If you aren’t offering gift cards to your customers, you’re missing out on a great way to attract new business. If you’re already offering paper-based gift certificates, you really should upgrade to plastic gift cards, as they have more perceived value.
There are a variety of reasons why gift cards are great for business:
Additional spending. Studies show that when consumers have a gift card, they often will go into the store and spend more than the amount of the card. That’s business you likely never would have received otherwise. Even better, if the consumer chooses to visit twice or three times in order to exhaust their gift card, that’s more opportunities for upselling!
Improved cash flow. Gift cards are a great way to stream cash into your business without having to immediately exchange goods and services for it. This cash can help you upgrade your business, or simply earn interest. Also keep in mind that many consumers forget they have the gift cards, so they may never redeem them. Or they’ll partially redeem them and forget to close them out. Obviously, that’s not a positive outcome for the consumer, but bear it in mind that you could occasionally be getting free money with unredeemed gift cards.
It’s very effective advertising/marketing. Just think, someone is giving a valuable card emblazoned with your logo to a consumer who may never have visited or been aware of your business before. So think of your gift cards being great marketing tools to expand your customer base. Blow them away with your retail experience and you may create new customers for life!
You can use them in direct mailers. What’s more compelling than a coupon? A gift card, of course. Even $5 or $10 gift cards could encourage consumers to go out of their way to enter your store. And once they do, who knows how much they’ll ultimately spend?
At Meridian, we offer a variety of gift card programs that can strengthen your bottom line. We’ll craft a solution that is perfect for your business. Give us a call at 334.422.9333, email us at email@example.com, or fill out this handy contact form. Let’s see what’s the right fit for your business.