• On average merchants realized a 15% - 46% increase in sales after they
switched from paper gift certificates to gift cards.
• The full cash value remains with the store there is
no need to give cash
back if a customer's
purchase is less than the gift card amount.
Remaining balances encourage customers
to return to your business to
make an additional purchase. If the card holder does not make another
purchase, the un-used balance
is free income to our business (referred to
as breakage). In comparison,
stores using paper gift certificates tend to
refund the balance to customers when used for purchases.
•
Gift cards can be prominently displayed within your business as they contain no value until activated. This
option is
not available with gift certificates
• Gift cards are less time consuming to process than gift certificates.
• Gift cards
are easy to carry and use, how many people do you know who carry paper gift certificates in their wallets?
•
Gift cards offer better reporting options whereas paper gift certificates can be both difficult and time consuming to
track.
• Gift cards have a higher perceived value compared to that of gift certificates.
• Compared to paper gift certificates
gift cards are less time consuming to process.
• Gift cards are more secure and eliminate the risk of fraud, duplication would be complex. Paper gift
certificates are easiler to
duplicate/counterfeit.
• Gift cards can be recharged and re-used over and over again.
Paper gift certificates are single use only.
• Gift cards typically cost less than paper gift certificates.
• Gift cards provide real-time
tracking and reporting. You can track usage, redemption, balances, marketing, return on investment,
etc. Try doing that with paper gift certificates.
