A recent survey by SAP Emarsys has revealed a sharp decline in brand loyalty among US consumers in the last two years. The major contributors to this drop are the negative experiences of the buyers and the increasing product costs of brands.
While seven in ten consumers still express some level of brand loyalty, this figure has dropped from the previous year, indicating a shift in consumer behaviour, the survey cited.
The survey highlighted that 56 per cent customers drifted from the brands due to poor quality and 53 per cent left due to other bad experiences.
With three among five respondents stating they would switch due to higher prices, price remains the most significant factor driving consumers away from brands. Poor product quality and negative customer experiences also played a crucial role, with over half of consumers indicating these factors would lead them to abandon a brand.
The fashion industry, once a stronghold of brand loyalty, has also witnessed a decline. While clothing and fashion remain a top category for consumer loyalty, the percentage of loyal customers has dropped significantly.
This shift can be attributed to factors such as the rise of fast fashion, increasing consumer awareness of sustainability issues, and the growing appeal of unique and personalized experiences.
