TikTok brand loyalty soars as Instagram and Facebook lose ground
- TikTok over the past year has seen a surge in brand loyalty, according to this year’s report Brand Key Loyalty Leaders Analysis shared with Marketing Dive. Of the 100 companies that made the list, TikTok fell from 21st to 5th place, while Facebook fell 17 places and Instagram dropped six.
- Topping the list is Apple, which jumped from second place last year and overthrew Amazon, which now sits in second place. Behind it are Domino’s, Disney+ and TikTok.
- Some brands are new to the list, including Moderna and Pfizer, Paramount+, Tesla, Beyond Meat, and Impossible Foods. The rise and fall of brands on the list represents a pivot in consumer priorities, many of which can be attributed to the pandemic.
Overview of the dive:
This year’s list of Loyalty Leaders in many ways reflects the challenges and opportunities businesses face amid shifting consumer interests due to economic uncertainty and the removal of privacy restrictions. pandemic.
TikTok, which has quickly become a social media darling, saw one of the biggest jumps on the list, up 16 spots from a year earlier. In many ways, TikTok laid the groundwork for both short videos and shoppable content, with others adopting similar features – for example, Facebook recently dropped its live shopping feature in favor of its shorter video format, Reels. YouTube has also incorporated similar features, and Instagram recently got noticed by users for following the Byte-Dance owned platform so closely.
Despite adopting similar models, YouTube fell five places to No. 21, Instagram fell six places to No. 15, and Facebook’s spot on the Loyalty Leaders list fell 17 places. leaving at No. 46. Meta, owner of Instagram and Facebook, experienced its first-ever drop in revenue in the second quarter of this year. Google, owner of YouTube, also fell two places. Alphabet, the parent company of the two, fell short of revenue expectations for the second trimester. Twitter fell nine places to No. 47, reflecting continued challengesincluding his Elon Musk-fueled drama.
As streaming becomes more and more popular, platforms are competing to retain consumers, and some seem to be doing better than others. Netflix fell five spots on last year’s list to No. 8. The Streamer recently started planning their ad-supported platform and in the second quarter, it reported fewer subscriber losses than expected, while losing 970,000 accounts. Highest ranked streamerDisney+, exceeded Wall Street expectations for the second quarter and takes third place on the Loyalty Leaders list, up three spots. Apple TV rose six places from the previous year to rank 14th.
New to the list, Paramount+ took the 51st spot. Launched in 2021, the platform has recently expanded its efforts to attract consumers and has partnered with Walmart as the official streaming platform for its Walmart+ loyalty program.
This is the 14th year that Brand Keys has surveyed brands, which this year totaled 1,624 brands and 142 categories and was conducted in August. Among the categories, retail brands represent almost a quarter (22%) of its loyalty leaders. Behind are food and beverages (16%) and technology (13%).
Many changes to the survey reflect overwhelming consumer fear of a recession. This year, Costco rose 18 places to No. 50 and Sam’s Club rose 16 places to No. 53, representing a possibility that some may find more value buying in bulk for fear of supply shortages. supply and rising costs. Dollar Tree rose 11 places to 63rd place, and fast food chain McDonald’s rose 17 points to 55th place. ), signaling interest in electric vehicles, and Beyond Meat debuted (#82) while Impossible Foods came in at #90.
Pandemic-fueled changes are also visible, with COVID-19 vaccine makers Moderna and Pfizer making the list for the first time at points 39 and 6, respectively — a crushing nod to widespread health concerns. Clorox and Purell fell 41 and 52 places, respectively, a sharp decline that likely correlates to an ease in pandemic restrictions.