For small and medium-sized businesses (SMBs), gift card and digital gift card sales are a goldmine, waiting to be scooped up by eager holiday shoppers. In a recent Morning Consult survey, 48% of consumers said gift cards are on their holiday shopping list. Throughout the pandemic, consumers have purchased gift cards in unprecedented quantities, a trend that’s expected to continue into 2021. Here’s how to appeal to the different kinds of holiday shoppers and ensure that your business brings in easier holiday income with gift cards!
Millennials and Gen Z Shoppers Love Gift Cards
Despite the pandemic’s heavy hits to retailers and small businesses, gift card sales haven’t slowed down! A recent Research and Markets survey revealed that the purchasing influence of Millennials and Gen Z shoppers is the powerhouse driving gift card market growth. This demographic of shoppers favors both digital and physical e-cards, for both self-care and gifting purposes. So, to get a bite of that $221 billion dollar industry, you’ve got to stock gift cards.
One Holiday Season – Three Kinds of Shoppers to Please
Now that we know our main customer base, let’s learn how to entice them. This year, there are three kinds of customer profiles to be aware of – here’s who they are, and how to satisfy them!
Online Shoppers aren’t taking any chances, so they’re only venturing out for the essentials. These shoppers will be looking for robust online stores, sales alerts in their email or in text messages, and electronic gift certificates with contact-free delivery. For these shoppers, make sure to use your email and text marketing tools, include loyalty points with purchases, and even consider giving shipping discounts for large orders.
In-Store Shoppers are taking precautions, but they’re also looking forward to the feeling of normalcy holiday shopping brings. Shoppers expect contactless payments, touch-free check-ins and checkouts, and curbside pickup, and may want the option of plastic gift cards to give as gifts.
Hybrid Shoppers are looking for the best deals online, but they’re willing to venture out if the price is right. They’ll be looking at your emails and text blasts as they go about their holiday business. These shoppers might be willing to buy online for in-store pickup, so make sure you enable curbside pickup to accommodate them.
Get Immediate Cash and New Customers with Gift Cards
Why are holiday gift cards so great? They offset the year’s losses, bring in immediate revenue, and attract new customers – leading to secured revenue in 2021 and beyond. They give your business an immediate cash infusion that boosts yearly revenue. Not only do those dollars counterbalance the year’s losses, they also help bring in extra income when they’re redeemed. And whether your customers go with a plastic gift card or an electronic gift certificate – every purchase is a free advertisement for your store. Whoever receives your business gift card is a new chance to gain a loyal customer. Statistics show that the average stylist retains 30% of all new referrals – how much more could you earn, if your client base was 30% bigger?
Gift Cards and eCommerce are One Size Fits All Presents
Gift cards are a great holiday – or any day! – option because they’re scalable to any budget. Whether your customers want electronic gift certificates or plastic gift cards, both are a great choice that reduce the need for physical interaction. 2020 has been a rough year for SMBs, and throughout all its storms, gift cards have been the life preserver that’s swooped in to help businesses stay afloat. After all, it makes sense: gift cards are always the right size, they’re gluten-free, and they’re ideal for those hard-to-shop-for folks in all our lives.
Give shoppers an alternative to cash gifts and give your loyal customers a way to show their support with gift cards and electronic gift certificates! They’re an easy way to say thank you to the people you care about. Choose a design from Vagaro’s design gallery or customize your gift cards with your business logo. It’s time to get ready for whatever the 2020 holidays bring – get your orders in today to ensure delivery before the rush!
Header Image: Mia Montemayor via Vagaro