No loyalty: most buyers switch brands after just one bad experience!
NEW YORK – As many as 54% of consumers would stop using a brand after just one bad experience, with millennials most likely to cut the cord (57%).
A recent survey of 2,000 American adults found that inconsistent or outdated product information online is the #1 deal breaker (24%) for consumers who “break” with a brand they use. However, half of respondents (51%) also say a great online or social media experience, such as quick answers to their questions, funny posts and in-depth how-to videos, would convince them to try the brand again.
According to the survey conducted by OnePoll on behalf of Propel Software. In fact, 58% have recently switched from a brand they loved to its competitor. Almost half (47%) were attracted by an improved product experience, such as the availability of accessories, a better online community or how-to videos.
Electronics sees fiercest brand competition
Of the items people were most willing to rebrand on, smartphones topped the list with 37%, followed closely by TVs and kitchen appliances (36%) and cars (35%). Forty-seven percent of consumers were drawn to the competing brand taking a similar stance on issues important to them, such as workforce diversity or environmental compliance.
“Our findings show that more brands increasingly need to understand that customer experience goes beyond the point of purchase,” Ray Hein, CEO of Propel Software, said in a statement. “Two-thirds of consumers now expect brands to engage with them long after the sale, anticipate their needs and quickly correct bad experiences. Businesses that get this right are on the fast track to winning and keeping more customers than their slower competitors.
Most respondents associate an enhanced brand experience with high quality (42%), affordability (39%) and innovation (36%). However, do the brands really keep their promises? Among a list of well-known brands, Apple has the strongest association with premium quality (26%), while Amazon is more synonymous with affordability (41%). and Google has the greatest connection to innovation (42%).
“Unsurprisingly, 63% of consumers said the pandemic has significantly changed their expectations when buying products. Brands need to become better listeners, re-evaluate how they develop their products based on consumer needs, looking for innovative ways to increase affordability to offering subscription-based add-ons,” adds Hein.
Brand loyalty still exists
The survey also revealed that seven in 10 (69%) remain loyal to the brands they used growing up. People’s favorite brands that often carry over into adulthood include kitchen appliances (65%), leisure products such as sporting goods or camping gear (63%), electronics (60% ) and office or school supplies (51%).
People listen to their spouse more than anything else when it comes to knowing which brands are good (39%), beating third-party reviews (31%), celebrities (30%) and social media influencers ( 29%). However, recent shifts in brand loyalty were most common for office or school supplies (53%), packaged goods such as sodas, snacks or cereals (52%), and recreational products. (52%).
Some are willing to go the extra mile for a lifetime supply of their favorite brand’s products or services. Forty percent would give up social media for a month, 39 percent endure household chores for a year, and 36% would literally run a marathon. One in three people would even shave all their hair or break up with a romantic partner.
Even if people love their favorite brands, respondents note that doesn’t mean they won’t consider competitors, especially if they turn out to be better listeners.