Closing the Holiday Shopping Generational Gift Gap

Closing the Holiday Shopping Generational Gift Gap

Maritz(R) Poll reveals holiday shopping differences across generations

ST. LOUIS, Nov. 20 /PRNewswire/ -- During the all-important holiday season for retailers, everyone from teenagers to grandparents will be hitting the stores or shopping online for holiday gifts. A recent Maritz(R) Poll reveals the generational differences when it comes to holiday shopping and the implications for retailers as they attempt to capture the holiday spend of Gen Y, Gen X, Boomers and the Silent/GI Generation.

Hot Stops for Gen Y Shoppers

Based on buying behaviors Gen Y is typically a prime target for retailers because of their affinity for fashion and impulse buying. Among a list of more than 20 stores to choose from, the Maritz Poll research found that significantly more Gen Ys' plan to shop the following retailers than either Gen X, Baby Boomers or the Silent/GI Generation:

* Best Buy (63 percent)
* Macy's (38 percent)
* Victoria's Secret (34 percent)
* Apple Store/iTunes (28 percent)
* American Eagle Outfitters (20 percent)
* Hollister (13 percent)
* Zales (10 percent)

"Retailers like Hollister, American Eagle Outfitters, Best Buy and Apple have an obvious attraction for Gen Y. The interest in Victoria's Secret shows that it is an incredibly giftable multi-channel brand that can stay forever young," said Mark Rein, director of strategic consulting for the Maritz Research Retail Group. "Zales and Macy's should be excited to have the attention of Gen Y; hopefully they can cash in with the right assortments and pricing this holiday season."

The research also shows that younger generations appear to know exactly what they like and have their shopping lists prepared in advance of heading out the door. According to Rein, "When asked about their approach to holiday shopping, both Gen Y and Gen X were significantly more likely than Boomers and the Silent/GI Generation to say they plan which gifts they are going to buy and at which store, which makes it very important for retailers targeting these generations to invest in advertising and communication that will influence them during their planning process."

The Indifferent Generations?

When compared to the market research on other consumer generations, Gen X and Boomers don't have any clear store preferences or loyalty when it comes to holiday shopping. The only store where Gen X say they plan to shop at a significantly higher level than Boomer and Silent/GI generations was Apple/iTunes. When compared to Gen Y and Gen X, no stores stood out among Boomers' choices of where they planned to shop.

"Retailers have work to do in order to entice Gen X and Boomers to choose their stores over competitors," said Rein. "While they might not share Gen Y's affinity for shopping, Gen X and Boomers tend to have greater discretionary incomes. And previous Maritz studies have shown that retailers need to roll out the red carpet and provide an excellent shopping experience to wow these demographic groups."

Wal-Mart (61 percent), Target (37 percent) and Sears (33 percent) topped Silent/GI's list of stores at which they plan to shop. However, when compared to other generations (Gen Y, Gen X and Boomers), they are significantly less likely to shop at one of those stores - Target - as well as several others, including Best Buy and Apple.

Gift Cards - One Size Fits All Generations?

It is often hard for older generations to understand the buying behaviors of younger consumers and figure out what they might have on their holiday wish lists. Perhaps that is why significantly more Gen Ys received gift cards last year than the other three generations examined. Likewise, significantly more Gen Xs received gift cards last year than the Boomers and Silent/GI Generation.

Who is giving gift cards? Significantly more Silent/GIs say they will not give gift cards (42 percent) compared to Gen X and Boomers. Also when asked about their approach to holiday gift giving, the Silent/GI Generation were significantly more likely to say they prefer to give cash over the other three generations.

"We have found that the Silent/GI Generation is comfortable with Sears; and surprisingly the store has a fairly broad appeal across generations with 38 percent of Gen Y, 29 percent of Gen X and 35 percent of Boomers planning to shop at Sears," said Rein. "A focused initiative to communicate with Silent/GIs that the store has appeal with younger generations, as well as has gift cards, could help Sears capture this untapped spend."

This online Maritz Poll, which was conducted Oct. 6 - 17, 2006, featured responses from 1,192 randomly selected adults from a Web panel survey on topics related to holiday shopping, buying behaviors and gift-giving trends. Respondents for this market research poll were split evenly between males and females, and results were weighted to match census demographics (on age, income, race, education and children in household). Margin of error for the overall poll is +/-3 percent.

For reference:

For this poll/release Gen Y (1978 to 2000) comprises ages 18-28; Gen X (1965 to 1977) comprises ages 29-41; Boomers (1946 to 1964) comprises ages 42- 60; and the Silent/GI Generation (1900 to 1945) comprises ages 61 and over.

About Maritz(R) Poll

Maritz(R) Poll is a copyrighted poll conducted since 1988 by Maritz Research Inc. Maritz Poll comprises regular surveys on topics related to the automotive, financial services, hospitality, retail, technology, and telecommunications sectors as well as workplace issues. Results of the poll may be used in print or broadcast media, provided credit is given to the Maritz Poll and/or Maritz Research. For more information, visit maritzpoll.com or call 1-877-4MARITZ.

About Maritz Research

As one of the world's largest marketing research firms, Maritz Research, a unit of Maritz Inc., helps many of today's most successful companies improve performance through a deep understanding of their customers, employees and channel partners. Founded in 1973, it offers a range of strategic and tactical solutions concentrating primarily in the automotive, financial services, hospitality, pharmaceutical, telecommunications, retail, workplace and technology industries. The company has achieved ISO 9001 registration, the international symbol of quality. It is a member of CASRO, the Conference Board, and is the official sponsor of the American Marketing Association.

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Source: Maritz, Inc.

CONTACT: Katie Mannhard, of Standing Partnership, +1-314-469-3500, or
kmannhard@standingpr.com

Web site: http://www.maritz.com/
http://maritzpoll.com/

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