Razorfish Uncovers "The Fragile Nature of Loyalty” In New Study
The report reveals how brands can build loyalty that is practical and enduring
NEW YORK: November 4, 2025 — Razorfish, the premier connected agency, released a new study today on what truly earns consumers’ loyalty. The GWI research, commissioned by Razorfish, reveals the fragile, conditional, and often misunderstood nature of loyalty, examining the evolving dynamics of consumer allegiance and the factors that erode it.
“Marketers often idealize loyalty as a form of emotional devotion, but our research shows it’s driven by far more practical factors—convenience, product performance, and situational need,” said Nic Chidiac, Chief Strategy Officer at Razorfish.
What’s love got to do with it? Not a lot. 65% of marketers believe repeat buyers return because of their love for the brand/company. In reality, love for a brand may not be enough of a driving force for consumers to remain loyal. Across categories such as groceries (23%), streaming platforms (20%), or hotels (17%), less than a quarter of respondents agree love for a brand is a major motivator for repeated purchases.
Loyalty programs still matter, when they are useful. Consumers actively participate in the programs they are a part of, with the goal of receiving points and rewards for their loyalty (57%). For 45% of respondents, the benefits of loyalty programs have become more valuable than they used to be. However, satisfaction surrounding some programs falls short.
AI that looks like AI unsettles brand loyalty. While the topic of AI and brand usage is incredibly nuanced, 37% say it has a negative impact, 38% say it has no impact, and 24% say it has a positive impact. However, when asked if they are able to identify when AI is being used in advertising content, less than two-thirds of respondents could tell.
Soft benefits take center stage. While discounts and points still motivate participation, softer perks—like exclusivity, early access, and VIP treatment—rank among the strongest loyalty drivers across generations, while also promoting brand health. Exclusivity is important, with 30% of respondents wanting access to limited edition drops, while 28% are interested in invitations to exclusive events or content.
True loyalty grows in moments of vulnerability. While many brands focus on celebrating milestones, consumers are also signaling a desire for support during life’s inflection points. 66% of respondents would rather a hotel let them check in early after a red-eye flight than receive an upgrade during their honeymoon.
“In an AI-enabled and hyper-fragmented marketplace, the traditional levers of loyalty are eroding as alternatives multiply and the cost to switch brands declines,” said Ryan Warren, Chief CRM Officer at Razorfish. “Brands that recognize this shift and focus on the real, functional drivers of repeat behavior will be best positioned to foster relationships that are built to last.”
To learn more about the research, visit here.
Methodology
Razorfish partnered with research company GWI to conduct quantitative interviews exploring U.S. consumers' attitudes toward brand loyalty across various industries, including grocery, credit card, banks, mobile providers, streaming platforms, quick-service restaurants, insurance, ride-hailing apps, mobile, and coffee shops. The survey commenced on June 19, 2025, and concluded on July 2, 2025, with participation from 2,000 respondents across four generations––Gen Z, Millennials, Gen X, and Baby Boomers.
About Razorfish
Razorfish is the global leader in helping brands deliver on the promise of marketing transformation. A digital pioneer since the dawn of the internet, the agency has a 30-year track record of reinvention. Today, it solves marketing transformation challenges at scale by aligning strategy and execution, balancing long-term vision with short-term imperatives, leveraging a deep understanding of emerging technology like generative AI, breaking down silos, and investing in research and development. Recognized back-to-back years as a 2024 and 2025 Most Innovative Agency by Campaign US, Razorfish is shaping the next thirty years of innovation within the marketing industry.
Media Contacts:
Talia Firenze, Razorfish
862.686.7790
talia.firenze@razorfish.com
