Gift Cards for Small Businesses: A Powerful Holiday Boost

Gift Cards for Small Businesses: A Powerful Holiday Boost

Small businesses everywhere are gearing up as the holiday season approaches for the busiest shopping months of the year. With shoppers looking for quick and versatile gift ideas, gift cards for small businesses have emerged as one of the most popular holiday items. Not only do they provide convenience to the customers, but they also provide massive benefits to small businesses. Gift cards are a win-win for both buyers and sellers, and from free marketing opportunities to additional revenue streams, there’s plenty to like about them.

In this post, we’ll talk about how gift cards help small businesses during the holidays and explore some creative ways to promote them.

Why Small Businesses Should Stock Up on Gift Cards for the Holidays

The most simple and powerful way to attract new customers and boost sales is with gift cards. They’re especially great for gifts during the holidays, as they’re ideal presents for those friends and family that are hard to shop for. Stocking up on gift cards for the holidays is more than just selling a product, it’s giving your customers the gift of flexibility. It’s especially handy when people are trying to manage a bunch of lists, gifts and schedules.

The main thing for small businesses is to have a lot of gift cards and put them out everywhere. Make sure you have your gift cards visible at checkout, on your website, and in any seasonal promotional materials. You’d be surprised at how gift cards help small businesses during the holidays by providing an easy, attractive option for last-minute shoppers.

The Benefits of Gift Cards for Small Businesses: Free Marketing in Every Gift

One of the best parts about gift cards for small businesses is that they’re essentially free advertising. When a customer buys a gift card, they could be bringing your business to someone new. This new customer would not have come into your store or visited your website if it weren’t for that gift card.

Gift cards are especially powerful because they have a personal endorsement from the giver. Gift cards for small businesses are given to people by their friends and family who really like the business they are giving the gift card to, so the gift feels more trusted and meaningful. That kind of word-of-mouth recommendation is priceless for small business. The more you introduce your brand to new customers, the better the chance you have of turning them into loyal patrons.

It’s a great idea to take this effect a step further by creating branded, visually pleasing gift card designs. These cards are mini billboards for your brand and guarantee that your business makes a good impression even before the gift card is redeemed.

Creative Ways to Sell Gift Cards for Small Businesses

One easy way to boost your gift card sales is to incorporate them into seasonal raffles, gift baskets, or holiday bundles. Here are a few creative ways to sell gift cards for small businesses this holiday season:

  • Holiday Raffles: In store or online, host a holiday raffle in which customers can win a gift card. This can also get people excited about your gift cards and will increase your foot traffic or website visits. Likewise, many customers who have not won will end up buying a card.
  • Gift Baskets or Bundles: Make gift baskets with small gift cards which include your store’s popular products. If you’re a salon, this works great for a “spa day” package, or if you sell gourmet treats, this works great for a “movie night” bundle. This card encourages people to return and explore what you offer.
  • Buy One, Get One (BOGO): During the holiday season and in the days following Christmas, think of trying a “buy one, get one half off” promotion on the gift cards. For instance, customers purchase a $50 gift card and receive another $25 of the same to themselves or to gift to someone else.

 

A holiday gift basket featuring gift cards for small businesses, champagne, chocolates, and a plush Grinch toy, arranged with festive decor in front of a Christmas tree.

This holiday season, add a personal touch to your gift baskets with gift cards for small businesses. They’re a meaningful way to support local shops and offer unique options for your loved ones.

 

Unredeemed Gift Cards: The Secret Revenue Boost for Small Businesses

Did you know that a lot of gift cards never get redeemed? Research found that a good chunk of gift cards for small businesses never get fully redeemed, and often never are, as recipients forget or gift cards go to waste. For small business owners, this means an immediate kick in revenue without having to order more inventory or add more service.

Extra revenue without additional expenses is provided by unused or partially redeemed gift cards, sometimes called ‘breakage’. During slower times after the holidays, when every little bit of money counts, this financial benefit is especially useful for small businesses.

This added revenue cushion is good, but keep in mind that the goal is still to provide a great experience to every customer who visits, whether or not they’re redeeming a gift card. Each visit is a chance to make a one-time gift card holder a regular customer.

