By Mary Donovan, Retail Gift Card Association
Americans love giving and receiving gift cards. They are always in demand and present significant incremental sales opportunities. According to a biannual consumer survey of 1,100 US consumers by the Retail Gift Card Association (RGCA), convenience and choice make gift cards and certificates extremely popular among consumers, making this a potential revenue source for vendors.
Key findings include:
- Gift cards get shoppers to purchase more. 72 percent do some shopping for themselves when purchasing a gift card. Gift cards also increase sales during redemption; 45 percent of shoppers will spend more than the value of the gift card when they redeem.
- Gift cards are extremely popular. 77 percent of consumers have given a gift card in the past year, and 90 percent have received at least one in the past year.
- Consumers value choice. The number one reason shoppers like to give or receive gift cards is that they allow the end users to purchase what they want.