Prezzee: UK consumers loyal to stores brands with physical experiences and rewards key factors

UK consumers are nearly 50% more loyal to stores than the brands they buy, with in-store experiences and meaningful rewards driving long-term customer commitment.

That's according to research from Prezzee, which involved a survey of 5,000 Brits. The study found that 47% are loyal to the retailers they shop with compared to just a third that consistently purchase the same brands (33%).

The trend is most pronounced among older consumers, with 50% of over-55s expressing store loyalty versus only 22% being brand loyal. In contrast, millennials (aged 25-34) reverse the trend, being the only age group more loyal to brands than stores (47% vs 42%). 

When considering what impacts loyalty, customer service is key. 54% of consumers say poor service erodes their trust, followed by a drop in product or service quality (46%), increased prices (38%) and negative publicity (24%).

Only a small fraction (6%) of consumers report feeling a stronger sense of loyalty towards specific brands when making purchases online, potentially due to the vast array of choice. Factors beyond brand affiliation, like convenience are most pertinent and free delivery (36%) is preferable to fast (27%).

In contrast, the traditional bricks and mortar experience fosters stronger brand allegiance for a considerable segment of the population. 32% of British shoppers indicate that they are more loyal to brands when they shop in physical stores. Direct interaction with products, personalised customer service, and the overall sensory engagement contributes to the stronger brand connection.

Brands and stores should also show loyalty to their customers. The top three schemes to incentivise loyalty were: reward points, offers with direct monetary value, for instance ‘£5 off when you spend £15’, and a flat discount voucher such as ‘£10 off’. Other effective methods of gaining loyalty included repeat purchase cards, free gifts and partner rewards. 

James Malia, European President and Head of Growth at Prezzee, comments: “Loyalty cannot be a one way street. If a consumer is going to stay with the same store or brand, they need to be rewarded and incentivised to do so. Convenience can take you so far, but these findings underscore the complex and evolving nature of consumer loyalty in the contemporary retail landscape." 

“The message is clear: brands and retailers must balance competitive pricing with in-store experience and tailored rewards that go beyond a one size fits all approach. Those who offer compelling reasons for customers to return - especially through store experiences - will be best positioned to foster lasting loyalty.”

2025 RTIH INNOVATION AWARDS

Physical stores will be a key focus area at the 2025 RTIH Innovation Awards.

The awards, which are now open for entries, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.