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Consumers in the United Kingdom are increasingly turning their backs on brands, with a staggering 57% of respondents in a recent survey not considering brand names when making a purchase.
The Shift in Consumer Behaviour
This trend is not just limited to the UK; it’s a global phenomenon, with consumers worldwide becoming more discerning and demanding. The survey, conducted in association with Deloitte, surveyed over 2,000 UK consumers and more than 100 senior marketers from multinational brands.
- British households face cost-of-living pressures, leading to a shift in consumer behaviour.
- Consumers are increasingly turning to private-label alternatives, which they regard as comparable in quality to branded goods.
- The desire for seamless, omnichannel experiences is driving consumer demand for more engaging brand interactions.
According to the survey, only 25% of consumer product brands have successfully entered the ‘Engagement Era’ by investing in advanced engagement technologies and strategies. This means that the vast majority of brands are lagging behind in their efforts to connect with customers effectively.
Challenges in Leveraging Customer Data
A significant challenge facing marketers is leveraging customer data effectively. The survey revealed that only 44% of marketers believe their businesses can personalise content and campaigns using customer data, while just 27% have actually implemented such strategies.
| Challenge | Percentage of Marketers |
|---|---|
| Believe in personalising content and campaigns | 44% |
| Implement personalisation strategies | 27% |
Sara Richter, CMO at SAP Emarsys, highlighted the importance of a strong data foundation in delivering real-time, personalised experiences. “UK consumers arenβt just becoming less loyal to brandsβtheyβre ignoring them entirely,” she said. “Thatβs a wake-up call for marketers. Without a strong data foundation, itβs impossible to deliver the real-time, personalised experiences needed to win that all-important βtrueβ loyalty.”
Success Stories
Despite the challenges, there are examples of brands that have successfully transitioned to the Engagement Era. For instance, Molton Brown, a luxury home fragrances brand, has collaborated with SAP Emarsys to transform customer engagement.
“I’ve seen an incredible improvement in customer satisfaction and loyalty since we started working with SAP Emarsys,” said Naresh Krishnamurthy, senior manager of business transformation at Molton Brown. “Our collaboration has empowered us to deliver seamless experiences across both digital and traditional channels, keeping our customers at the centre of our business.”
Key Takeaways
The survey highlights several key takeaways for consumer brands:
- Only 25% of consumer product brands have successfully entered the Engagement Era.
- Close to half of respondents (45%) aim to prioritise the adoption of new omnichannel solutions.
- 43% of marketers believe that enhancing engagement across existing channels is the way forward.
In conclusion, the survey reveals a significant shift in consumer behaviour, with consumers increasingly turning their backs on brands. However, by investing in advanced engagement technologies and strategies, brands can deliver real-time, personalised experiences that win true loyalty. By leveraging customer data effectively and prioritising omnichannel solutions, brands can transform their customer engagement approaches and stay ahead of the competition.