Gift cards take up little space, and when displayed near a register, they are more likely to be purchased. Gift cards also guarantee return visits, especially if a balance remains on the card.
More than 10 percent of gift card recipients say that they would never or had rarely visited a merchant’s location without the incentive of a gift card.
“Top-of-mind” awareness increases when the customer is exposed to gift cards and the brands they advertise.
More than 30 percent of gift card recipients say they are more likely to buy a full-price item rather than an item on sale when using a gift card.
Because recipients have the flexibility to choose their own merchandise, returns and the high cost of managing them is greatly reduced.
