Busting the myths of gamification

Gamification, the technique of borrowing principles from game design to nudge behavior, promises motivation wrapped in fun. It has taken hold for a reason—it works. At least in the short run. Our products now nudge us at every turn. Fitness apps keep us running (literally) after digital rewards; loyalty programs make us strategize our coffee orders like it’s the Olympics; and even financial markets have started to feel more like Vegas, where winning means flipping assets before the music stops. But the important question isn’t whether gamification works. It’s who is it working for?

When game mechanics are used for product strategy without understanding consumers’ deeper motivations, it breeds fatigue, churn, and mistrust. It’s not just bad design, but rather a larger risk to customer loyalty and long-term growth. Gamification strategies that emphasize winning can also unintentionally encourage overconsumption, while attempts to gamify health, community engagement, or sustainability risk reducing meaningful behavior change to shallow, performative tasks.

In a well-designed game, the relationship is symbiotic—you play because you love the experience, and in return, the game designer thrives as more players buy in. But gamification can sometimes feel like a system imposed upon you, where participation is required to unlock basic functionality, avoid penalties, or simply keep up. When this happens, gamification starts feeling more like an obligation—or worse, a trap. The game stops being something we choose to play—it plays us instead.

So how do we harness gamification’s immense promise in a more productive way?

At the IDEO Play Lab, we leverage game design to help businesses drive deep, sustainable engagement. Because most successful products don’t just lean on gamification’s surface sparkle—they dig into the sturdy mechanics of game design itself.

Here are some of the myths of gamification and real ways thoughtful game design can lead to better products.

Myth 1: To make an experience sticky, just add points or badges!

Reality: The deeper opportunity lies in leveraging game thinking to make transformative experiences.

Reducing game design to points and leaderboards sells it far too short. True game-thinking involves designing systems that embody the foundational mechanics of games—like challenge, choice, feedback, and progression—to create deeply engaging, motivating, and transformative experiences.

One example: We were partnering with an organization to develop a digital platform to support the mental health of people aged 14-25. We could have simply added a point or reward system to make the app engaging for this young audience—after all, social media and other apps do just that. But we knew that the benefits of working on one’s mental health aren’t tied to those types of metrics; in fact, employing them can have the opposite effect. Instead, we ran game design workshops to explore specific mechanics and principles that would tap into users’ intrinsic motivations, then used those as a springboard to explore compelling—and beneficial—new features. One of the simplest—and most popular in testing—was a fidget drawing board, where users could make little finger drawings on a starry background that would fade after a few seconds. This playful interaction was a compelling feature that drew our testers back again and again. No leaderboard needed.

Myth 2: Make an experience feel like a game with competition!

Reality: Games do not have to be zero-sum.

Games often have a winner and a loser—one person’s success comes at the expense of another’s. But not always. Over the last two decades, we’ve seen a big rise in new kinds of gaming experiences—cooperative games, cozy games, storytelling games, and more. Games like these leverage game mechanics to build community, encourage expression, or even intentionally lower the stakes to design for new kinds of emergent experiences

On a recent project, IDEO worked with a client that was looking to introduce generative AI workflows into employees’ day-to-day work. They told us that the team responded well to competition and recommended leaning into that to motivate and incentivize participation. So, we split the group into two teams and started tracking achievements to see which team could achieve the highest overall score each week. At first, the teams enjoyed tracking points and competing. But when we introduced a challenge where harder tasks earned more points, participation collapsed. Some tried, but after high scores hit the leaderboard, they felt embarrassed to share lower ones. Others skipped it entirely, assuming they couldn’t measure up.

So, we changed course. Instead of rewarding skill, we gave points for effort and encouraged mentorship over competition. Participation rebounded immediately.

Dialing in the right mechanics for a leaderboard is trickier than you might think. Done poorly, you might discourage the very behavior you’re hoping for. Ultimately, gamification should encourage progress, not perfection.

Myth 3: Gamification works because it’s fun.

Reality: Motivations are much more complex than just fun, and game elements work best when they are tied to more meaningful values.

Fun is suuuuuper subjective. It’s not even helpful to say it’s a motivation. It is an outcome. Some games create fun through storytelling and narrative explorations (think Dungeons & Dragons); other games offer fun through the satisfaction of strategic or tactical problem-solving (think chess). Game designers look at these deeper, more nuanced motivators when they shape an experience.

When we designed the initial prototype for Ethiqly, an AI-powered writing platform for teachers and students, we began with a fundamental belief: motivation goes deeper than fun. Ethiqly is built to support the writing process, not replace it. We applied a play-centered design methodology to uncover intrinsic motivators at every stage. Students don’t just complete tasks—they explore writing voice, style, and critical thinking. Meanwhile, teachers take on the role of game designers, shaping the learning environment through challenges, feedback, and progression systems. Instead of automating away the parts of the writing process that bring users satisfaction and purpose, like students building confidence and skill in developing their point of view, we built experiences that work with their intrinsic motivation. Just like in a great game, the platform gradually increases difficulty, offers meaningful choices, and delivers helpful feedback that sparks growth. Gamification, in this case, works because it isn’t just icing on the cake—it’s a deliberate system for sustained engagement, where technology augments human creativity rather than bypassing it.

Many of the industries that are leaning into gamification—exercise, eating habits, medicine, education—tap into motivations that are similarly complicated. Organizations need to take care to align the ingredients for fun with the criteria for other meaningful outcomes.

Myth 4: Gamification has universal best practices.

Reality: You can’t slap any old game mechanic onto any experience and expect to improve it.

Picture what would happen if you added dice rolls to chess—a game that is deliberately devoid of randomness. You’d change the very essence of it. Similarly, you can’t just add badges to a workout routine and assume it will make the workout better. You might even ruin the original, desired experience.

IDEO once helped design an FDA-approved program to help people quit smoking. The team made early games that were fun to play, but something didn’t feel right.  So, we took a cue from roguelike games, a genre that uses repeated failure to make players’ eventual success more meaningful. (After all, the journey to quit smoking can often include repeated failures.) Some roguelike games even require you to fail in order to level up. Inspired, we applied this kind of game psychology to design a core loop, providing feedback that users could reflect on, understand, and apply on their next attempt. The setup gave users a reason to continue and ultimately succeed.

Layering game elements onto existing activities requires intention and design to dial in the right experience.

When done well, leveraging game mechanics isn’t about points, competition, or chasing fun; it’s about designing experiences that tap into deeper human motivations. The best games can shape how people engage, learn, and grow. But getting it right takes more than a leaderboard—it takes thoughtful design.

At IDEO, we apply play and game mechanics to complex challenges, designing experiences that empower rather than manipulate, motivate rather than pressure, and create lasting impact beyond the next dopamine hit. If you’re looking to build experiences that go beyond the surface and truly engage, let’s talk.