Consumers Have More Brand Loyalty Than You Think They Do
You know it as well as we do: A brand’s most loyal customers are also its most valuable. No one builds long-term, sustainable, profitable growth on the backs of one-and-dones. Great companies are built by successively deepening customer relationships, by persuading buyers to repeatedly support a brand.
We recently dug into what makes consumers loyal to retail brands, highlighting the way Nordstrom makes shopping easy and IKEA makes it fun. Just how deep does that loyalty go? More than you think.
Surveying 1,100 people about brand loyalty in partnership with Forbes, we found that most consumers are “very loyal” or “generally loyal” to a brand.
Yes, They Really Like You
Yes, we hear all the time about how, online, your lower-priced competitor is just one click away. But that’s a gross oversimplification. It ignores a lot about how consumer psychology actually works.
People may occasionally experiment with other brands, but mostly, they have a sense of brand loyalty to those they trust. Only 3% of retail consumers said brands were meaningless to them. And only 8% said that media brands didn’t matter.
Customers Welcome Brand Communications
The second piece of good news is that if someone has even a little bit of brand loyalty, you’ve got a way to reach them. Better, that communication can be personalized. About 59% of retail brand loyalists visit their favorite brands’ websites, and half show up in person. More than half – 56% check for electronic messages from their favorite brands at least once a week.
Media loyalists are even more willing to receive messages from their favorite brands. 76% check for messages from digital publishers at least once a week, and 34% check once a day.
Consumers also more likely to use apps from their favorite publishers than they are from retailers. 35% of media loyalists use a mobile app from their favorite publisher, compared to 18% for retailers.
The Differences Between Media and Retail Loyalists
From our research, it seems that personalization works a bit differently if consumers are engaging with retailers as compared with digital publishers. Some 37% of media loyalists only want to see content that is relevant specifically to them, compared to 31% of retail loyalists.
Also, consumers are less likely to want to be addressed by name when they’re engaging with media companies than when they’re engaging with retailers. Just 13% of media loyalists say they want to be addressed by name, compared with 21% of shoppers.