China Loyalty Programs Market Intelligence and Future Growth Dynamics Databook – 50+ KPIs on Loyalty Programs Trends by End-Use Sectors, Operational KPIs, Retail Product Dynamics, and Consumer Demographics - Q2 2024 Update

According to PayNXT360’s, loyalty market in the country is expected to grow by 11.4% on annual basis to reach US$18,837.7 million in 2024.

In value terms, the loyalty market in the country has recorded a CAGR of 12.9% during 2019–2023.The loyalty market in the country will continue to grow over the forecast period and is expected to record a CAGR of 9.8% during 2024-2028. Loyalty market in the country will increase from US$16,905.0 million in 2023 to reach US$27,346.2 million by 2028.

The loyalty program landscape in China is rapidly evolving, with brands adapting to Chinese consumers' unique preferences and behaviours. Personalization, gamification, and community building are key trends shaping the country's future of loyalty programs. As the market grows, brands must stay agile and responsive to the changing regulatory environment and consumer demands. By leveraging data-driven insights and innovative strategies, brands can create loyalty programs that foster long-term customer relationships and drive sustainable growth in the highly competitive Chinese retail market.

Unleash the Power of Loyalty: Trends Shaping China's Retail Landscape

• Personalization is key: Brands are leveraging data analytics and AI to offer customers tailored experiences, rewards, and communications.

• Gamification is prevalent: Loyalty programs incorporate game-like elements to engage customers and drive frequent interactions.

• Mobile-first approach: With a mobile-centric consumer base, loyalty programs are designed to be seamlessly integrated into popular apps like WeChat.

• Community building: Social aspects are emphasized, with features that encourage group participation and shared rewards.

New Loyalty Programs Launched in China

• Starbucks Rewards: Offers a stylish gift card with exclusive benefits like free refills, free syrup, and regular gifts.

• Alibaba's 'Taobao Tejia' program: Combines loyalty points with personalized product recommendations and exclusive deals.

Cashback Loyalty Programs: A Growing Trend

• Increasing popularity: Cashback programs are gaining traction as they offer immediate financial rewards to customers.

• Integration with mobile payments: Cashback programs are often linked to popular mobile payment platforms like Alipay and WeChat Pay.

• Targeted promotions: Brands use cashback offers to incentivize specific behaviours, such as first-time purchases or referrals.

Regulatory Changes Impacting Loyalty Programs

• Data privacy regulations: The Chinese government has implemented stricter data privacy laws, requiring brands to obtain explicit customer consent before collecting and using personal data.

• Restrictions on unfair competition: Regulations have been introduced to prevent loyalty programs from engaging in unfair competitive practices, such as offering excessive discounts or rewards.

• Emphasis on consumer protection: Regulators are focused on ensuring that loyalty programs provide transparent terms and conditions and protect consumer rights.

This report provides a detailed data-centric analysis of the loyalty market opportunities and risks across a range of industry categories. With over 50 KPIs at the country level, this report provides a comprehensive understanding of loyalty market dynamics, market size and forecast, and market share statistics.

PayNXT360’s research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities. • Gain insights into the China loyalty spend market: The report provides a comprehensive overview of the China loyalty spend market, including market size, growth drivers, and trends. This information can help businesses to make informed decisions about their loyalty program strategies.

• Benchmark your business against competitors: The report provides a competitive analysis of the China loyalty spend market, which can help businesses to identify their strengths and weaknesses relative to their competitors. This information can help businesses to improve their loyalty program strategies and gain a competitive advantage.

• Stay up-to-date on the latest trends in the loyalty spend market: The report provides an overview of the latest trends in the loyalty spend market, such as the growing popularity of mobile-based loyalty programs and the increasing awareness of the benefits of loyalty programs among consumers. This information can help businesses to stay ahead of the competition and improve their loyalty program strategies.

• Make informed decisions about your loyalty program: The report provides a comprehensive overview of the factors to consider when developing a loyalty program, such as the target audience, the rewards and benefits, and the marketing and communication strategy. This information can help businesses to develop a loyalty program that is effective and successful. This report provides in-depth, data-centric analysis of loyalty programs in China. Below is a summary of key market segments:

• China Retail Sector Spend Value Trend Analysis

--Ecommerce Spend

--POS Spend

China Loyalty Spend Market Size and Future Growth Dynamics by Key Performance Indicators

Value Accumulated and Value Redemption Rate of Loyalty programs in China

• China Loyalty Spend Market Size and Future Growth Dynamics by Functional Domains

--Loyalty Schemes

--Loyalty Platforms

• China Loyalty Spend Market Size and Future Growth Dynamics by Loyalty Program Type

--Points programs

--Tier-based programs

--Mission-driven programs

--Spend-based programs

--Gaming programs

--Free perks programs

--Subscription programs

--Community programs

--Refer a friend program

--Paid programs

--Cashback programs

• China Loyalty Spend Market Size and Future Growth Dynamics by Channel

--In-Store

--Online

--Mobile

China Loyalty Schemes Spend Market Size and Future Growth Dynamics by Business Model

--Seller Driven

--Payment Instrument Driven

--Others

• China Loyalty Spend Market Size and Future Growth Dynamics by Key Sectors

--Retail

--Financial Services

--Healthcare & Wellness

--Restaurants & Food Delivery

--Travel & Hospitality (Cabs, Hotels, Airlines)

--Telecoms

--Media & Entertainment

--Others

• China Loyalty Spend Market Size and Future Growth Dynamics in Key Sectors by Online

--Retail

--Financial Services

--Healthcare & Wellness

--Restaurants & Food Delivery

--Travel & Hospitality (Cabs, Hotels, Airlines)

--Telecoms

--Media & Entertainment

--Others

• China Loyalty Spend Market Size and Future Growth Dynamics in Key Sectors by In-Store

--Retail

--Financial Services

--Healthcare & Wellness

--Restaurants & Food Delivery

--Travel & Hospitality (Cabs, Hotels, Airlines)

--Telecoms

--Media & Entertainment

--Others

•China Loyalty Spend Market Size and Future Growth Dynamics in Key Sectors by Mobile App

--Retail

--Financial Services

--Healthcare & Wellness

--Restaurants & Food Delivery

--Travel & Hospitality (Cabs, Hotels, Airlines)

--Telecoms

--Media & Entertainment

--Others

• China Loyalty Spend Market Size and Future Growth Dynamics by Retail

--Diversified Retailers

--Department Stores

--Specialty Stores

--Clothing, Footwear & Accessories

--Toy & Hobby Shops

--Supermarket and Convenience Store

--Home Merchandise

--Other

• China Loyalty Spend Market Size and Future Growth Dynamics by Accessibility

--Card Based Access

--Digital Access

• China Loyalty Spend Market Size and Future Growth Dynamics by Consumer Type

--B2C Consumers

--B2B Consumers

• China Loyalty Schemes Spend Market Size and Future Growth Dynamics by Membership Type

--Free

--Free + Premium

--Premium

• China Loyalty Platform Spend Market Size and Future Growth Dynamics by Software Use Case

--Analytics and AI Driven

--Management Platform

• China Loyalty Platform Spend Market Size and Future Growth Dynamics by Vendor/Solution Partner

--In House

--Third Party Vendor

• China Loyalty Platform Spend Market Size and Future Growth Dynamics by Deployment

--Cloud

--On-Premise

• China Loyalty Spend Market Size and Future Growth Dynamics by Loyalty Platforms

--Software

--Services

• China Loyalty Spend Market Size and Future Growth Dynamics by Software Use Case Platforms

--Custom Built Platform

--Off the Shelf Platform

• China Loyalty Spend Market Size and Forecast by Consumer Demographics & Behaviour

--By Age Group

--By Income Level

--By Gender