News

Survey shows majority of shoppers motivated by brand loyalty

February 21, 2011

CrossView, a provider of cross-channel commerce solutions, recently released a survey showing that more than half of 177 shoppers surveyed are motivated by brand loyalty when making a purchase.

Key findings include:

• 51 percent are motivated by brand loyalty when making a purchase
• 66 percent say loyalty programs do not make them more likely to shop with a particular retailer

“While conventional wisdom holds that brand loyalty is much less of a motivator than it was even 10 years ago, we find that it still plays a significant role in customer behavior,” said Jason Goldberg, vice president of strategy and customer experience with CrossView. “Cross-channel retailers often miss the fact that the consumer evaluates their brand across all channels, and does not treat each as a separate brand. It is imperative that retailers offer a seamless integrated experience across all channels to achieve strong brand loyalty.”

Loyalty program participation is highest in-store at 75 percent. When asked where they have redeemed loyalty points, participants answered:

• 75 percent in-store
• 44 percent online
• 23 percent call center
• 19 percent catalog

“What this shows us is that customer affinity or loyalty programs are not currently a strong driver of consumer behavior,” said Goldberg. “However, when we examine the disparity in how shoppers are redeeming their points, it shows that the effectiveness of these programs is inconsistent across channels. These programs should be rolled into the cross-channel strategy to maximize their impact on the bottom line.”

The survey was conducted from Jan. 10 through 13, 2011 at Times Square in New York City.