Adults are loyal to five or fewer brands, with their family most often placed with financial service providers and grocery retailers, finds a study conducted by Epsilon and Wylei Research. Consumers surveyed were most likely to define brand loyalty as shopping on the basis of quality rather than price; as a result, a company’s consistency in offering quality products and services emerges as a key loyalty driver.
Presented with a series of customer experiences with a fictitious company and asked which best represents customer loyalty, respondents were most likely to agree with the following:
- A customer that shops at Company X for the quality of the product even though they are more expensive (51%)
- A customer that tells family and friends to go to Company X (41%)
- A customer that forgives a mistake made by Company X and continues shopping there (40%)
Notably, respondents were less likely to define loyalty on the basis of liking or sharing brand content on social media.
Not surprisingly, when asked how important various conditions are in influencing the loyalty actions outlined above, respondents first pointed to the brand/company having consistently good quality products and services (55%), followed by the brand/company offering the best value for money (51%). Interestingly, fewer respondents believed that rewards programs (33%), positive first experiences (28%), and new services and products tailored to their needs and lifestyles (21% would drive loyal behavior.