• by Sarah Mahoney , Yesterday

Consumer loyalty is getting harder to earn — and easier to lose. That’s the major finding from Brand Keys’ new Customer Loyalty Engagement Index, which recorded the sharpest jump in consumer expectations in nearly 30 years, reshuffling top brands across dozens of categories.

The brand research consultancy has published its loyalty index annually since 1998, and Robert Passikoff, founder and president, says this is a year of unexpectedly big changes. Consumer expectations rose 32% year-over-year, the largest single increase in the survey’s history. That spike is already transforming competitive dynamics, with 40% of product and service categories now having new No. 1 loyalty leaders.

“This year marks a historic moment,” said Passikoff in the announcement. “Expectations are rising faster than brands are improving. Consumers want more from brands across every touchpoint, and they reward brands that deliver. Long-time loyalty leaders are being challenged by brands that better anticipate and deliver what matters most to consumers.”

Long-time category champions certainly remain: Discover has led credit cards for 28 years, Domino’s the pizza category for 22 years, and Dunkin’ for out-of-home coffee for 20. AT&T Wireless has held the top spot for 17 years, and Amazon for 15.

But familiarity no longer guarantees leadership. The index suggests cultural relevance and category-specific expectations are now more decisive than legacy, with each of the categories defined by four different drivers, Passikoff tells Marketing Daily. In airlines, for example, where JetBlue has pushed Delta from its perch, consumers have the highest expectations for what Brand Keys calls “easing the effort,” which includes things like in-flight service, catering and snacks or “no nit-picking pricing” regarding carry-ons and checked bags.

In athletic footwear, consumer demand for “fit and comfort” increased nearly 35%, allowing Skechers to kick Nike aside. And in ice cream, people had high expectations for “flavor range and mix,” tied with “immediate and personal gratification.” As a result, Ben & Jerry’s displaced Häagen-Dazs.

Other upsets include Google Drive nudging Dropbox aside, Estée Lauder replacing Lancôme, and Booking.com beating out Expedia.

Brand Keys also strengthens the financial argument for investing in loyalty, positioning it as the most reliable predictor of future revenue and profitability. The new dataset shows retention costs are still dramatically lower than acquisition (by between 17–25 times), and a 5% lift in loyalty can yield up to 88% higher lifetime customer profits. Passikoff’s bottom line: Loyalty continues to “move markets,” producing significantly more repurchase and brand amplification behavior.

The shift matters for marketers because it expands what “loyalty” means. Awareness and satisfaction are now considered table stakes; emotional alignment, value fit, and frictionless delivery are what drive retention. Passikoff frames it as a new loyalty paradigm, one in which brands that fail to match rising consumer expectations risk being overtaken quickly — even in historically stable categories.