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  • Not what you buy, but Why is the question for marketers/entrepreneurs?

    Posted on February 9th, 2010 admin 32 comments

    The following was excerpted from here:

    Consumers are most interested in brands that offer value for the dollar, and not just low price, according to the Brand Keys 2010 Customer Loyalty Engagement Index.

    The Index, which tracks 518 brands in 71 categories, demonstrates that consumers are becoming more brand-conscious and looking for established “real” brands that offer value, as opposed to brands which are endorsed by celebrities or heavily publicized.

    Brand Keys 2010 Customer Loyalty Engagement Index Selected Top Brands

    Airlines: JetBlue
    Athletic Footwear: New Balance/Nike
    Automotive: Hyundai
    Beer (Regular): Budweiser
    Breakfast Cereal (Adult): Cheerios
    Breakfast Cereal (Children): Lucky Charms
    Clothing Catalogs: J. Crew
    Coffee: Dunkin’ Donuts
    Computers (Laptops): Apple
    Computers (Netbooks): Acer/Samsung
    Digital Camera (SLR): Canon/Nikon
    Digital Camera (Point-and-Shoot): Kodak
    DVD Player: Samsung
    HDTV (LCD): Samsung/Sony
    HDTV (Plasma) Samsung
    Laundry Detergent: Tide
    Long Distance Providers: Verizon
    Online Books & Music: Amazon.com
    Online Travel Sites: Expedia.com/Kayak
    Paper Towels: Bounty/7th Generation
    Pizza: Domino’s
    Quick-Serve Restaurant: McDonald’s
    Retail Apparel: J. Crew
    Retail Discount: Wal-Mart
    Search Engine: Bing/Google
    Soft Drink (Regular): Pepsi
    Vodka: Grey Goose
    Wireless Smartphone: Apple
    Wireless Carrier: AT&T Wireless

    About the Survey: For Brand Keys’ 2010 survey, 33,500 consumers ages 18-65, drawn from the nine US Census Regions, self-selected the categories in which they are consumers, and the brands for which they are customers. They were interviewed by phone, face-to-face and online.

    I’m certain readers will find exception(s) to this listing. For instance, why AT&T? They certainly haven’t done iPhone users any favors – dropped calls + no legal tethering etc – and consumers will get more of the same with iPad’s wireless service. But data is data. Go figure. Hank

     

    32 responses to “Not what you buy, but Why is the question for marketers/entrepreneurs?”

    1. Looking over the list I’d have to agree with a majority of these, as I’m a loyal customer of almost every one of them. One surprising one however was dominos as it has been rated the worst tasting pizza chain many times over, that is until they switched up their recipe recently. So i guess if they did this survey sometime after that it would make sense, but given the scope of the survey I would think that it was done much earlier.

    2. I do find it interesting that consumer loyalty plays a big part in these choices. Not all of these companies or brands provide the cheapest or the best products but stand by what they like. I was very surprised that Dunkin Donuts was picked for the coffee and not Starbucks. I’ve drank Dunkin Donuts coffee myself and prefer it over Starbucks because it’s cheaper and I think it tastes better although it’s not as glamorous as Starbucks. This just goes to show that people are becoming more wise about how they spend their money and also people are starting to care less about what kind of coffee their favorite celebrity drinks.

    3. I think it is kind of funny that when I read these brand names, I had subliminal thoughts of value and quality. The funnier thing is I would not have noticed I was having those subliminal thoughts if I hadn’t first been wondering what I thought of them. Marketing is weird.

    4. These brand names are indeed popular. Brand loyalty is a huge part of every society.

    5. Blake Bronowicki

      I feel like all these names are big names in the particular industry. All the names are very familiar and they all seem to be doing very well in the market place. For example, Apple is clearly dominating the computer/electronic market place. I am surprised that Jetblue seems to be the top airliner, I felt that Southwest or American Airlines would be doing alot better. Very interesting list to look over, I have learned alot from just reading it over.

    6. Brand loyalty seems to be over looked far too often, considering how valuable it is to a company. I’m not surprised by Cheerios, Dunkin Donuts, or Apple making the list, however, Hyundai and Pepsi weren’t anticipated. I thought for sure Coca-cola drinkers had a stronger loyalty, but maybe it is just a stronger loyalty of the truly loyal consumers, and a ton of half-hearted ones.

    7. Taylor Gelsosomo

      Just by looking at this list it is easy to see that some of the most popular choices are not the cheapest. Brand loyalty is a huge part of why people buy certain products over others.

    8. I’m with Joseph on being surprised at Pepsi. Coca-Cola is the most recognized product in the world (according to their website), and America got to see the nationwide chaos that insued when they tried to “improve” the formula back in the 1980’s. It would be interesting to see what went in to the calculations of this brand index, because that largely can determine who comes out on top. But in the end, sales and market share are the only things that matter.

    9. I would agree that customer loyalty has a large influence on all of these brands that were voted to be the best. However all of these companies that offer their product and services had to build the company so they are able to offer a reliable product to have customers coming back. Most of the companies/products are not surprising to me. However I am sure there are a few that everyone is surprised and taken back by that they made the list. This list is proving that Americans are willing to pay a little more for the products and services that they love. This should show all the new and up coming companies that establishing a product with quality will gain you more than a product that is cheap.

