Electronic Gift and Loyalty Cards
Gift Cards are one of the most successful new payment technologies and fastest growing trends in North America. Companies are using them to increase sales, create customer loyalty, and increase brand recognition. There are many benefits to having a Gift Card program, both for merchants and their customers.
Gift Cards provide a customized marketing tool complete with customized card options. Extensive electronic reporting provides effective monitoring and security control. The gift card market has great momentum as more businesses realize gift cards are an important marketing tool. Now is the time to take part in this revenue enhancing opportunity.
How does your business benefit?
- Enhanced cash flow getting payments prior to selling the products
- Attract new customers by building brand awareness and loyalty
- Switching from paper to plastic results in increased consumer participation and increased sales
- Balance remains on the card, keeping the customer in the store
- Customer Loyalty
- Customized Statements
- Easy Use
- Increased Impulse Buying
- Enhanced Merchandising
- Increased Sales
- Improved Record Keeping
- The Freedom to Choose
- The Power of New Technology
- Gift card sales are growing at an average annual rate of 15%.
- A typical consumer purchases one-third more when using a gift card.
- Approximately 45% of consumers bought a gift card in the months leading up to the 2003 holidays.
- Surveys show that 69% want to give gift cards and 72% of us would like to receive them.
- Most gift card recipients make more than one trip to the store, with 60% spending more than the value on the gift card.
- Recent statistics show 5% to 15% of gift cards go unredeemed.
Gift Cards provide:
And the stats don't lie:
How Do They Work?
Gift cards can be a valuable opportunity for your business. The cards are processed through your debit and credit card terminal, where they are loaded and redeemed. Customers who have shopped in your store may purchase gift cards for friends and family, and the recipient of the card could be a new regular customer to your store.
- Because gift cards have no value until you load them, you can display them prominently around the store.
- Gift card recipients traditionally spend more than the value of the card.
- With paper gift certificates, you typically refund the balance in cash.
- With gift cards, customers keep coming back to your store until they're used up.
- Returns from purchases made with gift cards do not receive a cash refund, all revenues remain in-house.
- Gift cards have become a popular choice for consumers.
- Having a gift card program allows you to capture gift card sales that usually go to larger retail chains.
- Gift cards can portray an image of prestige and professionalism.
- Every time your gift card is seen, it translates into free advertising
- You can sell gift cards at a discount to promote sales
- You can offer a gift card to customers who make a large purchase
- You can reward repeat customers with a gift card
- Plastic gift cards can reduce gift certificate fraud
- Paper gift certificates are much easier to reproduce or steal
- With plastic gift cards, fraud is greatly reduced because you load the cards with their value
- Increase impulse purchase opportunities
- Encourage new business
- Increase security and reduce fraud
- Promote sales during slow periods
- Get your brand in your customers’ pockets
Advertise through your gift cards:
Gift Cards provide a powerful payment option for your business: