Gift cards can make your sales soar and your customer base double, so it’s no surprise so many retailers offer a huge variety of both online and physical vouchers. Not only do gift cards make the chore of gift giving much easier for customers (hence the huge appeal), but they also come with a multitude of benefits for businesses.
They Double Your Customers
Gift Cards give you twice the number of customers. Each Gift Card purchase provides a customer who bought the Gift Card and a future customer who will use the Gift Card. That’s two possible new customers, and two guaranteed transactions!
They’re Low-Cost Advertising
They act as cost-effective advertising. Both ecards and physical cards show off your logo and are great for creating brand awareness and making your brand familiar to new potential customers.
They Increase Average Order Value (AOV)
Gift Cards increase a customer’s AOV (Average Order Value). Gift Card users usually purchase more than the value of their Gift Card, benefitting from more expensive products for less money. This increases their average order value, as they are more willing to spend when they’re getting a healthy £15 or more off.
They Provide Double the Data!
Not only do you get two customers with each Gift Card purchase, but you also get two customer email addresses, names, addresses, birthdays and so on.
Two customer transactions allow you to gather twice the amount of data for marketing purposes. This data can be used to retarget or target similar customers on Facebook, Google, and by email.
You can maximise data capturing by ensuring an account is created with each purchase, which will be linked to an email address and store browsing/shopping habits.
For quick gift card purchases, you can send an e-voucher to the buyer or/and receiver’s email address in a quick form, which will seem worthwhile to the user and allow you to collect relevant emails addresses quickly.
Gift Cards are very low-risk – there’s really nothing to lose! Even if they go unused, you still have the original transaction of the gift card.
Interestingly, about 30% of people don’t use their Gift Cards, so even if you don’t gain a new customer, at least these unused Gift Cards act as straight up profit.
You either gain a new customer or £10 or more from doing absolutely nothing. Although you’d prefer the new or returning customer and their data, it’s really not bad either way!
Go For It!
We hope you enjoyed reading ‘5 Benefits of Gift Cards For Businesses’ and we hope our blog inspired some ideas on how you can use gift cards to maximise sales and gain customer data.
Don’t worry if you’re unsure about how to add gift cards to your website, or how to advertise them via social media or Google. You can contact a professional ecommerce agency to take care of your website and marketing, meaning you can focus all your attention on the important day-to-day running of your business!