In 2017, research by InComm, the market leader in new payment technologies and solutions, found that
consumers turn to gift cards for many life events not just the holidays
For years the award
industry judiciously fought the onslaught of gift cards as a reward in
incentive or recognition programs. They
asserted that because they are cash like, they are the same as cash and should
not be used for awards for the same reasons you really shouldn’t use cash for
awards. The real reason for that debate
was that the traditional incentive award companies had profits exceeding 80% onmerchandise awards and 10% or less on gift cards.
Gift cards succeeded
because they have become a way of life in our culture. It’s what many award winners want because
they can get the award they really want in the most cost effective way.
Now, according to the
research we find that gift cards are being used for 82% of birthdays, 39% for
graduations and 52% as a thank you.
In these instances the 92%
of the survey respondents gave two or more gift cards and 54% gave five or
more.
In addition, 82% said they
would appreciate receiving a gift card for those occasions as well.
Younger consumers are finding
even more occasions in which to give a gift card. Millennia respondents between 25 and 34 noted
they often give cards for things such as new babies and new home ownership.
Gift cards are appropriate
for any number of occasions, alleviating much of the stress that can come with
shopping for “just the right gift.” This
versatility benefits both the giver and the recipient.
For more information on Ultimate Choice
Inc.’s gift card products or services or other white papers please contact us
at Ultimatechoiceinfo@cox.net
