When you see giants like Apple or Samsung fall I will believe loyalty is dead. Capitalism and freedom give us the choices for buying the cheapest product with the best preformance. Apple and Samsung however prove we as humans still have brand loyalty and like to be familiar with products. If people can't let go of a brand name due to social posturing than we are a long way from loyaly being dead.
This is a very good point. However, these companies basically compete with themselves to improve their own products. Most people are not very loyal to their Apple or Samsung "products" which causes these companies to constantly alter and improve their products. Or do you still have the iphone 4? or 5? or 5s? So your point is valid that people are loyal to these companies (for now) but they are not loyal to their products. One more point: We are not yet at true freedom, obviously. So it is easier for these companies to maintain their customers when there are so many regulations in place that prohibit smaller start ups to compete with them. Apple goes so far as to allow the Chinese government access to its users info (reportedly). If government would not interfere, these companies would be facing serious competition for their customers, and their loyalty, by now.
True but people will still follow a brand over a higher quality product.