GAMIFICATION IN MARKETING: HOW ENGAGEMENT INFLUENCES CUSTOMER RETENTION?

Abstract

This study aims to analyze the effect of gamification on customer retention and to examine the mediating role of customer engagement among users of the e-commerce platforms Tokopedia, TikTok Shop, and Shopee. The study employs a quantitative approach with a sample of 96 respondents, comprising students, civil servants (ASN), and entrepreneurs located in the regions of Banyumas, Banjarnegara, Purbalingga, and Cilacap. Data collection was conducted using a structured questionnaire, while data analysis employed the Partial Least Squares Structural Equation Modeling (PLS-SEM) method using the SmartPLS software. The results indicate that gamification has a positive and significant effect on customer retention. Additionally, gamification also has a positive and significant effect on customer engagement, while customer engagement was found to have a positive and significant effect on customer retention. The results of the indirect effect test show that customer engagement partially mediates the relationship between gamification and customer retention. These findings suggest that the implementation of gamification elements such as points, rewards, challenges, and interactive missions can increase consumer engagement, which ultimately strengthens customer retention. This study implies that effective gamification strategies can serve as a means for e-commerce platforms to boost user engagement and retain customers over the long term.

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