Supply Chain Brain: Grocery Customers' Brand Loyalty Increased in the Last Year, Survey Finds
Grocery shoppers are saying they’ve become more loyal to their preferred brands over the past year, according to a report. The recently released study, “The Loyalty Shift Decoded,” found that up to 27% of responders said they feel more loyal now than they did last year to their preferred brands in various categories like milk, eggs, refrigerated juices, cereals and so on.
The report from 84.51°, a retail data and analytics company, provided an analysis of brand loyalty amongst more than 400 Kroger shoppers, who were interviewed in February 2023 for the report, while overall shopper behavior was analyzed over a 52-week period that concluded March 11, 2023.
With 27% of respondents saying they are more loyal to their preferred brand now than last year, milk saw the largest amount of growth in 2022 and 2023. Refrigerated juices and yogurt placed second on the list in terms of growth with 26% of responders saying they feel more loyal to their brands now in those specific categories. Amongst the 19 select categories mentioned in the study, most responders said they became less loyal to their preferred egg brands over the last year.
The report also showed that shoppers’ definitions of loyalty are moving away from the idea of exclusivity. Only 5% of people that took part in the survey said brand loyalty was defined by only ever buying a single brand and nothing else. Just 6% of responders defined retailer loyalty in the same way (shopping at one retailer and no others for all their needs).
Additionally, 54% of those surveyed said they were most likely to have a strong brand preference for laundry detergent products, the highest level amongst 19 select categories. Soft drinks had the second highest level of brand preference amongst consumers at 50%.
If companies are interested in boosting brand loyalty, they will have to invest in personalization, because 59% of shoppers said they were likely to shop at a certain store or buy a specific brand if it offered them personalized content.
At the end of the day, though, consumers are mostly looking to save money. Almost two-thirds of responders (62%) said finding good value for money was the first or second most important factor they considered when choosing grocery/household item brands.
Visit our knowledge hub
See what you can learn from our latest posts.