Loyalty & Reward Co Opens Dubai Office as Middle East Loyalty Market Nears $5.6 Billion

Loyalty & Reward Co, a global loyalty consultancy, has opened a new office in Dubai as it expands its presence across the Middle East and North Africa (MENA) region.

The company has also appointed Krishna Mohan as Loyalty Director (MENA), who will lead its regional expansion across the UAE, Saudi Arabia and wider MENA markets.

The Dubai office expands Loyalty & Reward Co’s international network, which already includes locations in New York, London, Tokyo, Sydney and Melbourne. The company said its regional presence will support businesses as loyalty strategies increasingly become integrated with payments, digital ecosystems and customer data.

Middle East Loyalty Market Set for Strong Growth

According to ResearchAndMarkets.com, the Middle East loyalty market is projected to grow from $3.4 billion in 2026 to $5.6 billion by 2030, representing a compound annual growth rate of 12.8 per cent.

Over the same period, the UAE loyalty market is forecast to reach approximately $592.4 million, while Saudi Arabia’s market is expected to reach $1.27 billion.

The growth is being driven by increased investment in customer retention, personalisation and data-led engagement, alongside changing consumer expectations.

Payments and AI Reshape Loyalty Programmes

Loyalty & Reward Co identified several trends influencing the regional market.

Loyalty programmes are increasingly being designed around everyday customer journeys, with rewards connected to areas such as fuel, groceries, mobility and bill payments.

Artificial intelligence is also transforming loyalty ecosystems by enabling businesses to personalise communications, offers and customer experiences across digital and physical channels.

Another major development is the integration of loyalty programmes with digital wallets and payment applications. The company expects loyalty combined with digital wallets, co-branded credit cards and payment platforms to become increasingly important across the region.

Meanwhile, large retail groups are developing multi-brand loyalty ecosystems that allow customers to earn and redeem rewards across categories including grocery, fashion, dining, entertainment and malls.

E-commerce and quick-commerce platforms are also developing loyalty layers to encourage repeat purchases and reduce dependence on discounting. Subscriptions, rewards and delivery benefits are among the approaches being used to improve customer retention.

Businesses Focus More on Customer Retention

Rising customer acquisition costs and growing competition for consumer spending are encouraging businesses to place greater emphasis on retention and customer data.

The company said loyalty is increasingly being viewed as a strategic growth tool, with senior executives and boards seeking greater clarity around programme costs, expected returns, liability management and the capabilities that should be developed internally or outsourced.

Loyalty & Reward Co’s Dubai office will work with businesses across sectors including retail, financial services, hospitality, travel, healthcare, telecommunications and quick-service restaurants.

Regional Expansion Plans

Over the next three years, the company plans to work with multiple regional clients on loyalty programme design, transformation and commercial modelling, while expanding its Dubai-based team.

It also aims for the MENA region to contribute 20 per cent of its global revenue by 2028.

The company will continue developing its regional network of loyalty technology providers and reward suppliers. It said the network will remain vendor-neutral, allowing its consultants to provide recommendations based on individual client requirements rather than a proprietary technology platform.

Krishna Mohan said loyalty in the region has evolved from traditional points-and-rewards programmes toward models focused on payments, multi-brand ecosystems and measurable commercial outcomes.

He added that businesses are increasingly investing in customer data and retention as they seek to build broader ecosystems rather than relying solely on single-brand loyalty programmes.

Philip Shelper, CEO of Loyalty & Reward Co, said Mohan’s experience in developing and transforming loyalty programmes across the GCC would support the company’s regional growth.

The company said its work draws on design frameworks and commercial modelling developed through more than 160 projects globally.