According to the National Retail Federation, gift cards have been the most requested holiday present for a decade now. Running a successful gift card campaign during the holidays can be a fantastic way to give your business’s year-end numbers a significant boost. There are three steps you should take to execute a rewarding gift card campaign this holiday season.
1. Prepare
Gift cards and certificates provide an easy gift solution to those buying for loved ones with particular interests or for flustered shoppers looking for a last-minute option. With that in mind, keep the customer experience as streamlined as possible. Using a software program like STX Desktop or STX Cloud allows businesses to offer instantaneous gift transactions to their customers. Plus sending a certificate or eGift via email allows recipients to have easy access to the gifts on their smartphones, eliminating the possibility of losing a physical card or accidentally swapping it with another one.
“One out of every three buyers purchases a gift card for themselves.”
STX Desktop users can setup their system to allow for the purchase of both gift cards and gift certificates — both are customizable to the business and also offer multiple design options for buyers to choose from. With certificates, a purchaser can choose to print the certificate or receive it via email; with gift cards, the business owner receives notification of purchase and mails the card to the address provided.
STX Cloud users can setup eGifts in their systems, which allows purchasers to choose whether to have the gift card instantly emailed to the recipient or to themselves.
2. Promote
Once you know how you’re going to sell your gift cards, you have to create a marketing strategy. Bold, clear signage should be placed throughout your business, both physically (on the front desk, in windows, at work stations, in waiting areas) and digitally (posts on social media platforms, call-to-action banners or buttons on your website).
If your business is located in a heavily trafficked area, consider placing a sign outside alerting passersby of the great deals you’re offering. Utilize STX Desktop or STX Cloud to create custom newsletters alerting past and present customers of the specials you’re running. And be sure to have employees mention the campaign (as well as any additional incentives) to guests during their visits.
3. Perks
While most consumers buy gift cards for friends and family, one out of every three buyers purchases a gift card for themselves. Why? Because of the incentives being offered by the respective businesses.
Consider running a cross-promotion in addition to your regular gift card campaign to see an increase in sales. Offer free services or service discounts with the purchase of a fixed amount of gift cards or certificates. Another option is to incorporate gift cards into a loyalty program, like those available to STX Desktop and STX Cloud users. Reward loyal customers with points that can be exchanged for a gift card for themselves or someone else.
Note: The majority of gift cards are used within the first 60 days, so be sure to account for a spike in redemption rates when allocating cash flow in your business.
FAQs about Gift Card Campaign
Q: What are the three P’s to running a successful gift card campaign?
The three P’s to running a successful gift card campaign are Prepare, Promote, and Perks. Preparation involves setting up a system for quick and versatile gift card transactions. Promotion requires a well-planned marketing strategy through various channels, physical and digital. In Perks, incentives are offered that attract customers to purchase gift cards, often for themselves.
Q: What software can be used for managing gift card campaigns?
Software like STX Desktop or STX Cloud can be used for managing gift cards and certificates. They make transactions instantaneous and allow the selling of eGifts as well.
Q: How can I promote my gift card campaign effectively?
To effectively promote your gift card campaign, it is recommended to use clear signage in your business space, make posts on social media platforms, create call-to-action buttons on your website, and prepare custom newsletters. If possible, employees should also mention the campaign and any incentives to guests during visits.
Q: How can I integrate perks into my gift card campaign?
Perks can be integrated into your campaign by offering additional incentives. For instance, provide free services or discounts with the purchase of a set amount of gift cards or certificates. Consider incorporating gift cards into a loyalty program, rewarding loyal customers with points that can be exchanged for a gift card.
Q: Why do some people buy gift cards for themselves?
One out of every three buyers purchases a gift card for themselves to take advantage of the incentives offered by businesses. This often includes free services or service discounts.
Q: How quickly are gift cards usually used after purchase?
Most gift cards are used within the first 60 days after purchase. Businesses should anticipate a spike in redemption rates during this period and plan cash flow accordingly.
Q: What is the relevance of flexible delivery options for gift cards?
Flexible delivery options, such as sending gift certificates via email or mail, enhance the customer experience by providing convenience and preventing issues like loss or mix-up of physical cards.
Q: Why is it important to offer customizable design options for the gift cards and certificates?
Offering customizable design options for gift cards and certificates enhances buyer experience as it adds a personal touch to the gift, making it more appealing to the recipient.
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