TrendsJun 20, 2025
Piece of the Week: Yvonne Léon’s ‘Python Gold’ BraceletThe bracelet references vintage high jewelry and snake symbolism as a playful piece where a python’s head becomes a working belt buckle.
SurveysMar 28, 2018
Study: Young Consumers Are Demanding Loyalty from Brands
Here are four rules of loyalty from millennials and members of Gen Z, according to a recent survey from Alliance Data.
Columbus, Ohio--With technology providing so many options at their fingertips, millennials and Generation Z are looking at brand loyalty in new ways, according to a recent survey.
In its study, “The Rules of NextGen Loyalty,” Alliance Data looked at how Gen Z and millennials engage with brands and define loyalty.
The study, conducted by Alliance Data’s Analytics & Insights Institute, used a combination of qualitative and quantitative research methods to delve into what brand loyalty means for older millennials (those born between 1982 and 1989), younger millennials (born between 1990 and 1997) and Generation Z (born between 1998 and 2010).
Both generations have grown up with instant access to information and brands, which has greatly influenced their decision-making. Yet they haven’t abandoned the more traditional forms of engagement, and are finding ways to combine the digital experience with in-store visits, Alliance Data found.
Here are four rules of “NextGen” loyalty the firm discovered as a result of its study.
1. Loyalty is earned.
Because today’s younger consumers have so many options available to them with instant access to information online, they also can be more selective when it comes to where and how they shop.
They’re comfortable doing so both online and in-store and expect a consistent experience from brands across all channels.
According to the study, 63 percent of young consumers agree that since they have so many choices of where to shop, a brand must show them loyalty to earn their business.
For 43 percent of Gen Z, that means a brand must be accommodating to their needs. The same is true for 34 percent of younger millennials and 33 percent of older millennials.
Fifty-five percent of older millennials said they rarely purchase something different if they like a brand, and 53 percent of younger millennials and 51 percent of Gen Z said the same thing.
Brands need to recognize the unique motivations of Gen Z and millennials as the first step in building brand connectivity and earning their loyalty, Alliance Data said.
Price and quality are the top influencers for younger consumers when deciding among brands, but once those two factors are removed, selection and convenience are the most important factors.
Gen Z and older millennials also value consistency in product while younger millennials value rewards programs.
2. Loyalty is complex.
Loyalty has been viewed, traditionally, as one-dimensional.
But Alliance Data
found that consumer loyalty to brands falls within a range of characteristics, from functional to emotional, and said that a brand rethinking its approach to loyalty requires understanding that true loyalty comes from a combination of factors within the spectrum.
For all three age groups surveyed, trustworthiness, honesty and reliability are at the core of loyalty in general. But when it comes to brand loyalty, there are a number of other factors coming into play.
For millennials, it’s also based on rewards, quality, discounts, reliability and coupons, among other things. For Gen Z, brand loyalty is described by the terms quality, reliability, discounts, and rewards.
Other notable aspects popped up for all groups like helpfulness, free shipping and convenience.
3. Loyalty is fragile.
Younger consumers expect great service and a great experience across all channels, and if those expectations aren’t met, they won’t hesitate to take action and voice their opinion.
In fact, 76 percent of younger consumers only give brands two to three chances before they stop shopping with them. One in three consumers, meanwhile, said nothing could be done for a brand to win them back.
Alliance Data said that to keep these consumers happy, “remember that beyond price and quality, (they) expect good service and a great experience.”
Not surprisingly, the demographics surveyed are also heavily influenced by social media. Thirty-five percent keep up with the brands they like on social media. 34 percent of Gen Z members, 29 percent of younger millennials and 26 percent of older millennials said they are influenced by bloggers and YouTubers on what to purchase.
This means they’re also more likely to be influenced by reviews and posts about a brand, and also to express their pleasure (or displeasure) over an experience.
4. Loyalty is multifaceted.
Transactions and sales should no longer be the only measure of loyalty, since it is now a combination of both function and emotion.
Once more emotional elements are introduced by a brand—like shopping options that make consumers’ lives easier, offering exclusive products, or even factors like making personal recommendations or showing they are socially responsible—it then moves past traditional brand loyalty and into aspirational territory.
Alliance Data said brands need to understand customers’ unique needs and think differently about measuring loyalty, understanding some customers only require basic service elements, while others need more.
Being able to measure young consumers’ loyalty and how they’re prioritizing certain values can help differentiate consumers to better target and earn their business.
For all three age groups surveyed, trustworthiness, honesty and reliability are at the core of loyalty in general. But when it comes to brand loyalty, there are a number of other factors coming into play.
For millennials, it’s also based on rewards, quality, discounts, reliability and coupons, among other things. For Gen Z, brand loyalty is described by the terms quality, reliability, discounts, and rewards.
Other notable aspects popped up for all groups like helpfulness, free shipping and convenience.
3. Loyalty is fragile.
Younger consumers expect great service and a great experience across all channels, and if those expectations aren’t met, they won’t hesitate to take action and voice their opinion.
In fact, 76 percent of younger consumers only give brands two to three chances before they stop shopping with them. One in three consumers, meanwhile, said nothing could be done for a brand to win them back.
Alliance Data said that to keep these consumers happy, “remember that beyond price and quality, (they) expect good service and a great experience.”
Not surprisingly, the demographics surveyed are also heavily influenced by social media. Thirty-five percent keep up with the brands they like on social media. 34 percent of Gen Z members, 29 percent of younger millennials and 26 percent of older millennials said they are influenced by bloggers and YouTubers on what to purchase.
This means they’re also more likely to be influenced by reviews and posts about a brand, and also to express their pleasure (or displeasure) over an experience.
