Highlights. Most retail business (65%) comes from loyal customers, who spend 67% more on an average purchase than new customers do.

  • Upwards of 80% of Americans are loyal to at least one brand; worldwide, 74% of consumers claim brand loyalty.
  • 75% of global consumers would switch brands for a loyalty program with better rewards.
  • A 5% increase in customer loyalty increases profits 25%–95%.
  • The average U.S. consumer is enrolled in 18 loyalty programs with a 50% active participation rate.

Bar Graph: consumer Loyalty Drivers for Product Brands according to KPMG

Brand Loyalty Value Statistics

Customer retention is less costly and more lucrative than attracting new customers; the average consumer retention rate in retail is 63%.

  • Brand loyal customers are worth an average of 2.5 times more revenue than new or future customers.
  • Worldwide, brand loyalty drives corporate revenue 120% above average.
  • In the United States, brand loyalty offers the biggest boost in the retail banking industry, increasing corporate growth 290% above the industry average.
  • Over 10 years, brand-loyal customers boost shareholder returns between two (2) and five (5) times.

Bar Graph: Consumers' Preferred Loyalty Program Benefits according to Statista

Top Drivers of Brand Loyalty

Customer service is a critical driver of brand loyalty; many consumers actively avoid brands with poor customer service.

  • 89% of U.S. consumers favor brands that share their values.
  • 83% of American consumers consider good customer service the most important factor in brand loyalty.
  • To earn their loyalty, 82% of consumers want a brand or retailer to have a range of product options and availability.
  • 80% of consumers are loyal to brands with strong data privacy practices.
  • 79% of consumers actively purchase from brands that demonstrate understanding and care for their customers.
  • Trustworthiness and transparency were the most important brand traits to 60% of consumers in 2022, up 9.09% YoY (from 55% in 2021).
  • 56% of consumers claim more loyalty to brands that “get” them.
  • 54% of U.S. consumers are loyal to at least one brand because it takes a public stance on a social issue(s).

Bar Graph: How Consumers Show Brand Loyalty according to PwC

Brand Loyalty Program Statistics

Most loyalty program members (64%) adjust their spending to get the most out of program rewards.

  • 70% of U.S. consumers are loyal to brands that offer loyalty programs or rewards.
  • 81% of free loyalty program members buy from the brand more frequently, and 76% spend more.
  • 62% of consumers participate in brand loyalty or rewards programs based on brand values.
  • In 2024, 93% of loyalty program members earned or redeemed a reward over the past six months. 
  • 48% of consumers in loyalty programs participate to receive discounts. 
  • 78% of loyalty program members are more likely to buy from other brands or businesses that offer reward programs.
  • 72% of loyalty program members say they are more likely to recommend brands with good loyalty programs.
  • 52% of program members are “very satisfied” with the loyalty programs they use.
  • 59% of loyalty program members do not use their memberships to shop weekly.

Paid Loyalty Programs

79% of consumers participate in at least one paid brand loyalty program in 2024.

  • 27% of consumers belong to four or more paid loyalty programs.
  • 70% of consumers paid for a loyalty program in 2024, up 32.1% YoY (from 53% in 2023).
  • 82% of members in a paid loyalty program purchase from the brand more frequently, a 1.23% higher rate than free program members. 
  • 78% of consumers spend more with the brand when they belong to a paid loyalty program, a 2.63% higher rate than free program members. 
  • After joining a paid loyalty program, 61% of members talk about the brand more often, and 51% engage with the brand outside of purchasing.
  • 27% of paid loyalty program members joined to receive consistent discounts.

Consumers Willing to Share Personal Data with a brand or business according to PwC

Brand Abandonment Statistics

Many brand-loyal U.S. consumers would abandon their favorite brand(s) under one or more certain circumstances.

  • In one 12-month period, 26% of U.S. consumers deliberately stopped using a brand or business.
  • 37% of U.S. shoppers have stopped using a consumer goods brand or business after a bad experience with products or services.
  • 18% of American consumers have stopped using a brand or business in order to support a social or political cause.
  • For 8% of consumers, one (1) bad experience is enough to make them stop buying from a brand or store.

Pie Chart: Share of Consumers Loyal to Brands They Don't Trust according to Statista

Global Brand Abandonment Statistics

Brand loyalty (and brand abandonment) is a worldwide phenomenon.

