The Evolution of Branded Currency
2017 Prepaid Consumer Insights Study
Scroll down toexplore the report
We track the trends so you can make informed decisions. Business is booming in new and unexpected ways. Self-purchasing is up, technology is advancing, behavior is changing, and the front-runner is clear:
Socializers, those age 18-34, are changing the game.
Branded Currency: noun | 'bran-did kur-uh n-see' |
In a world that is increasingly driven by experience rather than purchase, more consumers are turning to gift cards, which have evolved over the past decade. The use cases for gift cards have exploded and the popularity of gift cards has grown as a result. Enter: "branded currency," formerly known as "the gift card."
Our 2017 Consumer Insights report details five trends in branded currency and how you can use them to your advantage in the coming year with these three demographics in mind:
If you're looking to target self-purchasers, start with Socializers. Self-purchasers across all ages are most driven by discounts and rewards.
What percentage of each demographic are self-purchasers?
Gift cards aren't just about giving gifts anymore. Entice your self-purchasers with rewards and discounts and make it easy for them to use your branded currency.
Reasons for self-purchase
Branded currency is a gateway to higher spending. Don't take our word for it — check out the numbers.
Purchasing year over year$$
Up $10 from 2016
Want to reward your employees or streamline store credits and rebates? How about a gift card.
are interested in receiving a gift card as store credit
are interested in receiving a rebate via gift card at time of purchase
are interested in receiving employee rewards via gift card
Announcing a new contender in out-of-the-box gift card avenues:
Prepaid Transit Cards.
A Prepaid Transit Card is a public transit agency ticket that comes in the form of a paper or plastic card. It is used to deduct the fare rate as a consumer passes through a turn style or boards a bus or a train.
Gift cards change behavior. They drive new customers to new stores, make them come back more often, and encourage them to significantly overspend the value of the card.
will visit a store they would not normally have visited
will visit a store more often
have redeemed their gift cards
Average overspend amount
have overspent the value of the card
Try Something New
With a gift card, Socializers are the most likely to visit a store they would not normally have visited.
With a gift card, Socializers are also the most likely to visit a store more often.
It's time to shake things up
People's perspectives, motivations, and habits are changing.
Is your gift card keeping up?
Branded currency is on the rise
As the 2017 Consumer Insight Study demonstrates, the world of branded currency is evolving beyond mere gift-giving. It provides consumers with a secure financial transaction option, allows great physical and digital flexibility, garners brand awareness and loyalty, and provides great data tracking.
Gift card providers should consider new ways to use their branded currency, from mobile apps to exchange sites to alternative re-up outlets (like fast food breakfast locations).
Socializers for the win
They should also focus their innovation on Socializers to test new methods. And while they should be embracing digital gift cards, they should also remember that physical gift cards are far from dead.