Using Gift Cards as a Year-Round Marketing Strategy

Gift cards aren’t just for holiday sales, they’re a year-round marketing tool. Some people purchase gift cards as gifts during the holiday season, and people may still purchase gift cards for birthdays, anniversaries, graduations, and other celebrations even after the holiday season. If you make gift cards a regular part of your promotions, you’ll continue to get new customers all year long.

To keep gift cards top of mind, consider these strategies:

  • Email Reminders: Seasonal emails like promoting gift cards and how they can be the perfect gift for any occasion.
  • Social Media Promotion: Post photos on social media of your branded gift cards. Help customers show friends and family how much they would appreciate a card and how easy it is to pick one up.
  • Incentives for Use: Challenge current customers to redeem their gift cards using seasonal or limited time discounts. For instance, you can give a small discount on the first-time purchase with a gift card and thus convert new customers into repeat buyers.

Ready to Start Selling Gift Cards for Your Small Business?

We make it easy for small businesses to offer gift cards at Card Systems, Inc. We’re here to help whether you are just getting started or stocking up for the busy holiday season. Our gift card solutions are easy to use, affordable and streamlined so you can provide your customers with what they need most—your service.

We can help you make gift cards a profitable part of your business this holiday season. Don’t wait, reach out today to learn more about how easy it is to get started!

 

References:

Gift Cards – You Still Have Time!

Gift Cards – You Still Have Time!

How can you sell more this season?

Gift cards continue to be the #1 gift given and also the #1 gift most people want to receive.  E-gift cards and Mobile Gift cards are becoming more popular than ever and you can begin selling these cards today! Especially with so many people using their mobile devices for everything these days.  Not only e-gift cards are easy to buy and send, but they are also instantly delivered or they can be ordered ahead of time.

3 Quick Tips to sell more gift cards this year

Add Value
Offer an additional bonus gift card with a large purchase or in addition to a $50-$100 gift card purchase. This is another great way to acquire new customers. A mere $10 or $20 free gift card is an inexpensive way to increase your customer base since most people give the free card away to friends or family. There is a reason the big box stores have huge banners up this time of year!
Creating Impulse Gifts
Give your customers a “grab and go” option at check-out with your cards in a basket or simple gift bag.  A bottle of wine and pasta in a basket or maybe some chocolates with a plate on display will appeal to your customers. Get creative, and have fun with it!  You have a captive audience and visualization always sells more gift cards.  Customers love the time savings of not having to wrap it themselves or think of items to add. Your gift cards fly off the shelves and your sales will skyrocket!  Not to mention the new business you will gain from the recipients of these gift cards.
Advertise e-Gift Cards Everywhere
Use banners outside or notices on your doors, and a fun display at your check out counter.  Also, don’t forget social media…with a simple QR code directing them to your website to order e-gift cards, mobile or plastic gift cards online!
We are all pressed for time these days and just by making it easy for your customers to order with gift ideas or different methods of delivery, you will create the “WOW” factor and be remembered!  Last year Statista reported retail sales were projected to amount to $6.03 trillion in 2022!
Restaurant Server Suggestive Selling

Restaurant Server Suggestive Selling

Boost your Restaurant Sales by Up-sell to Existing Customers

Your servers should be suggesting appetizers, desserts, and gift cards. Are they?  A lot of servers simply ask ”Can I start you out with an appetizer?”  This puts the server in a bad position if the customer says no as they can’t really ask again without running the risk of sounding pushy or becoming annoying. When it comes to suggestive selling you want to follow these 3 steps.

3 Simple Steps to Market your Appetizers

  1.  Inform – Tell the customer that you have appetizers when handing out the menu by saying something like “Be sure to check out our appetizer section, they are amazing!”
  2. Testify –  Before taking the order preferably before the customer makes up their mind, you want to testify by saying something like “you should try the Crab stuffed mushrooms with the lobster sauce they are my favorite!” Be descriptive when testifying but keep it short
  3.  The Close – Now is the time to ask for the sale “so can I start you out with an appetizer?”

The idea here is to get the customer to think about the appetizer without forcing them to make a quick decision.

