Survey Says Consumers Are Brand Loyal

Jun 14, 2002

Nearly half of respondents to a new GMA survey (49 percent) indicate that a familiar brand name was the first or second most important element when making a purchase in the supermarket.

Seventy-six percent of Americans in all demographic groups consider a product’s brand before making a final product selection, according to the new survey. Sixty-seven percent of respondents say they would “chase the brand” to a different store if it wasn’t available or do so without until the next shopping excursion.

The survey, which explored how national brands influence purchasing decisions among Americans, also revealed that consumers are twice as likely to choose a brand that is of high quality but costs more, than one of average quality that costs less (57 percent to 28 percent). Americans would also pay a higher price for “a product whose taste they enjoy” (41 percent) and a “product with added health and nutritional benefits” (25 percent).

Nostalgia plays a major role in consumers’ relationships with a particular brand, according to survey results. In an unprompted, open-ended question, 36 percent of respondents indicated they currently use a particular product because their family had used it for a long time. In a crowded field of six choices, 15 percent said they continue using the brand because they used it growing up.

Moderator Comment: Do you agree with the findings of the GMA study?

By-and-large, yes, we do. That said, we would have been
shocked (to the point of cardiac arrest) if GMA came out with a study that said
consumers prefer store brands.

FYI, the IDDBA’s 2002 What’s in Store Consumer
Trends research found that 40 percent of consumers are “national brand loyalists,”
almost always buying national brands. Only 30 percent of consumers say they
will not purchase store brands.

We wonder what the next PLMA study will show? [George
Anderson – Moderator

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