowflake badge. On average, users earn three badges by completing enough online learning programs.

The design of DLA's leaderboard is informative. Rather than showing a single list of the top ten scorers overall, each level of the user has its own top-ten leaderboard. This ensures that each user only competes with others on the same level.

Results:

  • 37% increase in returning users each week

  • an effective learning tool is built-in

Case #6 -- Microsoft

Company: Microsoft is the largest vendor of computer software in the world. It is also a leading provider of cloud computing services, video games, computers, and applications.

Case URL: https://centrical.com/case-studies/microsoft-case-study-engagement/

Used tool: Centrical offers a platform that supports frontline teams with real-time performance management, microlearning, gamification, coaching, and voice-of-the-employee features.

Overview: Microsoft implemented Centrical as part of their "Making Agents Great" initiative, which aimed to increase engagement, productivity, and a sense of responsibility among contact center service agents. This dynamic program rewarded agents with points and badges, while also providing microlearning opportunities and personalized goals in an enjoyable and engaging manner.

The company established specific objectives for its Centrical implementation, focusing on agent engagement, satisfaction, and retention. Additionally, goals were set to enhance speed to proficiency, improve agent knowledge and skills, and maintain a commitment to excellence.

Centrical is a platform used by Microsoft to motivate outsourced agents to track their performance, learn about its services, and feel emotionally connected to their work. The platform utilizes gamification to engage and reward agents for their participation in learning or exceeding job requirements, resulting in remarkable business outcomes. For example:

  • Centrical had game levels and points tied to employee goals, allowing for competitions and opportunities to win based on improvement.

  • Centrical’s personalized microlearning catered to each employee based on their performance and tenure, fostering a culture of continuous learning.

  • Visualizing agents' goals, tracking their progress in real time, and instantly rewarding desired behaviors increased motivation.

  • The platform delivers ongoing learning on products and process changes. Employees are assigned learning activities. New hires receive basic training for faster competency. Tenured employees focus on knowledge updates and sustaining motivation.

  • Agents get rewarded for positive behaviors and outcomes in customer interactions.

Microsoft viewed Centrical as a means of shifting focus, fostering skill development, and promoting sales in an engaging manner that offers equal motivation for all.

Results:

  • 12% decrease in absenteeism

  • 10% agent productivity increase (two more calls per shift on average per agent)

  • 89% of agents felt motivated to improve their work after receiving new information

Case #7 -- Apparel Group

Company: Apparel Group is a UAE-based fashion and retail conglomerate company that operates over 2,000 retail locations in 14 countries and represents over 80 global brands.

Case URL: https://axonify.com/en-uk/customer-stories/apparel-group/

Used tool: Axonify is a frontline enablement solution that uses brain science and AI to provide bite-sized microlearning and daily reinforcement to help employees learn and remember important tasks. It is explicitly designed for frontline employees and can be completed in just a few minutes each day.

Overview: Apparel Group used Axonify to implement a strategic onboarding and training approach for their sales associates. This included interactive digital programs with gamification features to track knowledge growth and competency improvements.

The paths provided by The Apparel Group's On-The-Job (OTJ) training approach were essential for associates to gain a comprehensive understanding of their new roles and responsibilities. These paths also served as a centralized source of product, brand, and company knowledge, which is crucial for them to meet and exceed expectations.

A cost saving of nearly 2 million AED was achieved by reducing the onboarding program from a 4-day to a 1-day classroom event. The cost savings included instructor time, facilities, logistics for training, and employee time savings from utilizing the platform for training instead of leaving the work floor.

Next on the list are initiatives such as employee events, rewards programs, and self-directed learning programs that utilize new technologies like Al and virtual reality to enhance the learning experience of their teams.

The collaboration between Apparel Group and Axonify emphasizes the significance of incorporating learning into work processes and accessing real-time insights to measure business impact.

Results:

  • 8% increase in sales for the Skechers brand

  • 20% increase in productivity across all brands

  • 2,133 behavior observations were completed, and 1,933 observations were marked as exceptional, scoring 100%

  • 13% of knowledge growth (from 67% to 80%)

  • 91%, of participation rate, 4-5 times a week on aver 174K of extra training sessions

As you can see, gamification as a process can be used for various purposes, but very effectively. Therefore, here may be your case of successful implementation of gamification in business. For example, for development teams, try devActivity gamification service that allows you to automatically collect, measure, and visualize a set of metrics about developer activity from GitHub in automatic mode. Indirectly, devActivity indicates development team performance and motivates developers to do better with badges and gamified elements.

Studies and Experiments of Gamification in Software Development

Gamification in software development is a growing field of study that explores the integration of game design principles and mechanics into the development process. This approach aims to make software development more engaging, motivating, and enjoyable for developers and users alike. As software development becomes increasingly complex and competitive, studying gamification can provide valuable insights into how to optimize the development process and create more successful and user-friendly software products.

