Gift cards are an ideal way for customers to recommend your business to potential new customers, while also giving them the choice to buy exactly what they like. Being in high demand has made gift cards a $90 billion a year business globally, an essential revenue stream which most companies should tap into. Unlike their paper predecessors (gift certificates and vouchers), gift cards are more fraud-resistant and easily merchandisable Gift cards can motivate customers to make the first of many purchases. 41% of consumers have visited a retail store, hotel or restaurant they had never been to before because they received a gift card for it. Furthermore, 72% of those first-time customers went back to the business at least once afterward.
– Gift cards were the most-requested gift of 2010 and 2009.
– 48% of gift card recipients spend more than the amount on the card.
First Data’s Gift Card Program provides end-to-end solutions for merchants of all sizes establishing new gift card offerings or transitioning an existing program. You can benefit from our experience servicing hundreds of the world’s most well-known retail brands, leading-edge functionality and product innovation to help drive the growth and success of your prepaid programs.
– Real-time transaction processing ensures that card account balances are accurate, new cards contain no funds until activated and redemption occurs quickly and easily.
– Convenient reporting is available online, on your merchant processing statement or through your terminal’s receipt paper, making it easy to have information available when you need it.
– Bundled packages include gift cards and merchandising material.
– Create customized gift cards or select from a wide variety of standard designs.
– Welcome Kit includes a merchant guide with helpful, proven marketing tips to help you establish an effective gift card program.
– Trained service specialists provide you with live support 24/7.
Seven Tips for Building a Great Gift Card Program
1. Use in-store merchandising to promote your gift card program including neat, organized displays, and signage.
2. Align your card design with your brand and consider designs for occasions that have significant importance to your business (e.g. birthdays, weddings, holidays).
3. Stay on top of card inventory levels.
4. Get your employees involved in gift card promotions including assigning a “gift card champion” who will ensure that displays are stocked, signs are posted and employees are trained in selling gift cards.
5. Make sure to put special effort into holiday campaigns. Many merchants report that they will sell approximately 40% of their cards during the holiday period and other popular gift giving occasions like graduation.
6. Cross-promote your gift cards and offer customer incentives.
7. Promote and sell your gift cards on your website.
There are many factors to consider when deciding whether and how to sell gift cards in your business. Having an understanding of your payment acceptance options certainly helps in the decision-making process. Keep gift cards in mind as one of the tools you can use to positively impact your business.
With a little effort, gift cards can produce short- and long-term rewards for your business.