Gift Cards are a Gift to Retailers, Too!
While gift cards are a favorite among recipients, there are many benefits for retailers too.
- Gift cards attract new customers. 4% of gift card recipients report that they have never or rarely visited the store for which they received a gift card.
- Gift cards drive sales. Customers spend an average of $20.79 more than the amount loaded to the gift cards they receive. Additionally, 31% of shoppers buy an item they didn’t plan to purchase or buy a more expensive item with the gift cards they receive.
- Gift cards generate interest from unredeemed balances. You have possession of the money loaded to gift cards the moment the cards are purchased. If those funds are deposited in an interest-bearing account, you will be able to earn a return on outstanding gift card balances.
- Gift cards increase brand loyalty. Gift cards not only bring new customers into your store but can keep customers coming back for frequent visits – when you encourage card reloads through marketing and incentives.