Brands Lose “Loyalists” as Consumers Seek to Cut Costs

Email:
Password:

Remember Me | Forgot Your Password?

Brands Lose “Loyalists” as Consumers Seek to Cut Costs

June 22, 2009: 02:34 AM

Most brands lost more “loyalists” than they gained last year, because of the recession, says a study from Catalina Marketing and the CMO Council. More than half of consumers switched brands from 2007 to 2008, the study shows. Several factors seemed to influence people to stay loyal. Brands with strong advertising and marketing support; brands that contribute to home-prepared meals; brands that dominate their categories, and superpremium brands held on to more customers than others. The cost of defections can be high: Coke Classic revenue dropped 6 percent because of defections, while P&G;'s Cheer detergent dropped 19 percent. The study did not show if people were switching to rival brands or to private labels.

Jack Neff , "Package-Goods Brands Lose Loyalists in Recession", AdAge.com, June 22, 2009, © Crain Communications Google Cache

Domains

Geographies

Worldwide
North America
United States of America

Domains

Geographies

Categories