Relate Biases to Gift Registrants

Gift registries are a profitable tool for retailers. People celebrating special events like a graduation, wedding, or birth of a child identify items from your store they’d like to have, and then the celebrant notifies friends and family the retailer maintains the list. Those wanting to give a present know where to go, people are directed to your store, and at least in theory, the celebrants are getting the items they most want.
     Alas, researchers at Emory University and University of Texas-Austin find that the theory is flawed. In reality, the people feeling closest to the intended gift recipient are quite likely to pick items different from what the celebrants have placed on the list. The reason is that close friends and family members want to personalize the gift by selecting something to signal the nature of the relationship. 
     Gift givers are generally unaware of this bias. In the study, participants said they’d, “choose something the recipient would like,” over, “choose something that acknowledges or expresses the relationship you have with the recipient.” But although 25% of the gift selections ended up being from outside the gift registry among distant friends, the corresponding choice share among close friends was 64%. So only about one-third of the gift selections were from what the intended recipient said they specifically wanted. Further inquiry revealed how the divergence from the registry was because of a desire to signal the relationship.
     Where relationship signaling is especially crucial, we’d expect even more divergence. Specifically, what friends and family will think about the gift is highly important to adolescents, according to researchers at Temple University, Jerusalem College of Technology, and University of Haifa. Teens usually want the gift to strengthen the relationship by showing ways in which they are similar to the gift recipient. In other cases, they select a gift to carry a neutral message about the relationship.
     To improve the match between what the gift registrant lists they want and what the people buying the gift end up selecting, coach gift registrants to include items which carry relational messages. Grandma might feel best picking a wedding present which verifies her role as the family historian. The fiancée’s older sister can scan the list to find a kitchen appliance in order to subliminally say she’ll always have the younger sister’s back. Aunt Ellen picks an expensive silver set so she’ll be seen as financially supportive.

For your success: Retailer’s Edge: Boost Profits Using Shopper Psychology

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