Brand loyalty: Grape Nuts, Burger KingBy Tom Dougherty
Brand loyalty: Grape Nuts, Burger King
You’d have trouble finding two brands as dissimilar as Grape Nuts and Burger King. But both serve as interesting test cases in brand loyalty.
Post announced that Grape-Nuts will be back on the shelves next month. Bringing cheers from its loyal fans.
Burger King announces a loyalty program that’s doomed to fail.
What’s the difference?
Let’s look at the brand loyalty of Grape-Nuts first. The cereal has been missing from groceries because of shortages of its wheat and barley product. The brand says supply-chain constraints and a higher demand for cereal during the pandemic led to those shortages.
So, for months, fans cried on social media that they weren’t getting their daily fix. Some were even shelling out high prices for boxes from sources like eBay while the shortage continued.
“The lesson is that tactics alone don’t create preference. Meaning creates that. Just saying brand loyalty doesn’t mean you have it.”
Just saying you have brand loyalty doesn’t mean you have it
Why the loyalty? First, I’m not so sure the loyalty is as widespread as some think. Many cereal brands are seeing an uptick in sales during the pandemic. But it’s a false positive. It’s just because so many of us are now working from home that the on-the-run options are less coveted.
And I think the Grape Nuts crowd is simply the outraged few. However, brand loyalty became more acute when the cereal wasn’t available. Scarcity can be a reason for preference. We all want what we cannot have.
Or, as Groucho Marx said, “I don’t want to belong to any club that will accept me as a member.”
Speaking of which. Why would anyone want to be a member of the Burger King club? It’s the most confusing brand in fast food. It doesn’t know what it stands for. It has a burger in the name. But keeps trying to generate brand loyalty with a revolving menu of non-burger options. It takes no stand.
The Grape-Nuts brand stands for the original health cereal. Having been around since the 1890s and preferred by Edmund Hillary. For those who cherish that legacy, Grape-Nuts is preferred. Especially when its availability remains scarce. I would expect a big bump for Post when Grape Nuts returns. Then sales will return to normal.
Burger King? My god, it remains the antithesis of brand loyalty. In order for you to be loyal to a brand, that brand must first, you know, be a meaningful brand.
The lesson is that tactics alone don’t create preference. Meaning creates that. Just saying brand loyalty doesn’t mean you have it.
Understanding Market Maturity Understanding Market Maturity. It May Be A Hidden Mature Market Think about market maturity. The TV set market would seem to be the last market to be described as immature. After all, television has been a significant part of our lives...
BlackBerry Failed. Marketing lessons to be learned. The world truly changed in 1999. We saw Europe introduce the Euro. Then, the tragedy at Columbine, the world was dealing with Kosovo and SpongeBob SquarePants debuted. But the world also saw a revolution in...
The Microsoft Surface ad still doesn’t get it The newest Microsoft Surface ad aims to replicate the brilliant I’m a Mac I’m a PC ads from years ago. You remember those spots. Starring Justin Long and John Hodgman, they compared the brands as personalities. Watching...