    10. Brand recognition plays a major role in consumer preferences. Like others have already mentioned, the most popular choice is not always the least expensive. This makes it difficult for a new product or service to enter an industry if it already has a major important player in it.

    11. Yea these are definately not cheap brands that people are so fond of. This shows that in order to be a successful entrepreneur you really have to have an incredible product and you really have to be 10 times better than your competition.

    12. All these companies are recognized by almost everyone. I may not use all these brands but I do see and hear about them on a regular basis. I am glad to see that Lucky Charms makes this list, haha.

    13. It appears the majority of the listed brands are known to be associated with quality. Others such as AT&T and apple are associated with each other. I would consider the strong devotion to apple displays a strong devotion to AT&T. This is probably true, but in similar cases, how is it possible which is which… how does one know it is not vice versa?

    14. Anthony Sikorski

      These are all well known brands and you are bound to see something dealing with at least one of them everyday of your life. It is good to have your company be known for quality and as students in an entrepreneur class we need to figure out how we could make a product that everybody knows and loves.

    15. The survey shows that customer recall for a product is a subjective matter and a personal choice. They will not recall a product only on number of impressions in media. The brand should have some differentiation and/or targeted advertising. It should appeal beyond its loyal customers.

    16. Some really interesting stuff. Coffee not starbucks. and Pepsi? (disagree) I have not seen a pepsi commercial in a long time. Another interesting one is that ATT is winning the Phone war Versus Verizon.

    17. I found this blog very interesting. Its impossible to go about a day and not see one of these brands, that just shows us the importance of brands that are recognizable and have value.

    18. Spencer Childers

      i was surprised to see how many of these that i agree with. Im a AT&T customer myself with the iphone. I think that if Android only came out with one carrier (verizon) it would have done something similar to what the iphone did with AT&T.

    19. I was a little surprised at some of these results. Pepsi over Coca-Cola? Dunkin Donuts over Starbucks? Hyundai as the top automotive brand? But I guess you can’t argue with the facts.

    20. I agree with Michael. I am a little surprised at the results. I figured Coca-Cola would beat Pepsi and Starbucks would beat Dunkin Donuts since I hear more people getting them.

    21. I don’t want to believe that! Never will Domino’s be the best value of pizza… EVER. wait we shouldn’t listen to celebrities? wait, what am I going to do with these millions of boxes of uggs that paris hilton told me to wear? DANG IT!!!

    22. I agree with Apple. I had a broken iPod nano once and Apple’s high-quality customer service took care of the situation eventually.

    23. I do not agree with every thing on this list, for example, Long Distance Provider: Verizon. So, it may be true, so what?? I have a T-Mobile and its the BEST, in my opinion!! :)

    24. I am surprised that Bing made the list. I know they still have minimal market share compared to Google, but I guess the people who do use Bing apparently love it. Who knew Microsoft could do something right!

    25. Soroosh Karamyar

      I just have one question. Does Hank have it out for AT&T? I have an iPhone and obviously use AT&T and I have never had any issues what-so-ever. I really dont care about what company gives me service but I do care about the quality of the service I get. AT&T is not as bad as Hank makes it seem. On the contrary, I believe Verizon just slips a $20 to Hank under the table ;)

    26. Verizon definitely takes the win for me on that list. While they don’t have the iPhone, they offer Blackberrys, which has proven to be a great device for me.

      Brand loyalty plays a huge factor in this. I wonder how much it changes over the course of a few years. I was also really surprised that the Dunkin Donuts coffee made the list. I guess maybe I should try it!

    27. I disagree, I am an AT&T user, and I never have had a problem with the service. I always have internet access, and I always have service. I am also very surprised that Bing made the list.

    28. Courtney M. Cronk

      i myself am a loyal customer to AT&T. I don’t own and iphone, and i do experience ddropped calls. but ihave never had anything different, and what problems i have had in the past, were taken care of. The money isnt so bad, and it has its perks, (but are quickly being overtaken by new plans and such by other carriers). but i think I will stay loyal mostly because its a pain in the ass to switch carriers with hidden fees, new numbers, credit checks, etc.

    29. Brand loyalty is huge, i based most my consumer decisions on who I am loyal to or I have heard that others are loyal to. Some of the ones did suprise me though, and i dont know if i believe this data. I also think that Coca-Cola users are more loyal that Pepsi users.

    30. Frank Hettlinger

      I find it funny that JetBlue made it on the list of brand loyalty. The reason people fly JetBlue is because of the ticket prices. If you want to find an airline with brand loyalty, look at United, Delta, or American. These airlines all have more expensive ticket prices, yet people still continue to buy them. There is something to say about the schedule they fly and cities they go to, but from the perspective of consumers flying today, it’s all about the lowest ticket price.

    31. Reviewing the list made me realize just how many brand name items i buy. I feel like there are many other off brand products that are just as good, if not better, that are available for purchase. This will make me think about my options next time i am purchasing something.

    32. This article is fit to my advertising class. The value of brand is usually more than people thought. Even some consumers think there is no difference between big brand goods and small one, they still will choose the big brand unconciously. It is really interesting to see that rational people makes unrational choice.

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