Following on from the announcement that package holiday brand Thomson is changing its name to TUI after 52 years, onbuy.com carried out a survey of 1,063 consumers to find out what is in a name.
The research revealed that a huge 71% of consumers felt that it was important that they recognise a brand before they make a purchase – showing that there is value in familiarity. And this doesn’t just work for buyers – Reuters claim that 82% of investors consider brand strength and the recognition of the name as one of the most important factors in making investment decisions.
Believe that trust is the key to loyalty when it comes to retail? We’ve got fascinating survey results to back you up.
Choose a great brand name and you have the opportunity of making it synonymous with your product or service – how often do you say you’re going to ‘hoover’ or asked for a ‘Post-It note’ or ‘Sellotape’?
Sometimes of course, a business needs to change its name – and you can read more about the legal rights of your business name here – but according to onbuy.com’s findings, this is the ‘equivalent of pressing the reset button’. A quarter of consumers surveyed said they were less likely to buy from a brand that had recently changed its name. It has an effect on the trust the customer has with the brand.
It’s not always bad to undergo a bit of a refresh though – 31% of buyers felt that more brands should take the time to renovate their image to bring it up to date. Marks and Spencer was one of the most common examples used to illustrate their point.
It is reported than it can be 500% more expensive to convert new customers, and 82% of new businesses have state that loyal customers are the main way they grow their business. For bridalwear retailers, the concept of a loyal customer is a little different as you can’t rely on their return business – but you can use their glowing testimonials as part of your branding and use it to build on your brand awareness.
Designers and manufacturers need to ensure they cherish their long-standing relationships with retailers to build brand trust and loyalty.
Want to explore more? Check out these 10 ways to guarantee success at your bridal boutique.