The gift card market has been reported to secure a steady increase over the years, with a 10% average annual growth rate.
4 Reasons Gift Cards Are The Perfect Gifts (+ Gift Card Ideas For Your Business!)
Most retailers love selling gift cards because they’re pretty much making money without selling anything.
We’re going to save you a huge amount of time and stress by recommending the one gift that works for pretty much anybody on the planet – gift cards.
What are gift cards and how do they work?
Gift cards are cards from a particular store that are topped up with funds and given to someone as a gift. The recipient can then go to the store and purchase whatever they desire – according to the amount of funds stored in the card.
Why retailers love gift cards?
Retailers love gift cards because they’re pretty much making money without selling anything.
When someone buys a gift card for $100, they haven’t sold any products, but they have made $100. They only have to deliver the product sometime in the future when the person with the gift card shows up.
There’s also a chance that the person with the gift card might purchase less than $100 because it’s hard to find items that adds up exactly. Which means the retailers are automatically making a few extra dollars.
Some customers might even spend $20 or $30 more, since the rest of their purchase is technically free and they want to make the most out of the gift card.
This is also why gift cards are perfect for both small and big business owners.
Why consumers love gift cards?
Consumers love gift cards because they scream freedom and flexibility.
Once you know where someone likes to shop, or even just their hobbies and interests, you can already narrow down to a few stores that they would enjoy shopping at.
This particular study found that almost 60% of respondents prefer getting gift certificates as presents. This shows that people are becoming more receptive towards receiving gift cards as presents.
In the United States alone, the number of people who either purchased or received a gift card stood at a whopping 93%.
What would you rather have – getting your colleague another Lego set on top of the hundreds he already has – or buying him a gift card that allows him to purchase something he actually wants? We bet it’s the latter.
Yes, we know people like to open big boxes of presents on Christmas morning or during the Christmas party at your office.
But we also know that most gifts end up in a corner somewhere collecting dust – especially if it’s another generic “You’re the best” mug or a stuffed toy.
Here are a four reasons why gift cards make the perfect gift for any holiday:
1. It’s stress free
Let’s just say your sister is avid make-up fan.
She already has all the beauty blenders in the world and every shade of lipstick out there.
So what do you do?
Do you walk into Sephora and stress out trying to figure out what specific item in this sea of make-up does she not own? Maybe. But you know what will be easier? Getting her a gift card from Sephora and letting her decide what she wants for herself.
Even for me, I’d much rather get a gift card from H&M because I honestly do not have space for another snow globe on my desk.
2. It’s personal – and they can buy something they really want
Yes, gift cards can be personal too.
Your neighbour might have gotten your mom a nice box of Christmas cookies, but only you know that she’s a massive fan of Tesco. So what do you? Get her a gift card from Tesco so she can go get that juicer she’s been coveting.
In another survey, 77% of respondents said they prefer gift cards because of the ‘ability to treat themselves to something they really want’. That should clear any other doubts you have about gift cards.
Maybe your colleague is a coffee lover. You can get her a gift card to have coffee at her usual place or get her to try some place different.
💡Tip: It’s not hard to figure out where someone likes to shop.
Just observe them. What kind of clothes do they like wearing? Are they wearing any watches or bracelets? Do they diligently make a cup of coffee every hour in the office? Do they have parcels being delivered from Lazada every other day? Do they cut their hair often? What do they always talk about?
There are plenty of clues if you pay attention.
3. They can be of great help for someone on a budget
Maybe your cousin has a party to attend a month from now. Her bank account is running low because she had to settle a number of bills and her car was due for service.
While she sits in a corner lamenting her fate and the fact that she cannot afford a new dress, she remembers the gift card you got her for Christmas. She can now buy a new dress, show up for the party – and everyone’s happy.
Maybe your colleague wants to head back to his hometown to visit his mother who is sick. He doesn’t have to worry about the cost of petrol, since you got him a gift card from that allows him to fill up his tank for free. He can now visit his mother and has some cash to spare for her medical needs.
It can also come in handy for household items, gadgets, music, and a number of other things. Don’t underestimate the power of reducing someone’s monthly financial burden!
And the best part about all these…
4. You can get gift cards from the comfort of your couch!
Thanks to the internet, you don’t even have to leave your couch to get gift cards.
Most sites and merchants allow you to purchase gift cards online and email it to the recipient. Which means the person who receives the gift card also don’t have to leave their home to use it.
All your recipient has to do is key in the number on the card when making their purchase – and voila – it’s done. Now all they have to do is sit back and wait for the delivery guy to show up.
Ready to load up on gift cards for your family this Christmas? Here are some ideas:
Fuel is never cheap. Most people struggle to fill up their car every month. Help someone reduce their financial burden this Christmas. This Petronas gift card can be bought from Lazada at a starting price of RM50.
Lazada has pretty much everything under the sun. From clothes, gadgets, bedsheet, bathroom supplies, kitchen appliances, food items, bags, shoes – you name it and they have it. You really cannot go wrong with this. Gift card starts at RM50.
Help someone get new furniture for Christmas or New Year. IKEA gift cards start as low as RM50 and go up RM1,000. The card can be used at the check-outs, restaurants, and the Swedish food market.
We all have that one friend who is obsessed with Uniqlo. From casual to affordable winter clothing, this gift card will be perfect for your friends who love the #wanderlust hashtag. The Uniqlo gift card starts at RM100.
The perfect gift card for that colleague who is always sporting her #OOTD and looks red-carpet ready. Zalora is known for their speedy delivery and they are first-class in processing returns and refunds. So you have nothing to worry about. Their gift card starts at RM75.
The ultimate, foolproof idea for basically any human in this world – who don’t already have a Netflix account. You’ll be giving someone greatest gift of unlimited award-winning comedies, TV shows, documentaries, movies, and more. Price is subject to which plan you choose.
It's the holiday season after all. Spoil your friends or even family members with a Beer Factory gift card so they can go relax and unwind with a pint.
Another gift card where you can't go wrong! Everyone needs their cup of coffee in the mornings - some in the evenings too. This gift card is perfect for all the coffee lovers that you know.
Happy holidays! 🎄 🎄
If you are looking to kickstart a gift card program for your business, just drop us a line at email@example.com