Worldwide, the gift card market is an industry worth billions of dollars and is one that is rapidly growing. Dominated by global brands and national companies, it is about time for smaller businesses to take a slice of the pie.
With all consumers, not just millennials, there is a shift for more niche products and unique experiences. Despite previous stigma of being impersonal, gift cards have grown in popularity amongst customers due to the wide choices available as well as the flexibility and convenience it provides. For businesses, it is a great extra source of revenue that drive sales throughout the year with gift givers are in search of birthday presents and also via holiday driven campaigns such as Christmas, Father’s Day, Mother’s Day or Valentine’s.
So, why should your business adopt a digital gift card system…
- Exposure to new customers – gift cards are a great referral tool that allows your current customers to introduce your business to their friends and family who may not have been to your establishment before. This gives potential to convert them into repeat business especially if you use a credit-based system.
- Doubling your database – not only are you capturing the information of the recipient but also that of the purchaser. This allows you identify your new customers and your brand advocates- these are your loyal customers who are willing to introduce loved ones while spending money on your business. This also allows tailoring your marketing campaigns to encourage gift card holders to visit and send reminders to redeem their gift cards.
- Increasing sales yet reducing costs – having gift cards available online, allows your to generate sales 24/7 unmonitored, accessible even to those who aren’t able to come onsite. With customers able to schedule their gift cards online, everything is done automatically and you are reducing the cost of labour as well as the chance of fraud associated with replacing lost or stolen cards.
- Extra profitability – on average, recipients purchase an additional 20% of the value of their gift card. Whether they are in store or enjoying an experience, customers tend to spend more than the minimum due to seeing more products they would like to purchase or wanting an upgrade on the day. Another astonishing statistic is that 20% of gift cards go unredeemed, as gift cards are paid upfront, 100% of this unredeemed amount is pure profit to you.
Kounta has partnered with ROLLER to integrate their revolutionary digital gift card software to integrate with your point of sale. With a mobile focus, ROLLER’s new white label system is leading the way in facilitating a move to online transactions so that you are no longer relying on the manual processes that currently hinder your business’s day to day operations.
This closed-loop program allows for custom branding of your platform and gift card look and feel, easily linked as an extension of your website and even as a tab on their Facebook page. Allowing for a personal touch, a key feature from the purchaser’s perspective is that customers are able to upload their own photo with a personal note or attach a video message to their gift card and for the traditionalist; there is still the option to make use (of existing) physical gift cards.
The ROLLER system allows the creation multiple gift card products with several options in price denominations either as credits or strictly for one time use. The user experience is seamless for both the consumer as well as the business owner. Operating in real time, both parties can check the balance of their gift card from their devices and it also allows for tracking, managing, re-issuing gift cards and processing redemptions with great ease.
For more info on how to get started with digital gift cards and Kounta – click here