Now that you sold an appetizer to your table, it’s time to think about dessert. Before the meal is brought to the table you want to put the idea of dessert in their minds while they are still hungry. We are going to use the three steps again but with a little twist.

3 Simple Steps to Market your Desserts

  1. Inform – Go back to the table to let them know their food will be ready soon or to see how the Appetizer is say something like “I was in the kitchen and they just pulled the apple pie out of the oven it smells so good”
  2. Testify/Close – When you return to check the table say something like “we have some of the best pastry chefs here, our desserts are delicious. “Can I bring you a piece of pie?” Now if the customer says yes, great!  If they say, no it’s ok, because we will take one last shot before they pay the bill.
  3. 2nd offer – When the customer asks for the check casually ask “So are you sure you don’t want that piece of that pie?  I can put it in a small box so you can take it with you for later.”

Up-selling in a restaurant is like any other type of sales.  If you train your servers properly to use suggestive selling they will market more appetizers, desserts, and gift cards. This leads to larger checks, higher tips for servers, and retention of those servers along with more revenue for your restaurant.  You don’t have to follow this pitch word for word, make it your own and work it into the conversation naturally. Also, people are more inclined to buy from people they like so remind your servers to be polite, friendly, and smile, smile, smile!

More solutions for restaurants.

Gift Cards Expected to Exceed $6 Trillion by 2022

Gift Cards Expected to Exceed $6 Trillion by 2022

According to the 2018 Prepaid Consumer Insights Study released by First Data (NYSE: FDC), the average consumer is spending $59 more than the original value of their gift card, up $21 from 2017. Despite the set value on a gift card, 72% of customers report spending more than the given amount on their card.

Offering gift cards allows a company to attract new customers, increase brand awareness, improve sales, and reduce fraud. Total retail sales in the United States were projected to amount to 6.03 trillion U.S. dollars in 2022, up from around 5.4 trillion U.S. dollars in 2018.  Often, businesses overlook the benefits of integrating gift cards into their companies.

Attracting New Customers

Gift cards are incredibly useful in attracting new customers.  They are the number one gift, introducing new customers to your business.  Also, these Gift Cards serve as an incentive to purchase something your customer may not typically seek out.

Increasing Brand Awareness

Providing customers with Gift Cards increases your brand awareness. Your brand will be introduced to a new audience as gift cards are purchased and given to others for holidays or birthdays. 93% of consumers will either buy or receive a gift card; also, they are the #1 most requested present during holidays.

Marketing Your Company

Customizing your Gift Card serves as a self-marketing tool. Your logo is displayed in your customer’s wallet and viewed often.  Not only will this prompt customers to revisit your store, but it will also hopefully turn them into loyal repeat customers.

Reducing Fraud

By offering Gift Cards to customers, as opposed to paper certificates, you will also reduce your risk of fraud.  Tracking certificates is complex, and with Gift Card integrations to the new POS Systems, it is now a simple process to monitor.  Using a POS System will deter internal theft and quite possibly reduce the likelihood of counterfeit certificates being produced by fraudsters.   Gift cards are electronically monitored with a POS system, which allows the merchant to verify the initial transaction.  This is also a great way to deal with returns by getting your customer to purchase another product.

With these exploding numbers in the Gift Card industry, how will you capture your market share?  We can help uplift your sales today!

 

Gift Cards for the Holidays in a SNAP

Gift Cards for the Holidays in a SNAP

Here we are with the Holiday Season just around the corner. Are you ready? Have you implemented everything you can to ensure your business is getting a nice big piece of the retail spending pie this Holiday Season? So what about gift cards?  Did you know that shoppers spend over $31 billion on gift cards annually?

The National Retail Federation, hires Prosper Insights and Analytics to do surveys on certain categories of product lines year after year. This year they determined that for the eleventh year in a row, gift cards remain the most popular items on wish lists, requested by 61 percent of those surveyed, For the eleventh year in a row, gift cards remain the most popular items on wish lists, requested by 61 percent of those surveyed, followed by clothing and accessories at 55 percent, the highest level the category has seen in 12 years.

No matter whom your target market is from Baby Boomers to Gen Z, gift cards are the most sought-after gift. Now they are easy to obtain and come in so many different forms. Take a look and supercharge your holidays!