With the holiday season right around the corner, gift cards are one of the most requested items. Here are a few tips to sell and benefits you will gain with a simple gift card program.
- Impulse Buyers – Stock up and make sure you have them within eye-sight at your register. Your impulse buyer is sure to purchase for a family member, colleague, teacher or friend.
- Up-selling – Educate yourself and your staff. Consumers like to be enticed. Offer them the pleasure and advantage. If you are not up-selling your customers, you are missing out on a LOT of revenue. It works, just ask: “I am so happy you and yours enjoyed yourselves this evening. Why not add a gift card for a loved one? Sounds great, right!” As you and your staff master this amazing tool, you can move onto cross-selling. Just by suggesting other relevant options to your customer like: “Did you know the $25.00 gift cards are on special this week, buy three get the fourth for half price?” Or, “Don’t forget to pick up a few of these cards for your family and friends; they are handy to have for last minute needs. Want me to add another card to your order?”
- Lifesaver (Be the “Go to Merchant”) – As consumers, we have all done it. It’s down to the last minute and we need a gift. If a customer comes in for gift cards and you don’t have them, you lost a sale. The mere act of displaying gift cards lets your customers know they can rely on you in a pinch. Be the Hero and “Go To”. Try it!
- Increased Sales – The primary benefit is your sales numbers will boom! You will generate revenue in advance of sales, and studies show customers spend more than the amount on the card.
- Marketing – Get the word out about your establishment. Gift cards are like mini billboards. Your branding speaks volumes.
- Breakage – refers to the amount left on a gift card that is never redeemed. A person with a $100 gift card may purchase $97 and inadvertently toss the card in a drawer, or throw it away. This helps your margins.
- Repeat Business – If someone has never heard about your business, but receive a $20 gift card for their birthday, Christmas or even a holiday party, they will find you and maybe become a customer for life!
- Advertising – Your gift cards encourage customers to join loyalty programs as well and you will now have the data you need, providing you are using a POS system, to capture that data. Now you can send specials or “ping” them when they drive by your business.