The power of branding is something neither consumers nor business owners can take lightly. Whether they realize it or not, consumers are more trusting and more likely to buy from companies and brand names they’ve heard of before. One side effect of the way the internet has opened up commerce is that people are more willing to take a chance on new brands they haven’t tried before. Similarly, the last recession taught many consumers to shop smarter and to search for brands that could deliver value and quality. This is an opportunity for marketers to reach new consumers. Here are eight recent statistics that show why business owners should take advantage of this time to promote their brand to new customers.
According to a recent report from Nielsen, 67 percent of worldwide consumers believe private-label brands are extremely good values and 65 percent believe private-label brands are good alternatives to name brands.
The same study also found that 75 percent of North American consumers believe private-label brands are good alternatives to name brands and 73 percent believe private-label brands are extremely good values.
Small businesses and entrepreneurs around the world have changed the way people think about private brands. Nielsen reported that 71 percent of worldwide and 69 percent of North American consumers believe the quality of private-label brands has improved over time.
In 2013, private brands accounted for $112 billion of the $643 billion in total US retail sales (more than one sixth of the total).
Brands can engage with brands to improve longer loyalty. Loyalty360 released data that found fully engaged customers are 44 percent more likely to be loyal to retail brands.
A different study from Loyalty360 found that 66 percent of US consumers are willing to pay more for a product if the brand delivers a positive customer experience.
Using rewards is an effective way to get people to try and stay with a brand 93 percent of Americans say rewards from their favorite brands are important when determining what brands to buy.
Adroit Digital identified how much perception affects brand loyalty among millennials. The study found 60 percent of US millennials say social advertising has the most influence over how they perceive a brand and 38 percent said they are willing to leave brands they perceive to have bad ethics.
There are several important lessons that business owners and marketers can take from these statistics. First, the power of branding isn’t something that can only be used by large companies with huge marketing budget. Many consumers are looking for little-known brands as they attempt to distance themselves from major corporations. Second, business owners need to put their brand out there so it can be discovered. Even if people are searching for new businesses and brands to try, the search starts on the internet. Whether through SEO, content marketing or social media marketing, business owners need to make sure their brand’s information is accessible and easy to find.
For some specific tips on promoting a brand, read this article on fostering customer loyalty in the digital age. And read this article for more data on the long-term value of loyal customers.