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CE Consumers Show Stronger Than Expected Brand Loyalty

New consumer research from Parks Associates reveals 71 percent of CE buyers in 2015 considered only one brand when making their purchase.

According to 360 View: CE Adoption & Trends, price and product quality are important factors, as 15 percent of CE buyers considered only one brand due to price and 10 percent considered only one brand due to product quality, but brand itself was the dominant factor in these noncompetitive purchases. Nineteen percent of CE buyers considered only one brand when buying because of their preference for that brand.

“Building brand mindshare early is critical so that consumers associate your brand with a category of products,” said Barbara Kraus, director of research, Parks Associates. “Consumers generally begin the purchase process with preconceived notions that have an enormous impact on the final purchase decision. CE manufacturers need to establish their brand early with an emerging product category so that consumers equate a product with that brand when they plan to make a purchase.”

The report provides a comprehensive analysis of consumer electronics purchase habits of U.S. broadband households, including smart watches, computers, streaming media players, gaming consoles, robotic floor cleaners, wearable cameras, drones and emerging devices. The research also provides market trends for CE devices, including new form factors and usage patterns. Additional research from the report shows:

• Devices with the least competitive decision process are tablets, smartphones, and gaming consoles, with 75-80 percent of these device buyers not considering other brands when shopping.

• Device categories with the most competitive decision process are connected audio systems, virtual reality headsets, headphones, and smart watches, with 34-52 percent of these device buyers not considering other brands before making their final purchase.

“Certain brands have established a loyal customer base that purchases products without considering other options,” Kraus said. “Apple has cornered the market for CE shoppers when it comes to smartphones and laptops. For example, 42% of those buying an Apple laptop reported they only considered one product because of brand. By comparison, just 18% of those buying HP laptops settled on a product in advance because of a brand preference.”

More information about this 360 View is available at