4. Loyalty is multifaceted.
Transactions and sales should no longer be the only measure of loyalty, since it is now a combination of both function and emotion.
Once more emotional elements are introduced by a brand—like shopping options that make consumers’ lives easier, offering exclusive products, or even factors like making personal recommendations or showing they are socially responsible—it then moves past traditional brand loyalty and into aspirational territory.
Alliance Data said brands need to understand customers’ unique needs and think differently about measuring loyalty, understanding some customers only require basic service elements, while others need more.
Being able to measure young consumers’ loyalty and how they’re prioritizing certain values can help differentiate consumers to better target and earn their business.
More on Surveys
The Latest
CrimeJun 18, 2025
7 Men Indicted in $100M Brinks Jewelry HeistThe heist happened in Lebec, California, in 2022 when a Brinks truck was transporting goods from one show in California to another.
AuctionsJun 18, 2025
Historic ‘Marie-Thérèse Pink’ Diamond Fetches $14M at Christie’sThe 10-carat fancy purple-pink diamond with potential links to Marie Antoinette headlined the white-glove jewelry auction this week.
Brought to you by
Investing in the Next Generation of Bench JewelersThe Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.
EditorsJun 18, 2025
Q&A: Caryl Capeci Dives Into Cruise Jewelry ShoppingThe Starboard Cruises SVP discusses who is shopping for jewelry on ships, how much they’re spending, and why brands should get on board.
Weekly QuizJun 20, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
AuctionsJun 18, 2025
16th-Century ‘Gresham Grasshopper’ Ring Sells for $56KThe historic signet ring exceeded its estimate at Noonans Mayfair’s jewelry auction this week.
CollectionsJun 18, 2025
Kirk Kara Celebrates 135 Years With New JewelsTo mark the milestone, the brand is introducing new non-bridal fine jewelry designs for the first time in two decades.
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.
SourcingJun 18, 2025
Gemfields Sells 36-Carat Rough RubyThe gemstone is the third most valuable ruby to come out of the Montepuez mine, Gemfields said.
TechnologyJun 18, 2025
Alex Brown Named President of Smithee GroupFounder and longtime CEO Ben Smithee will stay with the agency, transitioning into the role of founding partner and strategic advisor.
EditorsJun 17, 2025
The Best New Jewelry from Couture 2025, Part 1Associate Editor Natalie Francisco shares 20 of her favorite pieces from the jewelry collections that debuted at Couture.
ColumnistsJun 17, 2025
Peter Smith: Is Your Comp Plan a Hiring Hindrance?If you want to attract good salespeople and generate a stream of “sleeping money” for your jewelry store, then you are going to have to pay.
AuctionsJun 17, 2025
Colored Gemstones, Signed Jewels Shine in Sotheby’s High Jewelry SaleThe top lot was a colorless Graff diamond, followed by a Burmese ruby necklace by Marcus & Co.
MajorsJun 17, 2025
Amanda Gizzi Gets a Promotion at JAGizzi, who has been in the industry since 2001, is now Jewelers of America’s senior vice president of corporate affairs.
MajorsJun 17, 2025
Kering Names Automotive Exec as Its New CEOLuca de Meo, a 30-year veteran of the auto industry, will succeed longtime CEO François-Henri Pinault.
EditorsJun 16, 2025
Q&A: Bogolo Joy Kenewendo on Mining, Tariffs, and the Energy of Las VegasFollowing visits to Vegas and New York, Botswana’s minerals minister sat down with Michelle Graff to discuss the state of the diamond market.
IndependentsJun 16, 2025
Greenwich St. Jewelers Launches Commitment Campaign Celebrating LGBTQ+ CouplesThe “Your Love Has the Perfect Ring” campaign showcases the strength of love and need for inclusivity and representation, the jeweler said.
MajorsJun 16, 2025
Ivette Nersesyan-Stephanopoulos Joins Tiffany & Co.The former De Beers executive is the jewelry house’s new director of high jewelry for the Americas.
MajorsJun 16, 2025
Catbird Names WNBA Star Nyara Sabally as Its New Brand AmbassadorThe New York Liberty forward is the first athlete to represent the Brooklyn-based jewelry brand.
CollectionsJun 13, 2025
Piece of the Week: Robinson Pelham’s Pear EarringsTake a bite out of the 14-karat yellow gold “Fruits of Love Pear” earrings featuring peridots, diamond stems, and tsavorite leaves.
Events & AwardsJun 13, 2025
AGA to Host ‘Diamonds From Mine to Market’ Education ConferenceThe one-day virtual event will feature speakers from De Beers, GIA, and Gemworld International.
EditorsJun 12, 2025
15 Questions With Jewelry Photographer Ella SophieThe California-based creative talks jewelry photography in the modern era and tackles FAQs about working with a pro for the first time.
AuctionsJun 12, 2025
Vintage Patek Philippe From the ‘50s Sells for $4M at Sotheby’s Al Capone’s pocket watch also found a buyer, though it went for less than half of what it did at auction four years ago.
Events & AwardsJun 12, 2025
Gabriel Love Foundation Introduces Scholarship Honoring Elias GabrielThe foundation has also expanded its “Stronger Together” initiative with Jewelers for Children.
AuctionsJun 12, 2025
Former De Beers Exec Celine Assimon Joins BonhamsAssimon is the auction house’s new chief commercial officer.
EditorsJun 11, 2025
Q&A: Al Cook on Differentiating Natural Diamonds, Traceability, and TariffsThe De Beers Group CEO discusses the company’s new “beacon” program, the likelihood diamonds will be exempt from tariffs, and “Origin.”
MajorsJun 11, 2025
Pandora Bets on Las Vegas for First North American FlagshipThe Danish jewelry giant hosted its grand opening last weekend, complete with a Pandora pink roulette wheel.
