‘Tis the season to be merry! And it’s also the season of giving. Of course, this is the time of year when people are thinking about all types of gifts that they plan on giving to their loved ones. The end-of-year holiday season is always a guaranteed busy time in the retail world and, as a result, retailers need to be prepared. At Canadian POS Corporation, we believe that one of the best possible ways to prepare a business for the holiday rush is to sell gift cards.
According to CardCash.com, “gift cards are a multi-billion dollar industry and it\’s only growing!” And, it should go without saying that, at this time of year, gift card sales are higher than ever. Consider the fact that gift cards allow recipients to purchase whatever they like. They help to do away with the problem of knowing exactly what to buy. Perhaps, that’s why gift cards are so popular. The statistics don’t lie!
The following are courtesy of CardCash.com:
Gift cards are projected to account for over 18% of holiday purchases this year. While you may assume that this percentage is small, consider the fact that it represents approximately one-fifth of all holiday purchases. That’s a pretty big chunk of the retail industry! If you’re looking to boost sales this holiday season, you could certainly do a lot worse than add gift cards to the list of products your company sells.
Nearly half of all consumers receive gift cards on Christmas. Wow! Apparently, the concept of giving people exactly what they want is catching on. Besides, gift cards make shopping easy. Especially for last minute shoppers who aren’t sure what to get, gift cards are always safe bets. “According to Google, when scrambling to get a gift a couple of days before Christmas, you are most likely to buy a gift card. A few close seconds are chocolate, food, clothing and perfume,” says CardCash.com.
Gift cards have the ability to get customers in the door. Remember that holiday shoppers aren’t just shopping for gifts. They are often shopping for themselves. So, when you sell gift cards, you encourage people to enter the doors of your store to do a little browsing before making that all important purchase. “72% of shoppers also do some shopping for themselves when going to a store or website to purchase a gift card,” reports CardCash.com.
55% of gift card recipients require more than one shopping trip to spend the balance of their cards. Repeat business is yet another benefit of selling gift cards. Not only do they represent direct recommendations of your business, but they encourage recipients to visit your store more than once. Naturally, this presents you with opportunities to “wow” them, so that they are converted to loyal customers.
Gift cards are bound to make customers spend more than the value of the cards. According to CardCash.com, “72% of customers will spend MORE than the value of their card. On average the recipient will spend 20% MORE than their gift card value.” That means that every time you sell a gift card, you are giving yourself an excellent chance of earning even more money when the recipient of the card visits your store.
Nothing beats a gift card as a holiday present! This may sound a lot more like a bold statement than a statistic. But as CardCash.com reports, “for the eighth year in a row, gift cards are the most requested gift item among those celebrating the holidays.” Evidently, they are what people want as presents. Therefore, they will be what your customers are looking for this holiday season. Be sure not to disappoint them!