Brand loyalty is a thing of the past, says research
By Caroline Baldwin - Aug 15th, 15:56
Consumers are ditching their favourite brands in favour of speed and convenience, concluded new research from Salmon.
The research, which surveyed over 6,000 consumers across the UK, US and Benelux, stated that 88% of shoppers believe speed of delivery is more important to them than the brand they are ordering (78%).
Over half (57%) of shoppers think they are more digitally advanced than some retailers and 60% say they would be more likely to shop with a retailer if they were more digitally innovative.
Meanwhile, almost a quarter of consumers are “digitally obsessed” and make nearly all of their purchases online and 45% are already using or likely to use voice technologies like Amazon Echo or Google Home in the next 12 months.
“Loyalty is a complex thing. Across all sectors, we’re seeing fewer people favouring and remaining strongly aligned to certain brands and companies. This is especially prevalent in digital commerce – where the consumer focus on finding the lowest prices and fastest delivery doesn’t lend itself to being loyal to a certain product,” said Hugh Fletcher, global head of consultancy and innovation at Salmon.
Nearly two-thirds of consumers (60%) believe all online retailers should offer same-day delivery, compared to last year’s research when the average expected delivery time was 2.6 days.
“It is this ‘experience’ that drives loyalty and will be the difference between being a leader in digital commerce and being left behind,” added Fletcher. “What this means, however, is that retailers need to offer consumers a host of convenient services and harness innovative technologies in the process if they are going to attract and retain customers’ attention. As consumers are becoming more open to trying new technologies – or expect to in the coming months – retailers need to put in the ground work from now if they are to meet high expectations.”Reed Exhibitions Limited 2017.
Harrods smashes £2bn sales mark for the first time
16/10/2017 - 16:09
Harrods has recorded its eighth year in a row of soaring profits, which included smashing the £2 billion sales mark for the first time.
Gucci goes fur-free
13/10/2017 - 11:45
Luxury fashion retailer Gucci has announced it would stop using fur in its products entirely after its Spring 2018 collection.
eBay calls on retailers to embrace AI
12/10/2017 - 16:50
eBay has called on retailers to embrace artificial intelligence (AI) and ensure it is the driving force of business decisions in the coming years.
Customer loyalty is key to a retailer’s success
12/10/2017 - 11:51
What is important for a retailer is repeat business. Attracting your customer back into your store and rewarding them for spending money with you. Customer loyalty ultimately builds a brand.
Verimark achieves revenue and gross profit growth
12/10/2017 - 10:08
South Africa’s market-leading direct retail group, Verimark, has achieved positive revenue growth. The Group’s total revenue from continuing operations increased by 13.7% to R209.7 million (2016: R184.4 million).