  • Worldwide, 35% of consumers would switch brands if one they’re loyal to declines in quality.
  • 33% of global consumers leave a favored brand due to irrelevant offers and promotions.
  • 27% of consumers abandon brands for a lack of product availability (online or in-store).
  • A lack of product options and poor customer service each drive 25% of brand abandonment.

Bar Graph: Why Consumers Abandon Brands according to PwC

Brand Loyalty eCommerce Statistics

Brand loyalty tends to increase spending among online consumers among online consumers.

  • Online brands and retailers retain an average of 38% of their customers.
  • The e-commerce brand with the highest retention rate is Amazon at 90%.
  • Repeat customers spend 67% more in their third year than they did in their first six (6) months with an online apparel brand or business.
  • Compared to their first purchase from a brand or business, the average online clothing shopper spends 40% more on their fifth purchase and 80% more on their 10th purchase.
  • Among grocery shoppers, third-year repeat online customers spent 23% more than online customers of six (6) months or fewer.

Grouped Bar Graph: Why Consumers Abandon Retailers according to PwC

Brand-Loyal Consumer Statistics

Most U.S. consumers have some kind of brand loyalty.

  • Worldwide, 86% of brand-loyal consumers recommend a favorite brand to friends or family.
  • 66% of brand loyal customers write a positive online review following a good experience.
  • 52% of global consumers go out of their way to buy from brands they’re loyal to.
  • 51% of brand-loyal consumers in the U.S. will prioritize buying from their preferred brands or stores.
  • 48% of American consumers participate in their favorite brands’ loyalty programs.
  • 29% of U.S. consumers have a brand or retailer credit card that gives them rewards.
  • 25% of U.S. consumers provide feedback on products or services.
  • 16% of consumers only buy from or use their preferred brands.
  • 15% of consumers subscribe to their favorite brands’ marketing communications (such as emails or texts).
  • 13% of consumers do not consider price when shopping with their favorite brands or retailers.
  • 12% engage with their favorite brands on social media.

Bar Graph: Preferred Loyalty Program Benefits according to PwC

Brand-Loyal Consumer Data

Most consumers are willing to share a limited amount of personal information with retailers or favorite brands.

  • 48% of consumers are willing to share some personal information with retailers in general.
  • 82% of brand-loyal consumers would share some type of personal data with a favorite brand in exchange for a better customer experience.
  • 61% of brand-loyal consumers are willing to share their email addresses.
  • 48% of brand-loyal consumers are willing to share their age and birthday.
  • 45% of brand-loyal consumers are willing to share their sex or gender identity while 37% are willing to share their race or ethnicity.
  • 58% of consumers are likely to respond to personalized messages or marketing material from brands.
  • 18% of consumers report that personalization is important for keeping them loyal to a brand.

Grouped Bar Graph: Preferred Retail Loyalty Progam Benefits according to PwC

Brand Loyalty Among Generations

Younger consumers are more likely to consider a brand’s public stance on one or more social issues.

  • Among generations, Gen Z (shoppers born between 1996 and 2012) is the most likely (39%) to try new brands.
  • Gen Z is also the most likely (32%) to have abandoned a brand over a 12-month period.
  • Millennials (consumers born between 1981 and 1995) are the most likely (20%) to buy exclusively from a preferred brand.
  • Baby Boomers (born between 1946 and 1964) are the least likely (23%) to have abandoned at least one brand over a 12-month period.
  • Millennials are 278% more likely than Boomers to increase their spending on a product brand when they are members of the brand’s loyalty program.

Grouped Bar Graph: Changing Brand Loyalty by Generation according to Statista

Generation Z Brand Loyalty

Gen Z is the most likely to be flexible with brand loyalty and to interact with brands online.

  • 62% of Gen Z consumers recommend their favorite brands or retailers to friends or family.
  • 58% of Gen Z consumers are loyal to brands that publicly take a stand on social or political issues.
  • 55% of Gen Z consumers mostly buy from preferred brands but will use others under certain circumstances.
  • 17% of Gen Z consumers only buy from their preferred brands or retailers.
  • 48% of Gen Z consumers participate in a preferred brand’s loyalty program.
  • 24% of Gen Z consumers engage with their favorite brands or retailers via social media. 
  • Compared to the average consumer, Gen Z shoppers are 33.9% more likely to have abandoned at least one brand or business over 12 months. 
  • Gen Z shoppers are 49.9% less likely to have a brand or retailer credit card and are 82.6% more likely to subscribe to a brand’s product or service.
  • Gen Z shoppers are 42.1% more likely than the average consumer to share personal information with their favored brand or retailer.
  • 74% of Gen Z consumers are more likely to be loyal to a brand with a mobile app, a 17.5% higher rate than consumers of all generations.

