Gamification, the integration of game design elements into non-game contexts, has gained prominence in the software engineering education and training realm. By incorporating elements such as points, badges, quests, and challenges, gamification aims to motivate and engage learners, potentially transforming traditional educational methods. This paper addresses the gap in systematic evaluations of gamification’s effectiveness in software engineering education and training by conducting a comprehensive literature review of 68 primary studies. This review explores the advantages of gamification, including active learning, individualized pacing, and enhanced collaboration, as well as the psychological drawbacks such as increased stress and responsibility for students. Despite the promising results, this study highlights that gamification should be considered a supplementary tool rather than a replacement for traditional teaching methods. Our findings reveal significant interest in integrating gamification in educational settings, driven by the growing need for digital content to improve learning.