Although a segmentation study showed J.C. Penney Co. Inc. how to tailor 401(k) communications to different demographics, the straightforward approach the Plano, Texas-based retailer had used historically achieved the best results.

The study resulted in the development of three separate communications: one targeting young employees, a second targeting more sophisticated employees and a third showing projections of asset accumulations over time.

“All of these things worked to varying degrees,” said Matthew Harmon, benefits delivery and retirement director of the retailer. “But the normal, old communication got the best response.”

Mr. Harmon thinks this was because “people tend to respond to things they are familiar with.” J.C. Penney's older employee base also may have contributed, he said. The average age of its employees is 48, compared with a retail industry average of 34. Eighty percent of J.C.Penney's employees are women.

Altogether, the new communications boosted participation in the plan by 5% in 2011, with contributions increasing an average of 1%.

Aside from the 401(k) plan, J.C. Penney sponsors:

• A defined benefit plan that was closed to new participants in 2007 but is fully funded and continues to accrue benefits.

• A retirement account plan, which is a defined contribution plan that is housed within the 401(k) plan and serves as a replacement for the defined benefit plan for employees hired after Jan. 1, 2007. J.C. Penney Co. contributes 2% of salaries to the plan.

• A nonqualified retirement plan for highly compensated executives.

Employees who work at least 1,000 hours a year and have worked for the company at least one year are eligible for the 401(k) and retirement account plans. Both have automatic enrollment, with beginning contributions to the 401(k) plan at 3% of salary. The 401(k) plan also features auto escalation, with contributions increasing 1% a year until hitting 6%. The company match is 50 cents on the dollar up to 6% of total salary, or 3% of total salary. About 108,000 active and former employees and retirees are in the defined benefit pension plan, while 112,000 full- and part-time employees are in the 401(k) and retirement account plans.