Share this graphic on your site!<a href="https://ravereviews.org/brand-loyalty/"><img src="data:image/gif;base64,R0lGODdhAQABAPAAAP///wAAACwAAAAAAQABAEACAkQBADs=" data-lazy-src="https://ravereviews.org/wp-content/uploads/2017/08/brand-loyalty.jpg" alt="Brand Loyalty" width="500" border="0" /><noscript><img src="https://ravereviews.org/wp-content/uploads/2017/08/brand-loyalty.jpg" alt="Brand Loyalty" width="500" border="0" /></noscript></a><br />Source: <a href="https://ravereviews.org/">RaveReviews.org</a>Brand Loyalty is DeadWe’ve always been loyal to the best brands-but that loyalty seems to be dying a slow deathAre we ready to lay brand loyalty to rest?History of Brand LoyaltyPre-1950s: All it took to be successful was a superior quality product1950s: Product quality improved across the board Forcing companies like Procter & Gamble to distinguish their products through marketing1960s: Nearly identical products fought to win customer emotions Branded packaging, promotions, and advertisments1980s: Modern loyalty programs emerged American Airlines frequent flier program, Hertz #1 Club Gold program, and Discover Card’s cash back programPresent Day: Adults are exposed to an average of 360 brand messages per day 90% of companies offer loyalty programsBrand Loyalty’s Current ConditionConsumers aren’t as loyal as they were Only 23% of consumers say they have a relationship with a brandWhat would make you “break up” with a brand? 57% Negative review remains unaddressed while similar products continue to be offered 53% Data leak and data breaches 42% No live/real-time customer service support 38% No timely sales and promotions offersLoyalty programs are less effective 2012-2014, loyalty program memberships grew 26.7% There are 3.3 billion loyalty program memberships in the U.S.―that equals 29 memberships per householdConsumer attitudes 77% retract their loyalty more quickly than 3 years ago 71% don’t think loyalty programs improve loyalty 61% switched brands within the last year 23% have negative reaction or no reaction to loyalty effortsSometimes loyalty rewards work in ways you might not expect. In 1999, David Phillips purchased 12,000 Healthy Choice pudding cups In return, he earned 1.2 million airline milesCould Brand Loyalty be Resurrected?Some Brands Still Command LoyaltyTop brands with loyal followings in 2016:#1: Google Lifetime Approach: Google’s ubiquitousness on the Internet cements it as a fixture in every stage of life “Dear Sophie” ad: Father kept digital scrapbook of daughter’s life using Gmail and YouTube#2: Amazon Personal Data: Amazon uses customer purchase history to offer superior service 35% of Amazon’s revenue comes from 2 features: Frequently Bought Together Customers Who Bought This Item Also Bought”#3: Apple Cult Mentality: The same areas of the brain that light up when people of faith think about religion light up when Apple fans think about Apple 3 out of 5 iPhone owners admit blind loyalty to AppleMillennials Are Loyal―To a PointMillennials respect brand tradition… 78% of millennials say brands today have to work harder to earn loyalty than they did to earn their parent’s loyalty 64% of Millennials say they are as or more brand loyal than their parents 63% use many or all of the same brands as their parentsCategories for highest Millennial loyalty Mobile phone providers: 59% Clothing/accessories: 56% Health and beauty: 39%…But Millennial Love Can Be FickleTop reasons Millennials switch brands 56% If there is a change in their financial situation 41% If the brand increases their prices 38% If a family member / friend recommends another brand 37% If a new, more attractive brand comes out 32% If a brand is found to have bad business practicesIS IT TIME TO CALL IT?The Nail in the Coffin Causes of Brand DeathHigh expectations Between 2016 and 2017, expectations on brands grew 23%―but brands only improved by 4%Highest expectation growth Social networking and entertainment: +35% Technology: +32% Business to Business Services & Equipment: +30% Cosmetics: +28% Personal Products and CPG: +26%Over-Promotion Constant emails and social media interactions don’t work Only 13% of loyal customers have a relationship with a brand because of frequent interactionMore Options Before making a big purchase consumers can compare prices and products to get the best deals 85% research online 70% research in-store Spend an average of 63 days gathering informationWhy Shouldn’t We Mourn Brand Loyalty?Levels the playing field Shoppers aren’t tied down by blind loyalty to old companies New emerging brands can come steal their heartsMotivates brands to listen Customers won’t stick with a brand unless they feel heard Big data on customer activity improves customer serviceEncourages healthy competition Substandard products won’t last long on the shelves Competing brands fight for best quality, not emotional leverage —just like the old daysBrand loyalty may be dead, but a new era of consumerism is just getting started -— this time with the customers calling the shots!Sources: http://www.theatlantic.com/business/archive/2011/10/how-brands-were-born-a-brief-history-of-modern-marketing/246012/ http://www.kobie.com/thought-leadership/history-of-loyalty.pdf http://sjinsights.net/2014/09/29/new-research-sheds-light-on-daily-ad-exposures/ http://www.accenture.com/t20170216T035010Z__w__/us-en/_acnmedia/PDF-43/Accenture-Strategy-GCPR-Customer-Loyalty.pdf#zoom=50 http://info.talend.com/rs/talend/images/pr_en_tld_datadivide_consumersurvey.pdf http://www.huffingtonpost.com/entry/david-philipps-pudding-guy-travel-deals_us_577c9397e4b0a629c1ab35a7 http://brandkeys.com/2016-loyalty-leaders-digital-delights/ http://www.fastcompany.com/3005384/branded-life-how-companies-google-target-trust-and-loyalty http://www.marketingweek.com/2017/04/04/brands-need-to-approach-loyalty-like-amazon-says-air-miles-founder/ http://www.forbes.com/sites/chuckcohn/2015/05/15/a-beginners-guide-to-upselling-and-cross-selling/#4ae680832912 http://www.bbc.com/news/business-13416598 http://www.telegraph.co.uk/technology/apple/10632787/iPhone-owners-admit-having-blind-loyalty-to-Apple.html http://www.adroitdigital.com/files/research/1395184557.pdf http://brandkeys.com/brand-loyalty-in-america-today/ http://www.helpscout.net/blog/brand-loyalty/ http://newsroom.synchronyfinancial.com/document-library/fifth-annual-major-purchase-consumer-study http://www.makeuseof.com/tag/brand-loyalty-enemy-productivity/ http://www.ngdata.com/data-mining-improves-customer-experience/Popular Articles On Rave Best CBD Oils Best Mattresses
