Gift Card

Gift cards emerged in the United States in 1995, with an estimated market size then of around US$1 billion. Sources estimate the size of the US market to be running at US$82 billion as at 2006, an increase of over 20% on the previous year.  The major growth in the market has been in the last 2 - 3 years. More than 50% of all US retailers and over 35% of shopping centres now offer gift cards, and nearly 50% of all cards are purchased by companies.

Gift cards are now taking a firm foothold in the rest of the world, including Australia, mainly due to the following advantages:

Appeal to Customers
During the holiday season, gift cards are the number one gift. Gift cards attract new customers and help ensure sales all year long.

Brand Awareness
Gift cards are seen as functioning as mini-billboards for a retailer, driving floor traffic to the store. If a potential customer is choosing which store to go to they are more likely to choose the one for which they have a gift card in their wallet or purse.

Increase Sales and Profits
Most gift card sales have an additional upsale, i.e. purchases beyond the value of the gift card.

Business to Business Gift Cards
Gift cards are widely used for employee reward programs, sometimes in a barter/swap mode between companies.

Ideal For Merchandise Returns
Rather than giving a customer a cash refund, a store gift card ensures that the money stays within the business.

Attract New Customers
Gift cards are often given to untapped customers by loyal customers, promotional mailings, corporate gifts, come-back rewards, and other marketing programs.

Promote Repeat Business
Gift cards are ideal for regular customers to use a prepaid balance for recurring services.

Why not consider Quest's Redeem Gift Card system? It could dramatically benefit your business.