A recent study revealed that 83 percent of UAE respondents consider themselves loyal to a specific brand, earning the country the highest loyalty ranking globally. This year's international SAP Emarsys Customer Loyalty Index marked the UAE's first appearance in the survey, pushing the US to second place with a loyalty score of 69 percent.
UAE respondents also showed a notably positive attitude towards artificial intelligence (AI), which SAP Emarsys analysts believe is a crucial factor behind the high loyalty levels. AI facilitates the creation of more personalized omnichannel experiences, helping brands nurture loyal customers.
The survey also highlighted key drivers of loyalty among UAE consumers. High loyalty drivers include consistent branding (44 percent), brand longevity (30 percent), market leadership (30 percent), and trending products on social media (29 percent). On the flip side, poor customer service (56 percent), increased prices (55 percent), and a drop in quality (46 percent) were the most significant negative impacts.
Interestingly, younger generations in the UAE exhibited stronger brand loyalty compared to older generations, unlike in other regions. This trend underscores the importance for brands to focus on cultivating loyalty among younger consumers, engaging them early and consistently.
Marwan Zeineddine, Managing Director of SAP UAE, emphasized that loyalty significantly impacts business objectives but is evolving. In 2024, AI will empower marketers to create connected experiences, making it easier for consumers to explore various platforms and reducing the barriers to spending elsewhere.
SAP Emarsys leveraged AI to optimize the entire marketing process, from customer segmentation to campaign execution and performance analysis. AI identifies profitable, underserved audience segments, enabling highly targeted campaigns delivered at the right time and through the most effective channels.
Recognizing the importance of an omnichannel marketing strategy, global brands are creating personalized, two-way conversations. This approach helps brands better predict customer needs and deliver meaningful rewards for sharing information.
Marketers are increasingly using AI to foster long-term loyalty and reach new audiences. According to SAP Emarsys research, 85 percent of marketers believe AI will be crucial for boosting customer engagement in 2024, and 80 percent have already seen increased engagement after implementing AI-powered personalization.
Sara Richter, Chief Marketing Officer at SAP Emarsys, noted that consumers expect more than 'business-as-usual' and demand meaningful experiences. AI is the only practical solution for providing genuine one-to-one interactions at scale, helping brands stay competitive.
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