Research: Brand Communities Fail to Connect with Consumers

New Social Soup research reveals untapped opportunity

Australians are joining more communities than ever, but very few feel connected to brands that have set up communities, according to new research from Social Soup.

The research found that 43% of people are now part of more communities – including digital and in-person communities – than they were two years ago. But only 14% of women and 5% of men say they feel part of a brand’s community.

The findings were revealed at the annual Influence Upfronts events staged by Social Soup – Australia and New Zealand’s experts in community-first influence – in Melbourne and Sydney last week.

Mental health and wellbeing topped the list of reasons people join communities at 37%, followed by wanting adult friendships (35%), navigating a life change such as moving house, a new baby or retirement (35%), and a desire to go deeper into a hobby or interest (31%).

The research, which covered a nationally representative survey of 900 Australians aged 18 and older, debunks the assumption that community is a mainly a digital phenomenon. Just 3% of respondents said their communities are online only. Nearly half (46%) said their communities are in-person, and 51% said they are a combination of both.

Thirty-one per cent of people who had joined more communities said it was a direct reaction to the digital and AI world, that is, they wanted real human connection. People were also motivated by wanting less screen time, a lingering post-COVID desire for real-life interaction, and social media feeling less social and more driven by ads and promotions.

Social Soup Founder and CEO, Sharyn Smith, said the research found three key reasons many people do not feel connected to brand communities.

Social Soup Founder and CEO, Sharyn Smith

“The most common complaint was brands talk at people instead of with them,”

she said.

“People want to be part of the process, not an audience for it. They also think that when the community is all about selling, it stops feeling real. The moment a community exists to move product, the authenticity that made it work collapses.

“Another for a lack of connection is when brands chase unreal or big name influencers instead of backing their own people. Audiences can tell when reach is bought rather than earned, and they're choosing real over polished.”

When asked which brands are “doing community well”, respondents named Mecca for its loyalty program and always-on experiences, FAYT The Label for involving customers in the business, Carman’s for actively listening to feedback and changing, and ANZ Bank for “feeling human” and genuinely supporting the LGBTQI community.

Sharyn said:

“Every brand in Australia claims to have a community, but very few people actually feel part of one. When few people feel a genuine connection to a brand community, it tells us the industry has been using the word ‘community’ as a marketing line rather than building the real thing.

“Australians are actively seeking more community in their lives – for wellbeing, for friendship, for meaning – and almost a third are doing it specifically because the digital world feels less human. People are telling us they want real connection, real experiences and real people. The brands that respond to that with another loyalty program or welcome email are going to keep losing.

“This is the opportunity we’ve been talking about since we started Social Soup 18 years. Community is not an add-on. It’s the foundation of real influence. Brands need to invest in building genuine communities by giving people something worth actually being part of,”