Electronic gift cards have become a beneficial tool for businesses in the retail industry in the last year. But the question is, why?
As we continue to pivot through this pandemic, many businesses have had to bring their physical store online. More and more consumers are choosing to shop online (whether they have the option or not to shop in-store).
In fact, according to Statistics Canada online shopping doubled in 2020. For example, from May 2019 to May 2020, e-commerce sales increased by 110%.
If you haven’t already, we highly recommend businesses get set up with their e-commerce shop. This will allow sales to continue as you maneuver through the changing COVID-19 restrictions.
Here are 4 reasons why retailers benefit from electronic gift cards:
Increase Your Sales and Revenue
First and foremost, retailers benefit from electronic gift cards because they help increase sales and revenue.
It’s no secret that gift cards are a “go-to” gift, especially for shoppers who just aren’t sure what to give. Having them accessible both on your website and in-store allow more sales opportunities.
Plus, a shopper with a gift card or electronic gift card at hand is likely to spend more than the card’s value. It is also an opportunity for them to add the bigger ticket items to their shopping baskets, since they can use the gift card as a “discount”.
2. Boost Brand Awareness and Spread the Loyalty Love
Electronic gift cards are a great way to boost brand awareness. How? Shoppers will send a gift card to their friends or loved ones from your business for them to try out your products.
If they’re happy, the train continues and they’re likely to send a gift card to their friends/loved ones, growing your brand! Plus, since you are able to send electronic gift cards from anywhere in the world, your possible shoppers aren’t constricted to just in-store shopping.
Electronic gift cards are also a great way to gain loyal customers. Customers will be more likely to shop with your brand, when they have a gift card at hand. It’s an easy first step for them into your business.
You can also use electronic gift cards as a way to thank your loyalty customers OR as a way to make it right with customers who may not have had a pleasant experience.
Check out this video on the top 3 reasons electronic gift cards are beneficial!
3. They’re Convenient and Secure!
There’s no surprise that electronic gift cards are extremely convenient. Like we mentioned, these cards can be sent to anyone, at any time of day, from anywhere in the world. It allows your business to be open 24/7.
Plus, since the cards are digital, there’s no worry about losing it! It simply stays in the person’s inbox until they are ready to shop.
4. eGift is Not Expensive to Set Up
Lastly, electronic gift cards are not expensive for your business to set up. The program lives online and links to your website, so really once you have your website linked you are good to go!
Most digital gift card program providers will only charge a small monthly fee to keep the program running and for any maintenance needed. And, like Ackroo’s eGift program, the digital gift card portals are customizable to match your brand and can either be a separate link OR embedded into your website. The options are endless!