Are streaming video users just one bad binge away from going elsewhere? Some new research from Washington, D.C.-based Morning Consult says it depends on the age of the consumer.
But, surprise: In this instance, it’s the older demographic that has the least brand loyalty, a flip on the old marketing idea that older consumers usually stay put.
Morning Consult says younger streamers are more loyal: 60% of Gen Z and 59% of millennials consider themselves loyal to one subscription video-on-demand (SVOD) service or the other. That compares to 47% of Gen X and 41% of baby boomers who profess that kind of devotion.
That loyalty continues when the subject is smartphone brands, also studied by Morning Consult. With some deviation, younger users are more loyal than older ones.
Morning Consult’s consumer survey reveals that among all customers, a streaming service that “works well and is reliable” is more of a loyalty draw (68%) than a streaming service that has bountiful content (64%).
It also seems streaming price increases aren’t too risky if the price increase is low, but there’s a narrow curve. Morning Consult says 15% are “very likely” to cancel and 11% “somewhat likely” if the price increase is $1-$2 a month. But 20% are “very likely” and 31% “somewhat likely” to bolt if the increase is $3-$5 a month, meaning that potentially a service risks losing half of its subscribers with a higher monthly rate.
Rate increases of $6-$10 and above are deadly: 49% would likely quit, and 28% say they would be somewhat likely to cancel, too.
The Morning Consult survey lumps together a few disparate consumer loyalty gauges, ranging from the overall brand with the most loyalty (Walmart beats Amazon) to loyalty in the consumer health and beauty packaged goods area, and smartphones.
It determined, for example, that 66% of consumers are loyal to one brand of smartphone. For millennials and people who make more than $100,000, it’s an overwhelming factor: 75% in both of those groups say they are loyal to one brand. But Gen Z loyalty to a smartphone brand, at 67%, is significantly less than their slightly older millennial buddies. And Gen X smartphone users are also less loyal, at 66%.
Overall, 65% say the operating system is a very important smartphone feature; 64% say storage space; and 55% say the camera quality.
A consumer’s cell phone carrier engenders the most loyalty of any kind of consumer-facing business: 69% are loyal to their provider, ahead of their bank (68%) and tobacco (63%).
Heading over to the consumer packaged goods area, curiously (or not), 61% of deodorant consumers say they are loyal to a brand, and 46% of them say they will seek out their preference even when there are good alternatives. No other personal care item -- from toothpaste to shaving cream -- has such loyal customers.