Is the free Thanksgiving turkey promotion played out?
According to a survey from Precima, the data analytics division of LoyaltyOne, only 27 percent of Millennials find receiving a free turkey around the Thanksgiving holiday "important" versus 66 percent of Gen X shoppers.
The overall nationwide survey of 1,201 American shoppers taken in October found only 24 percent saw a free turkey" as "very important," coming behind the 40 percent who reported preferring savings off purchases on each shopping trip. Ninety percent planned on preparing a traditional turkey meal.
The survey found that shoppers are increasingly fickle when it comes to their grocery store loyalty, placing a higher emphasis on price and quality, and looking for more personalized offers.
Sources: HyVee, ShopRite, Albertsons
Other findings from the survey:
- Two-thirds reported price and quality are very important to them when selecting a store for holiday shopping;
- Sixty-four percent reported being loyal to an existing retailer. Ninety percent of the same respondents, however, say they either strongly agree or agree with the statement that they are open to visiting other grocery stores based on their promotions and incentives;
- Forty percent preferred receiving discounts on purchases over loyalty program points or a gift basket;
- More than 80 percent wanted promotions tailored to their needs, with 47 percent reporting relevant offers increase their loyalty. This finding was especially true among Millennials, 88 percent, compared to 75 percent of Boomers;
- Two-thirds of the shoppers participating in existing loyalty programs report never receiving follow-up post-holiday offers or say they received offers that weren’t relevant.
Precima said the study underscored how the analysis of data collected from holiday promotions can help create more relevant offers.
"There are great opportunities that retailers are missing with the free turkey and similar promotions," said Graeme McVie, general manager and VP of business development for Precima. "It’s important that retailers don’t send the same offers to all generations and that they target and personalize their marketing and merchandising investments to meet the specific needs of their most valuable and loyal customers."
- Prices, Product Quality and Incentives Drive Thanksgiving Holiday Shopping Behavior, According to Precima – Precima
Do you think traditional free turkey promotions remain effective for grocers? How may overall holiday promotions have to be rethought to more effectively convert “occasional shoppers” into more frequent shoppers longer term?