Brand Loyalty

Brand Loyalty is the consumer's conscious or unconscious decision, expressed through intention or behavior, to repurchase a brand continually. It occurs because the consumer perceives that the brand offers the right product features, image, or level of quality at the right price. Consumer behavior is habitual because habits are safe and familiar. In order to create brand loyalty, advertisers must break consumer habits, help them acquire new habits, and reinforce those habits by reminding consumers of the value of their purchase and encourage them to continue purchasing those products in the future.

Consumers must like the product in order to develop loyalty to it. In order to convert occasional purchasers into brand loyalists, habits must be reinforced. Consumers must be reminded of the value of their purchase and encouraged to continue purchasing the product in the future.

The Coca-Cola Company announced its decision to change the flavor of the company's flagship brand. This decision was made based on the fact that Pepsi consumer research discovered in blind taste tests that a majority of consumers preferred the taste of Pepsi to that of Coke (According to film shown in my first year of college). The Pepsi Challenge campaign made this public knowledge and Coke executives quickly moved to change America's top brand. New Coke came in a new can, with updated red and silver graphics replacing the traditional red and white look. Although taste tests of the New Coke had shown that majority of those tested preferred the new product, these tests could not gauge the emotional appeal of the old Coke. In other words, consumers want their cake and eat it too. A large public outcry ensued during the 79 days when old Coke was no longer on the shelves. Coca-Cola quickly reintroduced the old Coke when they realized market share was falling and christened it Classic Coke. Volume for the classic brand has risen 24 percent since 1984, making it the No. 1 soft drink in the land since 1987. Consumers became even more loyal to the brand after it was temporarily taken away from them.