How brands respond to Covid-19 could impact loyalty, study finds

By Becky Bargh | Published: 21-May-2020

New data compiled by Bazaarvoice and Influenster found brands risk losing customers if they fail to respond to the crisis

A new study has found brands could be at risk of losing customer loyalty if they fail to respond appropriately to the coronavirus pandemic.

According to new data compiled by Bazaarvoice and Influenster, 70% of global respondents agreed a brand’s response would impact their loyalty.

More than half said they would be less likely to trust a brand that fails to protect the wellbeing and financial security of their employees during the pandemic.

Meanwhile, almost 40% admitted to recently starting to use a new brand because of the way they’ve responded to the crisis.

Speaking to Cosmetics Business Bazaarvoice’s Senior VP of Marketing, Suzin Wold, said: “Brand trust is increasingly a key factor in shopper decisions, and beauty businesses face a significant challenge when it comes to offering convenience and low prices while building deeper, trusted relationships and engaging in meaningful conversation.

“The Covid-19 pandemic has only accelerated the shift to interactions moving online with brands needing to think smartly about how they build trust and meaningful engagement at a time when shoppers may never set foot in a store or visit a beauty counter to interact with a human representative.”

Since the coronavirus pandemic gripped the world, the beauty sector has rallied to aid charities and organisations in need, and backed the global effort to support healthcare workers.

But in the midst of the positivity, Jeffree Star’s new Cremated eyeshadow palette, with shades including RIP, Life Insurance and Inheritance, was described as “tone deaf” by consumers who were offended by the funeral-themed line’s introduction in the midst of the pandemic.

In response, Star defended the collection via social media.

He wrote: "It’s allowed to be interpreted any way that anyone wants to take it but I always come from a good place and this palette is fucking sickening.”

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