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By Elizabeth Doupnik

What Millennials want, Millennials — should — get. The demographic is increasingly influential as it matures and gains more spending power. With the aging of the demographic come big life events like marriage and having children, which is shaping their shopping behavior. According to a new report, “Building Loyalty with Dynamic Shoppers,” by Valassis, 47 percent of Millennials and 57 percent of Millennial parents have opted to visit a specific retailer for particular types of items.

“The competitive retail climate has made it crucial for brands to differentiate and prove their value to customers,” said Curtis Tingle, chief marketing officer of Valassis. “There are a number of variables that impact a consumer’s decision on where to shop. Discounts, offers, communication frequency, channel of engagement and more, all play a role in determining which brands become preferred retailers and reap the rewards of a loyal customer base.”

To collect the insights, Valassis in conjunction with NPD polled 1,200 U.S. consumers earlier this year. As current brand loyalty becomes strengthened over time, it will be difficult for competitors to draw consumers away for their preferred shopping locations. “Shoppers reported that to earn their loyalty, it’s critical for retailers to safeguard and protect personal information (76 percent); reward them with personalized discounts or special offers (73 percent); and interact with them through their preferred communication channel (55 percent),” said a Valassis spokesman.

Champions aren’t created overnight. The report said in order to hit home runs during key shopping seasons like back-to-school and holiday, retailers need to be dedicated to building loyalty throughout the year. Seventy-three percent of consumers will patronize merchants who have contacted them outside these blockbuster-shopping periods. Just be sure the messaging is purposeful and personalized.

But heightening efforts during key shopping events will have a better chance of drawing Millennial parents away from their typical destinations. According to the report, 49 percent of Millennial parents are more amenable to visiting new retailers during these shopping periods. Targeting this consumer set throughout the work day will likely improve loyalty, too. “Sixty-two percent of Millennial parents often make purchases during work when they see an email, online ad or mobile notification from a retailer,” said the spokesman.

Arguably less groundbreaking, Millennials will shop a good sale when they find one. “Nearly three-fourths (73 percent) of consumers admitted they can be swayed by advertised promotions and sales for where to shop and what to buy. Forty-seven percent of consumers say receiving an offer will drive them to visit a store or web site they don’t typically shop,” said the report.

Feature Image Credit: A Target on Black Friday. REYNOLD/EPA-EFE/REX/Shutterstock

By Elizabeth Doupnik

Sourced from WWD

By MediaStreet Staff Writers

It’s all about the face.

Research has found that people prefer wider faces on products if they are seeking to show dominance or would like to project importance. People are typically averse to wider human faces because they elicit fears of being dominated. However, consumers might like wider faces on some products they buy, such as watches or cars, when they want to be seen in a position of power in certain situations, according to a new study led by a marketing researcher.

“When consumers are motivated to dominate others, or when they use the product in public, their liking will be heightened toward high-ratio product faces,” said Ahreum Maeng, assistant professor in marketing at the KU School of Business.

In five experiments, respondents examined photos of human faces that varied from low width-to-height ratio (narrow) to ones with a higher ratio (wider) to establish the perception of dominance when seeing higher-ratio faces. The researchers also had respondents view photos of products that might have a design resembling a human face, such as watch and clock faces and automobiles, from low to high width-to-height ratios.

“These kinds of things are automatically going on in people’s brains,” Maeng said. “When we see those shapes resembling a human face in the product design, we can’t help but perceive it that way.”

Researchers have established that people are evolutionarily adapted to read facial cues, especially those signalling dominance, and the width-to-height ratio of face is a cue to attribute dominance to the face. In the notion of anthropomorphism, scholars have found people often attribute human traits to non-human entities, such as products.

In addition, the researchers had participants view the images while they thought about different scenarios, such as preparing to encounter either an old high school bully or a former sweetheart at a 10-year-old high school reunion or a business trip that might require a difficult negotiation.

Their main finding was that when people felt they were in a situation where they might want to be perceived as dominant – such as that business negotiation or when seeing an old bully at a high-school reunion – people were inclined to select the wider product design for a watch or car they might be renting for the trip.

Maeng said this differs from how people tend to see dominance in the human face. They typically become averse to a higher width-to-height ratio because they feel threatened or intimated.

“But when it comes to a dominant-looking product face, they really like it,” she said. “It’s probably because people view the product as part of themselves and they would think, it’s my possession. I have control over it when I need it, and I can demonstrate my dominance through the product.”

In scenarios where participants did not feel the need to project any dominance, such as a more laid-back time with their children or family, the width-to-height ratio of the products became less important, the researchers found.

Maeng said the findings have important implications for marketers of products that might resemble a human face, such as watches with a circular face and cars. They found consumers’ preferences for dominant-looking product faces is not the same as people’s preference simply for luxury or expensive items.

Also, typically, product-design efforts have focused on visual aesthetics and ergonomics, an assumption that beauty and functionality covers the entire canvas of product design. However, more recent contrary findings by marketing researchers suggest that product design can signal a specific personality trait about the product.

Maeng said this type of preference means that manufacturers and marketers would be able to charge higher prices for products that have wider faces. They have already found a positive relationship in examining 2013 prices of automobiles based on the width-to-height ratio, and their study likely supports those types of decisions.

“Brand managers and product designers may be particularly interested in these findings,” the researchers said, “because a simple design feature, namely product face ratio, can have marketplace impact – by significantly improving the company’s bottom line.”