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Fun Shopping: A Randomized Field Experiment on Gamification

Author

Listed:
  • Yi-Jen (Ian) Ho

    (Smeal College of Business, Pennsylvania State University, University Park, Pennsylvania 16802)

  • Siyuan Liu

    (Smeal College of Business, Pennsylvania State University, University Park, Pennsylvania 16802)

  • Lei Wang

    (Smeal College of Business, Pennsylvania State University, University Park, Pennsylvania 16802)

Abstract

Gamification utilizes game-like features to engage participants, widely implemented in a variety of contexts. Such an IT-enabled engagement strategy serves as a marketing device to boost sales and customer loyalty. This study focuses on two significant game elements (i.e., badges and leaderboards) that promote consumer motivations and social comparisons. To qualify the impacts, we conduct a randomized field experiment at one of the largest shopping malls in Asia. In the experiment, we contrast the two elements against coupons regarding various shopping outcomes. A two-period design (consisting of the treatment and posttreatment periods) identifies the long-term behavior changes after the treatment removals. The main results suggest that badging and leaderboarding promote sales by 21.5% and 22.5% in the treatment period, respectively, whereas couponing delivers a more potent effect of 31.7%. In the posttreatment period, the gamification impacts remain significant compared with the baseline, but the influence of couponing fades out. Besides, the additional analyses document the salient heterogeneous treatment effects across demographics. We further discover the substantial differences in the within-group heterogeneity across the treatments. Specifically, badging is a balanced tool for attracting the general public, whereas leaderboarding is a double-edged sword that could encourage self-reinforcing or self-banishing. Finally, gamification brings more explorations that lead to additional sales and engagements. Overall, the robust results can be translated into actionable strategies to utilize gamification proactively.

Suggested Citation

  • Yi-Jen (Ian) Ho & Siyuan Liu & Lei Wang, 2023. "Fun Shopping: A Randomized Field Experiment on Gamification," Information Systems Research, INFORMS, vol. 34(2), pages 766-785, June.
    • Handle: RePEc:inm:orisre:v:34:y:2023:i:2:p:766-785
    DOI: 10.1287/isre.2022.1147
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    References listed on IDEAS

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    1. Yi Zhang & Femke van Horen & Marcel Zeelenberg, 2021. "Increasing saving intentions through leaderboards: A gamification approach," PLOS ONE, Public Library of Science, vol. 16(4), pages 1-16, April.
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    4. Buunk, Abraham P. & Gibbons, Frederick X., 2007. "Social comparison: The end of a theory and the emergence of a field," Organizational Behavior and Human Decision Processes, Elsevier, vol. 102(1), pages 3-21, January.
    5. Xi, Nannan & Hamari, Juho, 2020. "Does gamification affect brand engagement and equity? A study in online brand communities," Journal of Business Research, Elsevier, vol. 109(C), pages 449-460.
    6. Hofacker, Charles F. & de Ruyter, Ko & Lurie, Nicholas H. & Manchanda, Puneet & Donaldson, Jeff, 2016. "Gamification and Mobile Marketing Effectiveness," Journal of Interactive Marketing, Elsevier, vol. 34(C), pages 25-36.
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    Cited by:

    1. Isabel Kittyma Disse, 2024. "Gamification as a Multichannel Marketing Instrument: A Systematic Literature Review and Future Research Agenda," Working Papers Dissertations 117, Paderborn University, Faculty of Business Administration and Economics.

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