6 Reasons to Start Offering Gift Cards


Gift cards have steadily grown in popularity every year, and they’re expected to make up $149 billion in sales by the end of 2017. Clearly, the days when gift cards were considered a thoughtless and last-minute present are over. If your business doesn’t yet offer gift cards, you may want to consider some ways they can enhance your marketing and sales tactics:

1. Maximize Profits

When people shop with gift cards, they’re not as price sensitive because the money isn’t coming out of their bank account. They’re more likely to buy expensive or full-priced items: in fact, 72% of customers spend an average of 20% more than the value of the card.

2. Increase Awareness and Traffic

Offering gift cards can bring in new customers who had not planned on ever visiting your business without the incentive of a gift card. Plus, every gift card purchased means at least two people will have visited you- the person buying the gift card, and the person redeeming it. This means more opportunities for customers to consider making purchases.

3. Expand your Marketing Strategy

Gift cards can be an important marketing tool. The branded card will instantly put your business on the cardholder’s mind. Plus, you can use gift cards in different promotions, like offering a free $5 gift with purchases over $25. And who knows, maybe the shopper will then pass on this gift card to someone else, which will further raise brand awareness

4. Great for Holiday Time

2016 was the 10th year in a row that gift cards were the most requested holiday gift. Give your customers an option that they’re likely to choose, and increase your revenue at holiday time.

5. Prevent Returns and Refunds

With most gifts, there is a chance that the customer will return the item. Gift cards, though, give the customer the freedom to choose what they want to buy, which eliminates the potential of a return. Plus, even if the recipient doesn’t end up using the gift card, the money has still been spent.

6. Increase Customer Loyalty

Consider using gift cards that can be easily incorporated into a loyalty program to boost your customer base even more. Once the balance is empty, give your customers the option to reload the card, or to start earning points.


If you’re interested in learning more about gift cards, Fidelity is happy to help you find the best solution.