New Delhi: Almonds Ai has released the much-awaited Channel Loyalty Report 2025, marking the 5th edition of the study. The report offers exclusive insights into the rapidly evolving channel loyalty landscape in India, highlighting emerging trends in technology, sustainability, and personalized engagement that are shaping the future of loyalty programs.
The Indian channel loyalty market is now valued at ₹25,400 crore and is growing at a robust CAGR of 14%. With the intensification of competition across sectors, brands must move beyond traditional reward mechanisms to build lasting relationships with their channel partners and foster long-term growth.
Key Insights from the Channel Loyalty Report 2025:
- 94% of Channel Partners Prefer Mobile-Based Redemption: This statistic reflects a rapid shift towards digital-first solutions, with mobile-based platforms becoming the preferred medium for loyalty reward redemptions.
- 58% of Partners Lack Clarity on Section 194R Tax Compliance: There is a pressing need for better education and clarity around tax compliance, as a majority of partners remain unaware of the regulatory framework impacting loyalty rewards.
- 64% of Partners Believe Eco-Friendly Rewards Will Dominate Loyalty Programs: Sustainability has emerged as a significant engagement driver, with a clear preference among channel partners for rewards that promote environmental consciousness.
- 72% of Channel Partners Cite Gamification as the Key Trend: Interactive and experience-driven programs, driven by gamification, are seen as the defining trends for loyalty initiatives, indicating a shift towards more engaging and fun loyalty frameworks.
- AI-Powered Solutions Drive 28% Higher Retention: Brands are increasingly adopting AI-powered solutions, which have been shown to increase partner retention by up to 28% through data-driven, personalized engagement strategies.
Commenting on the findings, Abhinav Jain and Apurv Modi, Co-founders of Almonds Ai, said, “The loyalty landscape is changing fast. Today’s channel partners don’t just want rewards; they seek engagement, recognition, and value beyond transactions. Businesses must embrace AI, hyper-personalization, and sustainability-driven loyalty frameworks to stay ahead in an increasingly competitive market. This report serves as a blueprint for businesses looking to innovate, personalize, and future-proof their loyalty strategies.”
The report highlights the risks of relying on a one-size-fits-all approach in today’s dynamic market. With many partners participating in multiple loyalty programs, brands must adopt flexible, personalized, and tech-driven frameworks to remain competitive and relevant.