As a retailer, you could suggest purchase of a gift card for a picky shopper. The researchers found that, because of the dilemma when selecting for a picky person, shoppers want to get it over with quickly and with minimum thought. Gift cards allow that. These shoppers think it’s quite likely the recipient won’t appreciate the gift anyway.
Giving a gift card can create a problem for the purchaser and another for the retailer. The purchaser might be giving out of obligation, but with an objective to signal an intended relationship with the gift recipient. Personalization of the gift is then important. The problem for the retailer is when the quick and basic decision making by the shopper lowers the amount spent.
A tactic explored by the researchers could solve both problems. In their studies, people favored gifts intended for picky recipients when the retailer displayed thumbnail images of possible gifts alongside images of decorative wrapping or fancy gift boxes. These ancillary items shifted the focus from the merchandise to the presentation of the merchandise. Customers who hesitated spending money on a personalized item were interested in spending money on the container.
All this does not necessarily translate to the picky gift recipient liking the present more. The prominent featuring of the wrapping and boxes makes the gift giver feel better and leads to them spending more money. Other research indicates much gift selecting is still off-base. The danger increases when a gifting objective is to signal an intended relationship.
Researchers at Emory University and University of Texas-Austin found that the people feeling closest to a gift recipient are quite likely to pick items different from what the celebrants placed on a wish list. 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 gift selections ended up being from outside the gift registry among distant friends, the corresponding share among close friends was 64%.
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Redeem Gift Card Profitability
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