The Benefits of Gift Cards
Paper, or Plastic?
These days, consumers prefer plastic. So fulfill your customer’s demand, and replace those old-fashioned, paper gift certificates with plastic gift cards today!
Already throughout the retail industry, merchants are issuing their customers gift cards, and to keep your business competitive, you should do the same.
Gift card services can be beneficial for you and your customers….
Merchant Benefits:
- Enhance sales and revenue. By offering customers more options and incentives to remain loyal to your business, sales will automatically increase.
- Earn interest from each gift card, from the point of purchase to the time of use.
- Encourage, build, and maintain customer loyalty. To redeem the card value, customers will revisit your store and, quite possibly, purchase more.
- “Slippage.” Unlike gift certificates, cash is not reimbursed to customers who do not redeem their full gift card value. Estimates state that approximately 10-15% of gift card balances are never used.
- Avoid theft and fraud damages. Gift cards require activation to be used and contain other security features to help minimize the risk of theft and fraud.
Customer Benefits:
- Save your customers valuable time. With this easy gift solution, customers know the recipient will get something they like.
- Let customers give the gift of convenience. Gift cards offer flexibility because they can be used at any time, at any participating location, and toward any store purchase.
- Give customers the control. Customers can easily control spending with a pre-paid, “stored value” card.
General Gift Card Information:
- Gift cards hold, or “store” a pre-paid value that can be used for purchases.
- Gift cards can be customized to fit the branding and image of the merchant.
- Magnetic stripe gift cards are processed as secure, electronic payments through most existing Point of Sale systems and credit card terminals.
- Merchants can select from various program options to better suit their objectives.
- Gift cards can hold value until the balances are redeemed or have expired, or they can be “re-loadable.”
- As further incentive to customer loyalty, predetermined rewards can be given back to customers.
…Gift cards have practically replaced gift certificates.”
With approximately 65% of Americans having purchased or received a gift card in the past year, trends show that gift cards have practically replaced gift certificates. Not only do they supply easy earnings for merchants, but they offer invaluable convenience for customers. So start expanding your business, and upgrade or add a gift card program.
Merchant Solutions IQ is dedicated to saving merchants money on what they already have to pay. We believe that educating our merchants about the industry is the best way to earn and keep your business.
We perform custom rate analysis free of charge no obligation to any merchant who asks. Just contact me, Kevin at ksarisky@merchantsolutionsiq.com for more information.
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