Brand Loyalty Is Changing

BRAND LOYALTY dead -IS- We've always been loyal to the best brands- but that loyalty seems to be dying a slow death Are we ready to lay brand loyalty to rest? HISTORY OF BRAND LOYALTY PRE-1950s Estwing = RCA GOOD YEAR WINCHESTER All it took to be successful was a superior quality product IPLBI AHD IHOTE.. MORE THAN 400 SHAVES WITHOUT STROPPING 1950s This is a low average of the number of shaves that can be secared with a Gillette Safety Razor Product quality improved across the board With each razor there are twelve double edged blades of wafer ateel, tempered so hard, by our secret process, they must be ground with Diamond Dust, and so perfectly sharpened, every one will give from ten to forty delightful, vulvety shaves without stropping. When thay are dall we will send you one mew blade for every two returned to us. Repeated exchanging in tha WAy all und lent of trentye B low a price that your shaving wil une raction of a cent a shuve. Collette ales Co New York, Gentiemen teugt one of vour rasers last Bestember and I wuld tot all t dor manymes eleIereld nt eet anthen ACTUAL SIZE TRIPLE SILVER Forcing companies like Procter & Gamble to distinguish their products through marketing PLATE rom ng wine. Kepertlel A men dealer foe the etie Seetu Be Write foe oer ineresting hooket wbl palna r thirty days tree trial dter, Mot dealen mal offerl n dan we will The Gllette Salrs Campany. De Refereent: Aey une sf aur 168,141 stifinl sers ta an. 1,G, r first yar in e nat. 1960s NEW! FIRST WASHDAY DETERGENT OF ITS KIND! Nearly identical products fought to win customer emotions NEW BLUE cheer GAMBLET Branded packaging, promotions, and advertisments cheer Blue! COMO adds Brightness to whiteness Now! DUZ does a wash like no defergent can! Dash "we wear and wear.. still took like NEW!" Somebody had to break the rules Its the spap in DUZ that does it! -adds Brightness to coloureds too! OMO Dash broke the rules to give you a cleaner wash. DUZ DOES EVERYTHING 1980s AmericanAirlines Hertz #1 Club Gold Modern loyalty programs emerged Timetable WORLDWIDE 4693130410E TON JANSS American Airlines frequent flier program, Hertz #1 Club Gold program, and Discover Card's cash back program PASSENGER SCHEDELE AND CARGO GUDE GLIA DE HORARIOS PARA PASAJEROS Y SERVICIO DE CARGA 800-654-3131 American Application and fee required CELEBRATING THE MILES WE'VE TRAVELED TOGETHER. ovantage Present 360 BRAND DISCOVER Adults are bOLL 0000 0000 0000 exposed to MESSAGES per day Up te beck an average of A'Advantage 90% of companies offer loyalty programs Brand Loyalty CURRENT CONDITION Consumers aren't as loyal as they wvere Only 23% of consumers say they have a relationship with a brand What would make 57% 53% 42% 38% you "break ир" with a brand? NEGATIVE DATA LEAKS No live / real-time NO TIMELY LOYALTY PROGRAMS ARE LESS EFFECTIVE REVIEW REMAINS and CUSTOMER SERVICE SALES AND UNADDRESSED DATA BREACHES SUPPORT PROMOTIONS while similar products OFFERS continue to be offered LOYALTY YAHOO VISA NETFLIX STEMENS H BEAR Nintendo амс CHASEO PumA Barbie CN abc Abercrombie &Eireh FIVE GUYS Walmart adult swim YAMAHA RCA FedEx verizon Corond Light V BURGER KING HARLEY OROSEN BBE 6 MITSUBISH SONY Audi Pinteres bing OMEGA HYUNDA istwing Microsof BEST BUY P&G eulgreon Heinz ERSACE NOKIA REVLON TARGET PODGE LACOSTE ExonMobi SAMSUNG Google Red Bul adidas citi OWEEK CVS lat&t COACH| LoWES 2012-2014, loyalty program memberships grew 26.7% THERE ARE 3.3 BILLION LOYALTY PROGRAM MEMBERSHIPS IN THE U.S. 29 That MEMBERSHIPS equals per household CONSUMER ATTITUDES 23% 77% 71% 61% RETRACT THEIR DON'T THINK SWITCHED BRANDS HAVE NEGATIVE LOYALTY MORE LOYALTY PROGRAMS WITHIN THE REACTION OR QUICKLY THAN IMPROVE LOYALTY LAST YEAR NO REACTION TO 3 YEARS AGO LOYALTY EFFORTS Sometimes 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 miles Could Brand Loyalty be Resurrected? SOME BRANDS STILL COMMAND LOYALTY Top brands with loyal followings IN 2016 No Google