4 Reasons Why Your Business Should Offer Gift Cards
Gift cards represent a safe and convenient way for consumers to buy the products and services they love. In fact, Americans are so enamored with this payment option that in 2015 alone, they collectively purchased over $127 billion worth of gift cards for their friends and family.
If your business does not currently offer gift cards, you're missing out on a huge slice of retail spending. Here are some important reasons why your business should be offering gift cards to your customers.
The most obvious advantage is that you're tapping into a $127 billion industry, but there are other important benefits, including:
1. Credit Spillage
There's a reason that carnivals use tickets and casinos use chips. Some patrons never redeem the full-face value of these monetary substitutes.
The same thing applies to gift cards. Some cards never get used at all. Others are used once and then carry partial balances until they finally expire. That credit "spillage" is literally free money for your business.
Even 5 percent in unclaimed balances can have a powerful impact on your annual bottom line.
2. Free, Organic Advertising
According to research from First Data, more than 10 percent of gift card recipients had never (or rarely) visited a merchant’s location prior to receiving the card. This is better than "word-of-mouth" advertising. Loyal customers are paying you money for the privilege of gaining new business.
3. Sell More Products
Gift card recipients tend to be price insensitive, with many shoppers spending more than the face value of whatever cards they carry. They might arrive with a $100 gift card — and walk out with $115 or more in merchandise.
4. Customer Rewards and Tracking
With a well-designed gift card program, it's possible to capture contact information and track purchasing behavior. These types of analytics allow you to improve your marketing efforts and generate more sales in the future.
Our wide selection of customizable card designs and merchandising materials are guaranteed to fulfill all your gift and loyalty card needs. And with our low pricing, no contract terms and free shipping, there are many reasons to say YES!
Contact Us Today for your free gift card program guide that includes artwork, font samples and package pricing.
Visit us online at www.TailoredTransactions.com or call us directly (888) 669.1686