“Earn, Redeem, Repeat”
In this competitive world, people nowadays prefer to use only those apps on which they can earn cashback or rewards from purchases. That’s why today’s businesses have started keeping loyalty and rewards inside their apps. Ever since this loyalty and rewards scheme was started, many users have been added, and sales have also increased.
According to the survey, the loyalty and reward program market was valued at $51.5 billion in 2024 and is projected to grow at a CAGR of 8.2%. This growth trajectory indicates a promising future, with the market expected to reach around $113.3 billion by the end of 2034.
With the market for loyalty and reward programs showing such robust growth, it’s clear that investing in rewards and loyalty software development is a significant profit-generating opportunity for businesses.
This blog will explore the loyalty and rewards app development cost and the major factors that can greatly impact it.
Let’s start!
Quick Summary: In this blog, we will explore the loyalty and rewards app development cost. We will also provide the major cost factors, advanced tech stacks, and monetization techniques.
What is a Loyalty and Rewards App?
The loyalty and reward app allows users to earn cashback, rewards, points, and discounts for shopping, engaging, and visiting. It also provides special deals and early access to flash sales to premium members. This platform offers a wide range of advanced features, such as personalized recommendations, digital coupons, digital cards, a points system, and social media platform sharing. If you want to invest in rewards app development, reach out to on demand app development companies for efficient or acceptable apps.
- It allows premium members of the app to access the flash sales early within the app.
- 43% of global users of the app consider flexible rewards to be a crucial feature of a loyalty and reward app.
- This platform sends alerts about discounts and points expiring and provides new updates.
The Cost of Loyalty and Rewards App Development
The cost to build a loyalty app is mainly based on the project’s requirements, complexity, features, functions, deployment platforms, size, and more. These factors can fluctuate the overall rewards app development cost and change the project’s budget. It includes many additional costs such as development team, location, integration with the third party, maintenance, design, security measurements, testing, and backend or frontend.
The average loyalty and reward mobile app development cost is $8,000 to $25,000. So, here we provide the cost chart for a detailed explanation:
Loyalty and Rewards App Development | Estimated Cost | Time Frame |
Simple App Development | $8000 – $12000 | 2 to 5 Months |
Mid-Complex App Development | $13000 – $21000 | 5 to 8 Months |
High-Complex App Development | $25000+ | 9+ Months |
Major Factors That Can Affect Loyalty and Rewards App Development Cost
Crucial factors can greatly affect the cost of developing a loyalty app and totally change the app’s budget. These include vital factors like the development team, the complexity of the app, and the number of features. So, here we provide the major factors to increase the loyalty app development cost:
1. Select Tech Stacks
In this first factor, tech stack is one of the most important factors that can increase the overall development cost. Choose the best and right tech stacks according to your project’s requirements. So, here we provide the tech stacks cost table:
Cloud Storage | AWS, Microsoft Azure, Google Cloud | $1,000 – $3,000 |
Backend Development | Django, PHP, Nodejs | $4,000 – $10,000 |
UI/UX Design | Sketch, Adobe XD | $4,000 – $7,000 |
Payment Gateway | PayPal, Stripe | $4,000 – $8,000 |
Security | SSL, Biometric, Two-factor Authentication | $1,500 – $4,000 |
Project Management | Jira, Trello, Asana | $1,000 – $3,500 |
2. Development Team
In this second factor, if you hire dedicated developers with more experience, they can charge more than average developers. Hire developers according to your project’s complexity and functionality. So, here, we provide the developers’ cost based on their experience.
Developers Experience level | United States | United Kingdom | Southeast Asia | Eastern Europe |
Junior-level | $15 – $25 | £14 – £24 | $12 – $22 | $10 – $20 |
Mid-level | $30 – $50 | £27 – £44 | $25 – $35 | $25 – $33 |
Senior-level | $60 – $80 | £50 – £65 | $40 – $55 | $40 – $50 |
3. Core and Advanced Features
Let’s move to the third factor, number of advanced features can highly impact on the overall loyalty app development cost. If businesses install unique features as compared to similar rewards apps. So, here we provide the core and advanced features cost:
Basic Features | Estimated Cost | Advanced Features | Estimated Cost |
Reward System | $6,000 – $9,000 | Multi-Language | $4,000 – $7,000 |
Push Notifications | $4,000 – $7,000 | Social Media Integration | $3,000 – $5,000 |
Security Features | $8,000 – $12,000 | Advanced Security Features | $10,000 – $14,000 |
Payment Gateways | $7,000 – $11,000 | History Tracking | $7,000 – $10,000 |
Admin Dashboard | $10,000 – $12,000 | Location-based Offers | $10,000 – $15,000 |
4. Loyalty and Rewards App Types
In this fourth factor, the loyalty app can be of different types and can be more costly than the average type. If you Hire mobile app developers to choose the best types and fulfill your app requirements. So, here we provide the different loyalty and reward app types cost:
Type of Loyalty and Rewards App | Cost Estimation |
Basic Loyalty app | $8,000 – $15,000 |
Points Loyalty app | $18,000 – $25,000 |
Value-BasedLoyalty app | $15,000 – $22,000 |
Hybrid Loyalty app | $12,000 – $20,000 |
Game Loyalty app | $20,000 – $28,000 |
5. Development Platform
This last factor, development platforms, is one of the most crucial; it can totally change the overall reward app development cost. Some of the popular or paid platforms can charge more than the average cost for development.