No amazon.com No Cult Mentality: Lifetime Approach: GOOGLE'S UBIQUITOUSNESS ON THE INTERNET cements it as a fixture in every stage of life Personal Data: Amazon uses CUSTOMER THE SAME AREAS OF THE PURCHASE HISTORY to offer BRAIN THAT LIGHT UP when people of faith think about religion light up when Apple fans think about Apple superior service % of Amazon's 35 MEVENUE 3 5 COMES FROM "Dear Sophieảd: 2 FEATURES Father kept digital scrapbook of daughter's life using Gmail and YouTube "Frequently Bought Together" "Customers &Who Bought This Item Also Bought" iPhone owners admit blind loyalty to Apple MILLENNIALS ARE LOYAL to a point Millennials 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 CATEGORIES FOR HIGHEST MILLENNIAL LOYALTY: 64% 63% of Millennials say they are as or more brand loyal than their parents 59% 56% 39% use many or all of the same brands as their parents Mobile phone providers Clothing/accessories Health and beauty .But Millennial love can be fickle 56% Top reasons Millennials 41% 38% 37% 32% switch brands a brand is If there is a change in their financial situation If the brand increases If a family member / friend recommends If a new, more attractive brand found to have bad their prices another brand comes out business practices IS IT TIME TO CALL IT? The Nail in the Coffin CAUSES OF BRAND DEATH No 2 High Expectations No Over-Promotion 2 More Options CONSTANT EMAILS BEFORE MAKING AND SOCIAL MEDIA A BIG PURCHASE INTERACTIONS DON'T WORK Between 2016 and 2017, Expectations on brands grew 23% Brands only improved by 4% Consumers can compare prices and products to get the best deals High expectations growth Social networking 31% and entertainment Consumers spend an average of 13% 32% Technology ONLY 63 DAYS gathering information B0%% Business to Business Services & Equipment of loyal customers have a relationship with a brand because Research online Research in-store 28% Cosmetics 85% 70% 26% Personal Products and CPG of frequent interaction WHY SHOULDN'T WE MOURN? It Levels THE PLAYING FIELD It Motivates BRANDS TO LISTEN It Encourages HEALTHY COMPETITION Shoppers aren't tied down by blind loyalty to old companies Customers won't stick with a Substandard products won't last long on the shelves brand unless they feel heard Big data on customer activity improves customer service Competing brands fight for best quality, not emotional leverage New emerging brands can come steal their hearts BRAND LOVALTY MAY BE DEAD but a new era of consumerism is just getting started-this time with the Sources: helpscout.net/blog/brand-loyalty. bbc.com/news/business-13416598 customers brandkeys.com/brand-loyalty-in-america-today adroitdigital.com/files/research/1395184557.pdf kobie.com/thought-leadership/history-of-loyalty.pdf calling the shots brandkeys.com/2016-loyalty-leaders-digital-delights makeuseof.com/tag/brand-loyalty-enemy-productivity ngdata.com/data-mining-improves-customer-experience sjinsights.net/2014/09/29/new-research-sheds-light-on-daily-ad-exposures info.talend.com/rs/talend/images/pr_en_tld_datadivide_consumersurvey.pdf RAVE HE. REVIEWED fastcompany.com/3005384/branded-life-how-companies-google-target-trust-and-loyalty forbes.com/sites/chuckcohn/2015/05/15/a-beginners-guide-to-upselling-and-cross-selling newsroom.synchronyfinancial.com/document-library/fifth-annual-major-purchase-consumer-study RaveReviews.org huffingtonpost.com/entry/david-philipps-pudding-guy-travel-deals_us_577c9397e4b0a629c1ab35a7 telegraph.co.uk/technology/apple/10632787/iPhone-owners-admit-having-blind-loyalty-to-Apple.html marketingweek.com/2017/04/04/brands-need-to-approach-loyalty-like-amazon-says-air-miles-founder DEVELOPED B theatlantic.com/business/archive/2011/10/how-brands-were-born-a-brief-history-of-modern-marketing/246012 N NOWSOURCING accenture.com/120170216T035010Z_w_/us-en/_acnmedia/PDF-43/Accenture-Strategy-GCPR-Customer-Loyalty.pdf C BY 2.0 VIA @KDNEWTON ADVERTISEMENTS ARE COPYRIGHT OF THEIR RESPECTIVE OWNERS