I just read a report off of the Star Tribune (out of Minneapolis) website that I found very interesting. You can read the article here. It basically states that Harvard Business Review did a study about how the religious spend money. They wanted to see what we religious folk do outside of our houses of worship, our “nonreligious routines,” so they studied grocery shopping. As it turns out, the religious are much less likely to spend money on items. They are more frugal when it comes to purchase decisions. In fact, according to the Star Tribune, when given varying price points on certain items, “The religious people in the group were willing to spend 10 percent less than others.”
That’s not good for retailers. They need to figure out how to part the religious from their money. As it turns out there are currently two options that are in the works:
- Advertise that the retailer will donate a portion of revenue to a charitable cause, or
- Of course, offer steeper discounts around the holidays in order to lure the religious in.
Remember, Christmas comes sooner every year. If you start seeing even deeper discounts between Halloween and Christmas than usual or if you find out that retailers suddenly have a spirit of giving, you have an idea of the motive driving such actions.