• by Mark Walsh  @markfwal, June 1, 2010

Aiming to keep pace with rivals like Foursquare and Gowalla, location-based service Loopt has launched a new game-oriented loyalty program that rewards consumers for "checking in" at popular stores.

Through the new Loopt Star application for the iPhone, users can win badges, coupons, discounts and other special offers in return for mobile check-ins at locations of partner companies including The Gap, Burger King, Universal Music Group and Starbucks at launch.

The initiative allows brands and franchises to create customized rewards with the aim of driving foot traffic and repeat business. So instead of handing out goodies based only on who visits the most, marketers can tie rewards to a certain number of check-ins, or check-ins at certain locations or times of day.

To that end, The Gap will offer Loopt Star users who visit any store twice a 25% discount, while people who check into Burger King locations in the New York metro area three times will win a free coffee or soda of any size with a qualifying sandwich purchase.

Universal is giving away five free MP3s from artists including Rhianna, Lady Gaga and Mos Def to people who check into qualifying bars in the U.S. with two Facebook friends. And the person with the most check-ins via Loopt Star at Starbucks will become the "Honorary Barista" of that location.

If that sounds familiar, it's because Starbucks in March partnered with Foursquare to offer barista badges to people after checking into five separate stores. More recently, the two companies teamed to give a $1 discount to the "mayors" of individual Starbucks outlets through June 28.

Starbucks also has a promotional deal with social location startup Brightkite providing badges and virtual goods redeemable for drink discounts.

With its new app, Loopt introduces its answer to Foursquare's mayorships, allowing the person who checks into any place the most to become the "Boss" of that venue. Loopt Star also has a strong social gaming element based on integration with Facebook that includes leaderboards for competing over "ownership" of places and the ability to share locations or offers via the social network.

Loopt, which says it has 3 million users, is also offering dozens of hidden "achievements" in the app at launch that will allow Star players to win rewards for completing certain check-in actions.

The initial group of advertisers on Loopt Star also includes Stanford University, enabling class of 2010 members to earn a graduation gift by checking in to multiple commencement week events. Looking ahead, Loopt plans to roll out a new brand each week to the application.

Earlier this year, Loopt added the ability for users of its original app to get special offers and discounts on their phones from nearby restaurants and retailers.

Previously the company has said it wants to distinguish itself from competitors like Foursquare by avoiding game-like features that do not necessarily entail tangible rewards. But with Loopt Star, it appears the company is adopting similar gaming aspects to increase its appeal to consumers and advertisers.