70+ Customer Loyalty Statistics Every Brand Should Know [2025 Update]

In today’s noisy marketplace, customer loyalty isn’t just a “nice-to-have”—it’s the secret weapon behind sustainable growth. 

Did you know that loyal customers are 5x more likely to repurchase, 4x more likely to refer friends, and 7x more likely to try a new offering from your brand?

As acquisition costs rise, brands that invest in retention see far greater returns. In fact, if you increase customer retention by just 5%, you can boost profits by up to 95%.

So, whether you wish to make a loyalty program or simply want to understand what drives customer stickiness in 2025, these up-to-date customer loyalty statistics will help you stay ahead.

Generational loyalty patterns

Who do you think is more loyal to their favourite brands? 

It is to be noted that 73% of millennials are loyal to their preferred brands. This is the highest percentage among all generations.

While 66% of Gen Z consumers show brand loyalty, Gen X and Baby Boomers each exhibit 68% loyalty.

81% of millennials say that when they joined a loyalty program, it increased their spending with that brand.

Gen Z is more likely to leave a brand if it doesn’t align with their values (59%).

Loyalty program adoption & effectiveness

If you still have doubts about the importance of loyalty programs, know that the members of a loyalty program contribute 12–18% more revenue annually. 

70% of consumers say loyalty programs are a key factor in their buying decisions. And 84% of consumers are more likely to stick with a brand that offers a loyalty program. 

Global customer loyalty management market projected to hit $24 billion by 2028. It is constantly noted that there is 4.3x higher annual spend by members who redeem personalized rewards.

57% of consumers join loyalty programs for discounts, 41% for rewards, and 24% for exclusivity.

According to reports, 90% of companies offer some form of loyalty program. Does your company have a loyalty program yet? 

ROI of loyalty programs

Retained customers are 7x more likely to try new offerings and 5x more likely to forgive mistakes from their preferred brand.

Depending on the industry, loyalty programs reduce churn by 12–30%.

Businesses with high customer retention grow revenue 2.5x faster than those without.

The cost to acquire a new customer is 5x higher than keeping an existing one.

Emotional vs rational loyalty

Of the brands that are planning loyalty programs in the next two years, 52% aim for emotional-first experiences.

Emotional loyalty is not an old-fashioned concept. Data suggests that it leads to 3x greater brand advocacy.

Brands with emotionally connected customers outperform competitors by 85% in sales growth. Learn more about what shapes good customer experiences here.

The power of personalization

• 55% of customers agreed that they would use loyalty programs more if rewards were tailored
• While 43% want flexibility in rewards (e.g., choose between discounts, gifts, early access)
• 75% of US consumers are more likely to stay loyal to brands that “understand them.”
• 72% expect personalization across all touchpoints, not just in emails.
• Brands using AI-driven loyalty personalization see a 200% improvement in customer retention

Industry-specific loyalty insights

Here is the list of the percentage of customer loyalty in each industry and how it has evolved from 2023. 

The fashion industry saw the highest loyal customers with 56%. 

The loyal customers in the beauty and cosmetics industry (42%) have surged by 10% since 2023.

Challenges in customer loyalty

Yes, customer loyalty and customer retention are more challenging for businesses than ever before because 77% of consumers now retract loyalty faster than 3 years ago.

43% of customers said that a single bad experience will make them switch brands. 

50% of customers feel that most loyalty programs are “generic” or “uninspiring”.

Only 36% believe brands value their loyalty.

Rising expectations: Consumers want speed, service, and personalization in one seamless experience.

Want to overcome these hurdles and impress the Gen Zs? Read our latest stats to know about their choices first. 

Customer loyalty trends in 2025

What’s working today? Let’s look at the trends in customer loyalty.

1. 43% of customers are reported to spend more on the brands that they are loyal to.
2. There is a 306% higher lifetime value from emotionally connected customers.
3. 60% of loyal customers are more frequent buyers.
4. 59% of consumers say that once loyal, they remain loyal for life.
5. 80% of future revenue comes from just 20% of existing customers.

Best practices to build long-lasting customer loyalty

Here are the best practices that brands are using today:

• Start with personalization. From emails and rewards to product suggestions, personalize everything.
• Use data and insights to improve the loyalty journey.
• Users can segment their audience to reward high-value customers more generously.
• Always be transparent and ethical. This will increasingly influence your loyalty.
• Try to invest in mobile-first loyalty experiences. Remember, 60% of users engage via apps.

Conclusion

In 2025, customer loyalty goes beyond points and perks. It’s rooted in emotional connection, ethical alignment, and hyper-personalized experiences. As consumers become more selective, brands must evolve to stay relevant and sticky.

Whether you are optimizing an existing program or starting from scratch, these statistics offer a blueprint for what works in the loyalty landscape today.

FAQs

Sources

1. Bain & Company. The Value of Customer Experience, Quantified
2. Statista. Customer loyalty, retention, and brand preference statistics
3. Motista. Quantifying the Value of Emotional Connection
4. Deloitte. 2023 Global Marketing Trends: Customer Loyalty
5. McKinsey & Company. The Value of Getting Personalization Right—or Wrong—Is Multiplying
6. PwC (PricewaterhouseCoopers). Future of Customer Experience Survey
7. Forrester Research. Customer Loyalty Playbook
8. Accenture. Seeing Beyond the Loyalty Illusion
9. Gartner. Future of Customer Loyalty Programs
10. Harvard Business Review. The Value of Keeping the Right Customers