How To Make Gift Cards Work For Your Business

woman shopping on cell phone

Are you interested in making your business grow this year? There are tons of ways to approach business growth, but we know a little trick not often used by retail businesses that could help give their revenue a little boost.

We’re talking about gift cards! In the past, businesses that have wanted to use gift cards were limited to pretty unsophisticated technology and very few ways to actually market their efforts. But thanks to all the advances that have been made in payment technology, offering gift cards is easier than ever. Besides offering customers an amazing deal on your product or service, they also help build brand trust, brand loyalty and positive word of mouth.

Don’t believe us? Let’s delve a little deeper into the benefits you could be taking advantage of by using gift cards to promote your business.

Why You Should Use Gift Cards

Don’t you get excited when you receive a gift card to your favorite restaurant, supply store or clothing store? Imagine imparting that thrill to your customers! It’s a great feeling that could lead to positive associations with your brand for a long time.

1. They’re cost efficient.

Whether you go with physical cards or a digital coupon or newsletter, gift cards are incredibly cost efficient. You can always reuse physical cards and processing digital gift card codes can be cheaper than processing regular credit card payments, depending on the merchant you use. Plus, combining gift cards with a loyalty program will encourage customers to buy more frequently, which means more sales and more revenue.

2. They’re easy to use.

That goes for both your customers and you. Because you can integrate gift cards with any standard point of sale, their management and tracking won’t require new processes or software. Customers are happy to pull them out and hand them over, and you can easily swipe and charge with no issues. Digital gift cards often use a bar code or numerical code, which can also easily integrate with your current POS systems.

3. They help expand your customer base.

Beside encouraging stronger customer loyalty with existing customers – since your clients are more likely to go back to your store to redeem a gift card – you’re also encouraging customer base expansion. Gift cards introduce your brand to people who may not otherwise know you. With digital gift cards, you can encourage users to share their purchases on social media, recommend your business to their friends, or even write a positive review, ensuring you’re getting in front of as many people as possible.

Getting the Most Out of Gift Cards

Even though it may sound obvious, marketing your use of gift cards is a must in order to realize the full potential they could have for your company. Sadly, a lot of small business become overwhelmed with the day-to-day, too overwhelmed to realize that new initiatives need care and attention.

To make sure any new initiative you launch is successful, including the use of gift cards, it’s important to follow these steps for optimal return.

First: make sure everyone knows you have gift cards available. Whether it’s sending a promotional email to your list or including a note at the bottom of your receipts, letting people know that you have gift cards is an important step in building their momentum.

Second: offer promotions on a regular basis. Some stores offer bonus gift card value when customers purchase a card over a certain amount, some might offer a gift card as an incentive to get customers to buy a certain dollar amount of product. You can build a loyalty program around gift cards that are designed to reward your best customers.

Finally: host gift card giveaways or donate them to fundraisers. This will take initial investment, but is an excellent way to put your business in front of a wider audience of potential customers. Plus, the good will you drum up will be reflected when your customers spend their money.

While there are many different ways to maximize the value your business gets from offering gift cards, all of this is only possible with the support of a great credit card processor. If your current processor can’t support gift cards, it’s time to compare new credit card processors.

Posted on Thursday, May 11th, 2017