WASHINGTON, DC — The answer to the age-old question “what’s in a name” might just be profits, according to a new survey report from B2B service review platform Visual Objects.
The report found that 43% of US consumers are loyal to at least one food and beverage brand, and recognizable names and high-quality products keep them coming back for more. The brand loyalty to food and beverage companies is stronger than loyalty to any other industry, proving that it has major influence over purchasing decisions.
One reason food and beverage companies have so much success in this area is because they are known for branding strategies that reflect audience interests while accurately representing products. Much of the branding experiences are sensory to the consumer, making them resonate in a deeper way according to Robert Johnson,
“Food and beverage companies leverage the emotional connection from loyal customers,” Johnson said. “Because food and drinks appeal to several senses at once such as taste, smell, sight and touch, they are associated more with personal experiences than other commodities.”
"Food and beverage companies leverage the emotional connection from loyal customers," Johnson said. "Because food and drinks appeal to several senses at once such as taste, smell, sight and touch, they are associated more with personal experiences than other commodities."
In addition to sensory appeal, brands that commit to quality often triumph when a consumer is choosing between two similar products. The study found that 44% of consumers said that brands will keep their business if they maintain quality. The commitment not only keeps a company’s consumer base steady, but it opens doors to partnerships with other high-quality brands that present solutions to unmet customer needs.
“If people can see how the two brands function better in tandem, they’ll go in with those higher expectations,” said Nate Tsang, founder and CEO of investment research tool WallStreetZen. “It’s up to the brands to ensure they can provide that increased value without over-promising and under-delivering.”
But the most powerful influence on purchasing choices is the brand name. Fifty-seven percent of consumers trust and purchase products from widely known brand names, with unfamiliar options falling by the wayside. When consumers can anticipate what their experience with a product will be before adding it to their shopping cart, they’re likely to feel more confident about their choice and feel protected from purchasing regret.
“With household name brand products, countless people have direct purchasing experience. The consumer experience is very well documented,” said Gregory Young, chief experience officer of software company Convincely. “Consumers can call upon the wealth of their experience and come to a well-informed decision before making a purchase.”
The full report is available here.
