Brand loyalty put to the test in difficult economic climate
Effective customer retention schemes are more important than ever for online merchants, in light of new research.
A study by comScore has revealed that the difficult economic climate is putting brand loyalty severely to the test.
Just 43 per cent of those polled by the firm reveal that they actually buy the brand they want - an 11 per cent decrease since 2008.
Instead, consumers look for cheaper prices with other brands, making it more difficult for companies to retain customers on reputation alone.
According to comScore director Doug Crang, consumers are feeling the pressure to spend less and save more.
"These economic conditions pose a real threat to premium brand market share, as consumers view cheaper brands, often private label, as a more affordable and necessary option during these hard times," he added.
Sarah Cross, managing director of marketing specialists uber, says that a good loyalty scheme will prove its effectiveness time and time again when it comes to customer retention.
Posted by Richard Jones
A study by comScore has revealed that the difficult economic climate is putting brand loyalty severely to the test.
Just 43 per cent of those polled by the firm reveal that they actually buy the brand they want - an 11 per cent decrease since 2008.
Instead, consumers look for cheaper prices with other brands, making it more difficult for companies to retain customers on reputation alone.
According to comScore director Doug Crang, consumers are feeling the pressure to spend less and save more.
"These economic conditions pose a real threat to premium brand market share, as consumers view cheaper brands, often private label, as a more affordable and necessary option during these hard times," he added.
Sarah Cross, managing director of marketing specialists uber, says that a good loyalty scheme will prove its effectiveness time and time again when it comes to customer retention.
Posted by Richard Jones