Amazing about face. In a world where deals and promotions abound, where “conquesting and conquering” customers has become the modus operandi (viz, the streaming brands, the automotive industry) and where value continues to be equated with price alone, Barron’s, the financial newspaper, tells us brand loyalty is “in” again. At least in fast food.
A recent article in The Wall Street Journal reminds us that understanding value is critical for brand viability. The story focuses on McDonald’s. According to the reporters, the V (Value) in Ray Kroc’s QSC and V (Quality, Service, Cleanliness, and Value) has vanished. McDonald’s is struggling to recapture its customer-perceived value positioning.
Here is some brand common sense. In order to be purchased, a brand must first be considered. The original advertisements for the New York State Lottery: “You can’t win it if you’re not in it.” Well, the same goes for consideration and purchase. Common sense.
We’ve been told a consumer’s path to purchase proceeds in a straight line: awareness, familiarity, consideration, purchase … and if done right, it leads to brand loyalty. It’s a logical step-by-step progression model and gives brands the confidence to manage customers’ engagement and activate them along each step in their journey.
Let’s discuss brand loyalty. It used to be a principle of marketing that a brand needed trial and repeat before you had brand loyalty. In fact, at the haven of marketing, P&G, the concept was three tries before you could feel comfortable that a customer had become a loyal customer.
