Practical or passionate: Are you marketing to her needs or wants this holiday season?
Two kinds of gifts will be offered this holiday season to the women in a marketer’s life: gifts that respond to a need and those that fill a want, or desire.
Two kinds of gifts will be offered this holiday season to the women in a marketer’s life (besides those that will be returned on Boxing Day and those that won’t): gifts that respond to a need and those that fill a want, or desire.
Items that fall under the first category would likely be purchased directly if it were not the holiday season. Instead, these purchases are put off so that the gift recipient has an answer – ski boots, a new pair of gloves, etc. – to the inevitable question: “What do you want for Christmas this year”?
Gifts under the latter category are intended to surprise and delight the gift recipient with something – a spa treatment, a piece of jewellery, a magazine subscription – that she’s unlikely to purchase for herself.
Why should a marketer communicating with women during the holidays bother distinguishing between efforts to sell gifts that address ‘needs’ vs. ‘desires’? The answer is that they might very well be speaking to women for the former and to men for the latter.
The XX Factor offers these suggestions for pressing the right buttons with audiences being targeted for gifts that address needs vs. wants.
- Are generally requested by the gift recipient or put on a holiday gift wish list. Messaging should therefore target that recipient, not the giver, reminding her of the need your product fills (so she can provide the proper hints).
- Need to communicate the benefit of the brand. The gift giver has already been convinced to shop the category, but might need to be educated on why your brand is the right choice.
- Target the head, not the heart. Providing education and information will win over a purchaser of needs-based gifts.
Needs-based gifts:
- Are driven by the gift giver, looking to be a holiday hero by purchasing something that the recipient probably hasn’t asked for (but hopefully has a hidden passion for).
- Need to communicate the benefit of the category. For example, show the gift giver why a spa treatment is a good gift idea, and why he shouldn’t go anywhere else to purchase that item.
- Target the heart, not the head. Showcasing reaction and speaking to emotion will convince gift givers to choose your brand over all others.
Wants-based gifts:
Disclaimer: we are not suggesting that women never buy ‘wants-based’ gifts for other women or satisfy their own desires. It’s just that during the holidays, men are more likely to be trying to score points with wives, girlfriends, daughters, moms, etc. Also, research shows that women spend very little on themselves relative to men during the holiday season.
Top Five Items on a Woman’s 2008 Holiday Wish List
The XX Factor scoured high and low and asked women what they really want from marketers this holiday season. Here’s what they said without one mention of pink on the list:
- Give her a ‘cause’ to buy –
An American Marketing Association survey found 40 percent of women (versus 30 percent of men) are more likely to buy a product or service if they knew some of the proceeds were being donated directly to a cause or campaign. - Give her a forum online –
Women love the convenience of online shopping (PriceGrabber.com’s November 2007 Consumer Behavior Report) to save fuel costs and to avoid driving and crowds. Research shows that women tend to discuss gift ideas (especially for kids) online, so give them thorough information about your products and a forum to discuss them online. See: Bridging your online – offline relationship with women during the holiday shopping season and beyond. - Do something special for her kids –
It’s not necessarily the gift hunt that’s likely to cause younger moms holiday stress, but the desire to make the holidays special for their kids. A Marketing to Moms Report also found nearly three quarters (72%) of moms plan to provide their kids with spending money to pick out their own gifts. Do small things to make the season memorable for children and help kids find holiday gifts on a budget. - Give her ideas for the ‘question marks’ on her list –
Women on the InformHers
The InformHers is a group of women representing Six Major Lifestages. These women provide qualitative marketing insights on a variety of topics to Harbinger on a regular basis throughout the year. say they generally know what gifts to buy for those closest to them. Where they need help is with gift ideas for the question marks on their lists like co-workers and Kris Kringle gift exchanges. - Offer small conveniences –
It’s not the gift buying process that causes women stress but the pressure of jamming holiday activities into a compacted schedule. Women say they appreciate even small conveniences like easier parking or a generous return policy that free up time to connect with family and friends.
A tale of two women: using the holiday experience to nurture relationships with new and existing customers
If you’re marketing to women over the holiday season, chances are you’re dealing with two distinct challenges: showing loyal customers they’re not being taken for granted; and generating new opportunities with those exploring your category or brand for the first time.
Input from our InformHersThe InformHers is a group of women representing Six Major Lifestages. These women provide qualitative marketing insights on a variety of topics to Harbinger on a regular basis throughout the year. suggests that first time holiday shoppers are more likely to be making gift purchases, while loyal customers are more likely to be shopping for themselves.
With marketing and sales resources and customer patience stretched to the limit there’s added risk/reward when communicating with new or loyal customers during the holidays. Here are some considerations for each audience:
Existing (Loyal) customers
If loyal female customers are more likely to be shopping for themselves this holiday season, it’s relevant to know that they’re also spending less than men. On average, women expect to spend only $88.37 (U.S.) on themselves this holiday season, compared to $155.18 (U.S.) for men.1
Adding to the challenge of marketing to loyal female customers, is that a negative brand/store experience increases the odds they won’t return next year or won’t recommend you to others.2
So how do you maintain or grow your share of the loyal female consumer’s wallet this year and set a positive tone for your relationship in the year to come?
Research suggests that creating a memorable holiday experience for loyal women customers should include:
- Making her feel special – nearly half of women say special offers (to customers through a loyalty program) would improve their holiday shopping experience.3 Half of holiday shoppers are more likely to do future business with companies that send them holiday greeting cards.4
- Easing her time crunch – by offering small conveniences, such as better parking or extended shopping hours, that free up more time for larger priorities such as spending time with family and friends.