Development Platforms | Estimated Cost |
Web Apps | $15,000 – $22,000 |
Native Apps | $20,000 – $30,000 |
Hybrid Apps | $18,000 – $27,000 |
Tech Stack of Loyalty and Rewards App Development
For a successful loyalty iOS or Android app development, choose the best tech stacks to manage the automated operations and tasks. So, here is the list of the robust tech stacks:
Category | Tech Stack | Description |
Frontend
|
Javascript, Bootstrap, CSS, HTML | These powerful platforms build robust user interfaces. |
Backend | Python, Java, PHP, Flutter | Powerful backend frameworks build robust applications. |
Database | MYSQL, MongoDB, SQL, Postman | Securely stored massive data and organized structured data. |
APIs
|
REST, GraphQL | Sharing data between applications, systems, and devices. |
Authentication
|
OAuth, JWT | Verifies the user’s identity and access token from a trusted server. |
Cloud Services
|
Microsoft Azure, AWS | Allowing apps to access resources in the cloud. |
How to Make Money With Loyalty and Rewards App?
Most entrepreneurs want to make money from loyalty and reward apps but have no idea how to generate new revenue streams for businesses. So, here we provide the top monetization techniques that help businesses increase their overall valuation and lead the way to generate profit-making opportunities:
- Advertising
- Subscription plans
- Collaboration and Partnership
- Freemium Model
- Transaction Fees
1. Advertising
In this first monetization technique, the loyalty and rewards app allows professional business vendors and merchants to display their products and services as advertising. By allowing these third parties, you can get a good income and increase the business growth. It can vary in different formats, such as banner ads, image ads, native ads, pop-up window ads, and more.
2. Subscription plans
In the second monetization technique, a loyalty and reward app offers various subscription plans to access premium features such as basic, premium, and enterprise. If users want to access the app’s additional or rich features and services, they must purchase the subscription plans monthly or yearly.
3. Collaboration and Partnership
Let’s come to the third monetization technique, partnership with related agencies or merchants to sell their services or items via your loyalty and rewards app. Loyalty program help other apps and business to earn commission based income on every sale of their products or services. These can increase the company’s valuation and user base.
4. Freemium Model
In this fourth monetization technique, a loyalty and reward app provides a free subscription plan with simple features. If a user wants to access additional features or individual features for a limited time, the user must purchase the features inside the app. The freemium model can generate new revenue streams for businesses.
5. Transaction Fees
In the final monetization technique, you can charge transaction fees for every transaction done by your loyalty and rewards app. If users purchase a subscription plan or additional features, the transaction fees will be added at the checkout process. This flexible approach allows entrepreneurs to take control of their revenue generation, potentially leading to business growth.
How Dev Technosys Will Help You?
Now, we are in the final stage of the blog. We hope you have cleared all your doubts regarding the loyalty app development cost and the many factors that can fluctuate the overall development cost. We explored every tiny bit of information about loyalty app development costs and how to easily generate new revenue streams from the app.
By investing in a loyalty and rewards app, you’re not just making a profit, you’re also gaining a competitive edge in this market.
Book an appointment with a mobile application development company to build a robust loyalty and rewards app within a cost-effective budget.
Frequently Asked Questions
1. How Much Does it Cost to Create a Loyalty App?
The cost to make a loyalty app ranges from $8,000 to $25,000 or more. This depends on various factors, such as project requirements, features, functions, complexity, infrastructure, and deployment platforms.
2. How Long Does it Take to Build a Loyalty and Rewards App?
To develop a loyalty and rewards app usually takes around 3 to 9 months for overall app development. This also depends on the developers’ working hours, project requirements, and number of features.
3. Which Technologies Are Used in Loyalty and Rewards App Development?
Robust technologies are used in loyalty and rewards app development, here we provide the list of the technologies:
- Node js
- React js
- Java Script
- Java
- PHP
4. How Much Does it Cost to Hire Developers For Loyalty and Rewards App Development?
The cost to hire Android app developers for loyalty and rewards app development is lies between $15 to $25 per hour. It can based on the developers experience level, location, and expertise in programming languages.
5. How Can we Reduce the Loyalty and Rewards App Development Cost?
Here, we provide some essential points that can reduce the cost to build rewards app:
- Develop an MVP
- Outsource development
- Cross-platform development
- Consider cloud services
- Define clear requirements