Did you familiar with the fact that approx. 50% of adult customers used plastic gift cards last years? That is around more than 50 million people! Electronic gift cards now sell more than paper cards by 4 to 1. Why should you switch to gift cards? Let’s have a look at some superb benefits to using a plastic gift card system:
Gift cards eliminate giving hard cash refunds. They also make customer loyalty. Current statistics indicate that nearly 55% of gift card holders make more than one visit to your store to spend dollars not used on the initial visit. Generally on the second visit, nearly 60% of those customers spend more than the residual value of the card. Research indicates that for each $100 gift card sold, the merchant can anticipate an extra $50 of business sales.
Around 10% of total gift card sales are never bought back. That money, called as breakage, is pure profit.
Diminished Administrative Costs
Administrative costs for traditional paper gift certificates run as higher as 8% of overall gift certificate sales. Electronic gift cards diminish this cost by as much as 90%.
Stops pilferage by getting rid of customer or employee pilferage, as cards hold no value until activated and all transactions recorded electronically.
Gift card transactions are more accurate and precise in comparison with traditional paper-based gift programs through offering computer-based, complete real-time reporting.
One card can contain loyalty points and cash value with a redemption program that is custom-designed to fit your business perfectly.
Enhance Customer Uniqueness & Convenience
Plastic gift cards are easy to redeem and carry. They appear to be more longer-lasting and permanent than paper. Hence to the customer, they are more credible in comparison with paper certificates.
Instead of the same traditional paper certificates, you design your card. Every time it used, your customer reminded of who you are. Several retailers now have gift card schemes and run them in combination with their traditional paper-based gift voucher plan. These gift cards are the newest innovation in vouchering to hit the United Kingdom high street. A plastic card is issued instead of vouchers. When a customer wants to buy a gift card, he selects whatever value he selects to put on the card – getting rid of the need for cards of several pre-printed values. The value is seized on a central database, not on the card, and only activated at the time of payment.
It is rather easy to get electronic gift cards these days. Many businesses and stores now provide gift cards to boost their exposure and boost sales. It is a personal tool that business entrepreneurs should use properly. Rather than using paper gift certificates, it is better if you print out plastic cards. It is possible via using the right plastic card printing tool.