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83% of UK consumers feel undervalued by brands, study reveals - adtechsolutions

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83% of UK consumers feel undervalued by brands, study reveals


The latest customer loyalty trends paint a troubling picture for brands entering 2025: while consumer loyalty appears strong on the surface, with high levels of repeat purchases and brand advocacy, underneath lies a critical emotional disconnect.

New research from SAP Emarsys Customer Engagement reveals that 83% of UK consumers feel undervalued brands they remain loyal to them, signaling a potentially costly oversight of how businesses approach customer relationships.

The comprehensive Customer Loyalty Index 2024, which surveyed more than 12,000 consumers worldwide, including 2,000 UK respondents, reveals call facing retailers and brands navigating a complex loyalty landscape.

While consumers demonstrate loyalty through a variety of behaviors, from repeat purchases to brand advocacy, the emotional connection between brands and their customers is declining.

Sara Richter, CMO at SAP Emarsys, emphasizes the evolving nature of customer loyalty trends: “Customer loyalty is the holy grail of marketers. From repeat purchases to average order value and customer lifetime value, loyalty can significantly impact brands’ business goals. But today the nature of loyalty is changing.”

Research identifies five different types of loyalty: motivational, hereditary, tacit, ethical, and genuine loyalty. True loyalty – unwavering, unshakable loyalty built on trust, love and devotion – has seen a 26% increase from 2021 to 2024, reflecting a shift towards stronger brand connection.

Despite the positive trend in True Loyalty, the study reveals that only 17% of UK consumers feel they are truly valued by their preferred brands. This disconnect is particularly troubling given that customer acquisition costs can be up to five times higher than retention costs, making it important for brands to maintain existing customer relationships.

The fashion industry is showing exciting metrics, with 52% of consumers demonstrating brand loyalty. However, their loyalty appears to be built on a fragile foundation as customer loyalty trends suggest that traditional loyalty drivers are evolving.

Research shows that 40% of consumers attribute their loyalty to long-term brand reputation, 30% to brand consistency and 22% to iconic branding. Meghann York, global head of product marketing at SAP, points to artificial intelligence as an important tool for addressing this loyalty gap.

“Using AI, brands can identify and engage diverse audiences and meet customers where they are with personalized, real-time experiences across every channel. This technology enables brands to understand and deliver what value means to each customer – whether it’s exclusive access, personalized rewardsor tailored recommendations,” she said.

The study also reveals complex patterns in how consumers express their loyalty. In 2024, 69% of consumers used mobile apps to interact with their favorite brands, while 59% demonstrated loyalty through frequent purchases. Additionally, 47% show their support by recommending the brand to friends and family.

Another significant finding from research on customer loyalty trends is the impact of AI on consumer behavior. This technology makes it easier for customers to discover alternatives and compare prices across platforms, which can influence brand loyalty. However, AI can also enable brands to create more personalized and meaningful customer experiences.

The research suggests several key areas for brands to focus on:

  • Personalization continues to be key, brands need to leverage AI for tailored offers and communications,
  • Creating memorable experiences has proven to be a key driver of loyalty along with high quality products,
  • Developing and improving mobile apps should be a priority because app users show higher levels of loyalty,
  • Product quality and competitive prices continue to be the basis for maintaining customer loyalty.

“Value can be subjective,” says York, “so SAP Emarsys enables brands to understand and deliver what value means to each customer. This creates a real value exchange where customers are happy to share something as simple as an email or date of birth because they see clear and tangible benefits in return.”

As brands prepare for NRF 2025, insights into customer loyalty trends provide critical guidance for developing more effective retention strategies. Research suggests that while consumers can demonstrate loyalty through their actions, brands should work harder to create emotional connections and provide meaningful value to maintain and strengthen those relationships.

The challenge for brands will be to harness technology and data while maintaining the human touch customers desire. As customer loyalty trends evolve, adapting and responding to changing consumer expectations will be critical to long-term success in customer retention and brand loyalty.

Are you interested in how leading global brands can discuss similar topics in person? Learn more about Digital Marketing World Forum (#DMWF) Europe, London, North America and Singapore.

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