The Complexity of Brand Loyalty Simplified
In today’s hypercompetitive marketplace, brands are in a constant battle for customer loyalty—a critical factor that can make or break a business. But what exactly drives customers to stay loyal to a brand? We shed new light on this question, offering a comprehensive meta-model that simplifies and unifies our understanding of the factors that foster brand loyalty.
Customer brand loyalty is a complex and multifaceted concept. It is not just about how often customers buy from a brand; it also involves their attitudes, emotional connections, and overall commitment to that brand. Given the multitude of factors that can influence loyalty, the research community has identified over 200 potential drivers—ranging from perceived value to brand attachment.
The conceptual complexity and fragmentation are problematic, as they cloud the “big picture” and impede the development of a clear and unified understanding of what factors matter in the formation of customer brand loyalty.
To make sense of this vast array of factors, we condensed them into four key “meta-concepts”: brand offer, consumer–brand alignment, brand experience, and consumer–brand bonding. These meta-concepts help us see the bigger picture by grouping related ideas and showing how they work together to influence brand loyalty.
A Two-Stage Process to Loyalty
One of the most significant findings from this research is that brand loyalty formation is best understood as a two-stage process. First, the way consumers perceive a brand’s offer (its products, services, and overall value) and how well they align with the brand’s identity (think of brand image and how it resonates with the consumer’s self-concept) set the stage. These elements shape the consumer’s initial experience with the brand and their alignment with it. In the second stage, the direct experiences consumers have with the brand, coupled with the emotional bonds they form, become the strongest drivers of loyalty. In other words, the more positive and engaging the brand experience, and the stronger the emotional connection, the more likely consumers are to stay loyal.
These findings emphasize the importance of understanding the formation of customer brand loyalty not just through the lens of isolated antecedents but as a dynamic interplay of multiple drivers that evolves in stages.
What This Means for Marketers
For marketers, these insights are valuable. Our findings highlight that to build strong brand loyalty, it is crucial to focus on creating positive and memorable brand experiences. This might involve investing in high-quality products, providing excellent customer service, or ensuring that the brand’s image aligns closely with the values and identity of its target audience. Additionally, fostering emotional connections with customers is key. Brands that succeed in building deep, trusting relationships with their customers are more likely to secure their loyalty over the long term.
The Bottom Line
In a crowded market where consumers have countless options, understanding the drivers of brand loyalty is more important than ever. Our integrative meta-model offers a simplified yet powerful framework for brands looking to nurture lasting customer relationships. By focusing on the right mix of brand offer, alignment, experience, and emotional bonding, brands can build the loyalty that sustains their business through the ups and downs of a competitive market.
Disclosure: This blog post was created with partial assistance from AI tools.
Full reference: Desveaud, Kathleen, Timo Mandler, and Martin Eisend (2024), “A Meta-Model of Customer Brand Loyalty and Its Antecedents,” Journal of Business Research, 176, 114589. https://doi.org/10.1016/j.jbusres.2024.114589
Cite for: Customer brand loyalty, brand loyalty, customer loyalty, brand offer, consumer-brand alignment, brand experience, consumer-brand bonding, meta-analysis, grounded theory literature review, meta-SEM
