Competing for customer loyalty in media and communications markets: Consumer intelligence series
In today's ultra-competitive media and communications marketplace, attracting customers is only half the battle - keeping them loyal to your brand can be just as challenging. While good value drives loyalty, customer service, honesty, and trust are important secondary attributes that contribute to brand allegiance. Together, these benefits present a compelling way for media and communications companies to market themselves to attract and maintain customers and compete against start-ups and price-driven competitors.
This report summarizes key findings from an online survey (1,002 US adults aged 18-59), and follow-up focus groups, exploring customer loyalty. Highlights from the survey:
- In the cable/internet provider space, price breaks and other deal incentives are the most effective strategy to attract customers from competitors.
- Younger consumers tend to be more cost conscious and less complacent in long-term brand relationships and therefore more open to brand switching than their older counterparts, who view brand switching as more of a hassle.
In the mobile world, brand switching is a threat, although service contracts still prevail in forcing loyalty for periods of time. Consumers are willing to pay for freedom from the restrictions and fees of mobile contracts, so mobile companies have an opportunity to generate new revenues - and perhaps engender loyalty - by offering more contract freedom. Read the full report to learn more.