Gamification in this context aims to enhance engagement, collaboration, and productivity among software developers. Here are a few key studies and resources that were available up to that point:

1. "Designing Gamification for Sustainable Employee Behavior: Insights on Employee Motivations, Design Features and Gamification Elements" (2023):

Study URL: https://www.researchgate.net/publication/354862733_Designing_Gamification_for_Sustainable_Employee_Behavior_Insights_on_Employee_Motivations_Design_Features_and_Gamification_Elements

Abstract: This study focuses on designing gamification for sustainability in the workplace. It interviews employees from different SMEs to understand their motivations and expectations for sustainable behavior and gamification design features. The results show that employees are egoistically motivated and prefer individualistic-oriented design features. They also expect utilitarian, hedonistic, and social design features that support their personal sustainability goals and integrate with their work routines. This research contributes to gamification design by considering the workplace sustainability context and involving users in the design process.

2. "The role of awareness and gamification on technical debt management" (2022):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S0950584922000921

Abstract: This study discusses the importance of managing technical debt and developing easy-to-maintain software. It mentions the use of IDEs and static measurement tools for this purpose. The paragraph also introduces the concept of gamification in software development and explains that a study was conducted to analyze the impact of raising developers' awareness of technical debt and incorporating gamification into technical debt management. The study found that continuously raising awareness using a technical debt management tool significantly improved technical debt indicators while incorporating a competition component did not have a significant impact. Overall, investment in staff training and tools for technical debt management can lead to improvements in managing technical debt.

3. "Initiatives and challenges of using gamification in software engineering: A Systematic Mapping" (2021):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S0164121220302600

Abstract: Gamification has been applied in non-educational contexts of software engineering activities. A systematic mapping of the literature found that gamification has provided benefits to various SE activities such as requirements specification, development, testing, project management, and support process. The most commonly used gamification elements are points and leaderboards, and the main benefit is increased engagement and motivation. However, there is limited empirical evidence for the effectiveness of gamification in SE tasks.

4. "Gamification in software engineering: the mediating role of developer engagement and job satisfaction" (2021):

Study URL: https://link.springer.com/article/10.1007/s10664-021-10062-w

Abstract: This study discusses a study on gamification in software organizations. The study aims to understand why developers participate in gamification and the consequences of their engagement. The researchers collected data from surveys and the organization's version control system and found that gamification can effectively engage developers and lead to job satisfaction, which is important for software organizations.

5. "Modeling the effect of the badges gamification mechanism on personality traits of Stack Overflow users" (2020):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S1569190X20300964

Abstract: The study examines the use of gamification in Technical Q&A websites, focusing on the badge award system in Stack Overflow. The authors propose a methodology to analyze the impact of badge awards on users' personality traits using the Big Five factors. While the badges do not significantly affect individual traits, they do contribute to clustering users into different personality profiles. The badges tend to favor changes towards more open-minded and knowledge-seeking profiles. The effect of badges on user profiles varies for different activity groups. The findings can help understand the impact of gamification on technical users and can be applied to other Q&A sites. The clustering methodology can also be used to predict user behavior in collaborative communities with gamification.

6. “Achievement unlocked!” - The impact of digital achievements as a gamification element on motivation and performance" (2019):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S074756321930086X

Abstract: The study focuses on the impact of digital achievements in gamification. Through three experiments, it was found that achievements enhance motivation and performance, particularly when designed with high difficulty and in low quantity. Achievements also function as a goal-setting tool. Overall, properly designed achievements benefit motivation and performance.

7. "Cooperation or Competition – When do people contribute more? A field experiment on gamification of crowdsourcing" (2019):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S1071581918305822

Abstract: The use of information technology has led to the development of various forms of resource coordination, such as crowdsourcing, crowdfunding, and the sharing economy. These systems are often gamified to enhance user enjoyment and engagement. A study on a gamified crowdsourcing system found that inter-team competitions led to higher enjoyment and participation, as well as a greater willingness to recommend the system. Designers should consider cooperative approaches rather than competitive ones to increase user satisfaction and recommendations.

8. "Do badges increase user activity? A field experiment on the effects of gamification" (2017):

Study URL: https://www.sciencedirect.com/science/article/abs/pii/S0747563215002265

Abstract: The practice of adding game design to non-game services, known as gamification, has gained attention for its potential benefits. However, there is a lack of empirical evidence to confirm these expectations. This paper reports the results of a 2-year field experiment that implemented a game mechanic called "badges" in a service. The results showed that users in the gamified condition were more likely to engage in various activities and use the service in a more active way.

Final Thoughts

In conclusion, gamification has proven to be a powerful tool in various industries, from education to business to software development. The statistics and real cases showcased in this article highlight the immense potential of gamification to engage, motivate, and drive positive outcomes. As technology continues to advance, the opportunities for implementing gamification strategies will only increase.

Gamification is a powerful tool that can be used to increase customer engagement, loyalty, and sales. It can also be used to improve employee productivity and morale. Organizations should consider implementing gamification solutions in order to capitalize on its potential benefits. By utilizing primary studies, observational studies, case studies, field experiments, human factors studies, and gamification statistics, companies can gain a better understanding of the impact of gamification initiatives and how to maximize their success.

So, whether you're a business owner, a software developer, or an educator, it's time to embrace the power of gamification and unlock a world of endless possibilities. Get ready to level up and revolutionize your industry with devActivity!