- Supporting causes she believes in – A Cone LLC Holiday Trend Tracker survey found 60 percent of female shoppers are more likely to buy holiday gifts from retailers that support social issues. Causes are especially likely to resonate with the NewHarbinger considers women in the New Mom Lifestage to recently have had their first child. and Experienced Harbinger considers women in the Experienced Mom Lifestage to have children over the age of four. Mom Lifestages. A 2008 PR Week/Barkley Cause Survey found 85 percent of moms say it’s important for companies to support a cause and 58 percent say they’d pay more for a brand that supports a cause.
Loyal customers will weigh your holiday messages and behaviour against what they’ve come to expect of you year-round, so make sure they’re both ‘in character’.
For example, if you’re communicating your support of a cause, demonstrate that it’s a year-long passion vs. a holiday promotion and that there’s a natural fit with your brand. And with price expected to be a huge motivator this year, reserve some special holiday offers for loyal customers only.1
New customers
Even if a woman was driven to your category or brand out of holiday necessity vs. loyalty, she still represents an opportunity to build a long-term relationship. The risk lies in failing to understand her mindset or delivering a less-than-positive first experience.
A Deloitte survey found 38 percent of holiday consumers shopped in a retail store they had not been to previously and 45 percent shopped at an online retailer that they had not visited previously. Nine out of 10 of these consumers (93 percent for stores, 89 percent for Web sites) expected to add one or more of these retailers to their future shopping repertoires.
When wooing a first time holiday shopper into a more serious relationship, consider where she might sit on a continuum as defined by the perceived relevance of your category/brand to her life.
Perceived category/brand relevance
Then, ask some questions to help zero in on approaches that are relevant to women at different positions on this spectrum:
Low perceived category/brand relevance
- Can you educate a ‘first-timer’ on the potential relevance of your products or category to her life?
- If she’s unlikely to see the relevance of your category, can you meet her gift needs during other holidays or special occasions?
- Can you offer alternative uses for your product/category that help her see your relevance beyond the holidays?
- How can you best deliver a memorable first-time customer experience?
- Can you offer her a special deal, gift or sample to encourage her to try you out?
- Women are increasingly motivated by product efficacy vs. brand name alone, so how can you help them experience what you have to offer at no cost/risk?5
High perceived category/brand relevance.
See the XX Factor’s Top Five Items on a Woman’s 2008 Holiday Wish List for more ideas for reaching out to women this holiday season.
Sources:
1. National Retail Federation 2008 Holiday Consumer Intentions and Actions Survey.
2. What Customers Expect Sales Associates To Contribute Toward the In-Store Experience – Presentation to National Retail Federation Conference (January 16, 2008), by Wharton School of Business, the Verde Group, CVS Corporation.
3. Maritz Research holiday retail survey (December 2007) – 49 per cent of women compared to 41 per cent of men reported sales and special offers would improve their holiday shopping experience.
4. The Hallmark Business Expressions 2008 national consumer attitude survey found 78 percent of respondents receive holiday cards from businesses and half of those recipients are more likely to do future business with a company that sends holiday greeting cards.
5. Bulldog Reporter PR University: “What Do Women Want? PR Strategies That Really Work to Drive Millions of American Consumers to Your Product or Service” (October 23, 2008).
Bridging your online – offline relationship with women during the holiday shopping season and beyond
With many studies revealing that consumers expect to spend less on 2008 holiday purchases, one bright spot is that this year more consumers who are online plan to make a holiday gift purchase online (55%) than last year (49%). Source: Burst Media Online Insights.
If you’re in the business of marketing to women (like us), these are significant figures, considering that more women are going online than men.
So what should you be doing to foster your relationship with women and to ensure consistency from Web site to storefront?
- Consider the different ways women use and interact with online storefronts: Women tend to think more strategically about their purchases and want more product details up-front, including how they can be used, while men act more on impulse and are often willing to do a little more ‘clicking around’ to find what they want.
This has implications for how you structure your online storefront and organize the links between sections and related products.
Sites like www.target.com provide lots of up-front information for female window-shoppers, while www.jcpenney.com and www.williams-sonoma.com let visitors share reviews and practical advice.
- Take advantage of the higher priority that women place on their relationships with the brands and products they use and stores they frequent. The holidays present a myriad of opportunities to reinforce existing or establish new relationships with your female customers, at a time when this feels natural and appreciated.
Retailers can strengthen their existing customer relationships both online and offline with ‘little extras’ such as surprise holiday gifts for regular customers and in-store service perks like gift-wrapping and complimentary beverage.
Also see: A tale of two women: using the holiday experience to nurture relationships with new and existing customers
- Facilitate a seamless online to in-store journey by paying attention to consistency across both environments. Online tools like the handy ‘check local store inventories’ or ‘pick it up in-store’ feature at retailers like Canadian Tire and Best Buy help facilitate this transition.
One of the things many of the women in our InformHersThe InformHers is a group of women representing Six Major Lifestages. These women provide qualitative marketing insights on a variety of topics to Harbinger on a regular basis throughout the year. Panel told us was that, while they often browsed and researched for products online, in many cases they still preferred the experience of shopping in-store to see and feel products first-hand. This differs from men, who focus on product performance and convenience of purchase.
Consider the potential impact on your female customers if your online product offering differs from what’s available at retail.
The ongoing evolution of retail means that marketers and retailers should be continually assessing how the customer experience is maintained across online and offline environments – particularly for female consumers.
The holidays present an opportunity for savvy marketers to leverage some of the intrinsic differences between men and women, especially when it comes to their shopping behaviour.