Millennial Brand Loyalty

Millennials have increased their relative buying power compared to pre-pandemic.

  • 58% of Millennial consumers are loyal to brands that publicly take a stand on social or political issues.
  • 55% of Millennial consumers recommend their favorite brands or retailers to friends or family.
  • 47% of Millennial consumers mostly buy from preferred brands but will use others under certain circumstances.
  • 20% of Millennial consumers only buy from their preferred brands or retailers.
  • 49% of Millennial consumers participate in a preferred brands’ loyalty program.
  • 20% of Millennial consumers engage with their favorite brands or retailers via social media. 
  • Compared to the average consumer, Millennials are 5.27% more likely to have abandoned at least one brand or business over 12 months. 
  • Millennials are 10% more likely to have a brand or retailer credit card and 28.6% more likely to subscribe to a brand’s product or service.
  • Millennials are 42.1% more likely than the average consumer to share personal information with their favored brand or retailer.
  • 68% of Millennials are more likely to be loyal to a brand with a mobile app, a 7.94% higher rate than consumers of all generations.

Generation X Brand Loyalty

Shoppers born between 1965 and 1980 are also referred to as “Generation X” or Gen X.

  • 50% of Gen X consumers are loyal to brands that make public statements about social or political issues.
  • 53% of Gen X consumers recommend their favorite brands or retailers to friends or family.
  • 53% of Gen X consumers mostly buy from preferred brands but will use others under certain circumstances.
  • 17% of Gen X consumers only buy from their preferred brands or retailers.
  • 49% of Gen X consumers participate in a preferred brand’s loyalty program.
  • 11% of Gen X consumers engage with their favorite brands or retailers via social media. 
  • Compared to the average consumer, Gen X is 5.3% more likely to have abandoned at least one brand or business over 12 months. 
  • Gen X consumers are just as likely to have a brand or retailer credit card and 5.9% more likely to subscribe to a brand’s product or service.
  • Gen X consumers are just as likely as the average consumer to share personal information with their favored brand or retailer.

Baby Boomer Brand Loyalty

These consumers are the most likely to use a retailer credit card and the least likely to engage with brands on social media.

  • 45% of Baby Boomer consumers are loyal to brands that publicly address social or political issues.
  • 45% of Baby Boomers recommend their favorite brands or retailers to friends or family.
  • 52% of Boomers mostly buy from preferred brands but will use others under certain circumstances.
  • 12% of Boomers only buy from their preferred brands or retailers.
  • 44% of Boomers participate in a preferred brands’ loyalty program.
  • 3% of Boomers engage with their favorite brands or retailers via social media. 
  • Compared to other consumers, Baby Boomers are 15% less likely to have abandoned at least one brand or business over 12 months.
  • Boomers are 15.2% more likely to have a brand or retailer credit card and 51.7% less likely to subscribe to a brand’s product or service.
  • 69% of Baby Boomers do not use any type of retail subscription service.
  • Boomers are 41.9% less likely than the average consumer to share personal information with their favored brand or retailer.
  • 90% of Baby Boomers favor brand loyalty programs that are easy to use and that offer financial rewards.

Global Brand Loyalty Statistics

Australia saw more consumer loyalty program participation in 2019 than any of the top three (3) North American retail markets.

  • In North America, Canada had the highest percentage of consumers who regularly made purchases and earned rewards from loyalty programs (56%).
  • U.S. consumers had a 42% loyalty program participation rate in 2019.
  • Mexico, the third-largest North American consumer market, had a 39% loyalty program participation rate.
  • Australia had the largest share of loyalty program participants among its consumers (61%) compared to other countries in the English-speaking world.

Sources

  1. Deloitte, Evolving Trends in Brand Loyalty and Consumer Behavior
  2. Statista, Brand Loyalty
  3. PwC
  4. MoEngage, Average Customer Retention Rate by Industry
  5. Bond, The Loyalty Report: Executive Summary
  6. Bain & Company, Insights
  7. Harvard Business Review
  8. Forbes, New vs. Repeat Customers: Where Should You Focus Your Marketing?
  9. Zendesk, Customer Experience Trends Report
  10. Adobe, Study: Majority of People More Loyal to Brands That Care About Them
  11. KPMG, The Truth About Customer Loyalty
  12. Merkle, 2024 Loyalty Barometer Report