JobXDubai

Brand loyalty is clearly declining in the UAE, as seen by a recent survey that revealed changes in consumer behaviour there. A startling 85% of UAE buyers admitted to being less brand loyal than they were two years ago. The rising expense of life and poor customer service are the main causes of this worrying trend, which forces customers to give priority to economical options.

Results from a survey of 18,000 people in 13 countries, including 1,000 inhabitants of the United Arab Emirates, show that a substantial 91% of respondents will abandon a brand after just one unfavourable experience. Furthermore, around 25% of the respondents identified unsatisfactory encounters as the main cause undermining their allegiance.

Given the rising cost of living, 40% of customers said that they are more likely to search for the best deals, highlighting pricing as a crucial factor in determining loyalty. Three-quarters of respondents raised their spending year over year, and 42% of them expressed a desire for price reductions from their chosen brands, which is consistent with this trend.

In a market where rivals are just a touch away, Ali Kaddoura, UAE Country Manager of ServiceNow, underlined the significance of companies optimising every aspect of the customer experience to set themselves apart. Delivering unmatched, seamless service experiences—both automated and human—across all consumer touchpoints is crucial, according to Kaddoura, despite the emphasis on cost.

Fascinatingly, the survey also revealed how UAE customers prefer face-to-face communication over automated options like chatbots. Significantly, 77% of respondents said they would be reluctant to employ AI for services because they were worried about personalisation and didn’t trust the replies that AI provided. In addition, there was a clear need for phone help that was available around-the-clock and a decrease in automated service choices.

In contrast, a different ServiceNow survey found that employees in the UAE have a more positive attitude towards AI, with 74% of them seeing it as a productivity boost.

Kaddoura’s observations align with the more general plea for firms to utilise AI responsibly, enhancing human labour rather than substituting it. With the use of AI, this strategy seeks to empower employees and enhance customer interactions by providing them with compelling, tailored experiences.

As Kaddoura wraps up, she advocates for the astute integration of AI that supports human interactions and ensures unique customer experiences that strengthen brand loyalty. “Customers in the UAE, and globally, are ready to walk away from brands that don’t meet their expectations for service quality,” she says.