Retail Trends: Gift Card Sales Analysis
Canadians love their gift cards. A recent study done by Blackhawk Network found that Canadians are steadily turning to gift cards for gift-giving occasions and this past holiday season was no different. Gift card sales were as strong as ever, choice and convenience being the number one reasons cited by consumers for the purchasing decision.
Check out this informative infographic which outlines the growth and future predictions for gift cards sales, courtesy of CEB Global:
One of the most interesting things this infographic notes is that the sales of cards is increasing, albeit slowly, but what matters most is that consumers often spend more money than what is on their gift cards – perfect!
What does this mean for retailers? As far as revenue, gift cards are considered an oddity, as many retailers don’t count them as revenue because they are purchased before the holidays. However, typically most gift cards are used within 2-3 months of consumers receiving them, and that means that you have to be at the top of your game from January to March to ensure they are redeemed at your store, rather than your competitor’s, and that customers are spending more than the value of the cards.
Making sure product is on the shelf and visually appealing will only increase the opportunity for building sales. Ensuring customers are getting through the doors, down the aisles, and to the cash register is a task that Storesupport can help with. Want to get a plan in place to help encourage consumer purchasing? Call us today at 1-877-421-5081.
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