Why choose gift cards - Credit Card Processing

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MercuryGift®
Frequently Asked Questions
Gift and Loyalty Card Facts and Statistics
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A powerful revenue source. Consumers spent $88.4 billion on gift cards in 2009. (TowerGroup)
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Higher sales than paper certificates. Retailers switching from paper gift certificates to prepaid
gift cards saw a sales increase of 45%.
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Higher average purchases. Consumers spend an average 45% more than the value of the card.
(Accenture)
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Gift cards aren’t just for the holidays. 68% of gift card purchases are bought for birthday gifts.
Gift cards are a year-round marketing opportunity to build business and gain customer loyalty.
(First Data)
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Facilitate impulse purchases. 70% of all gift card purchases are an impulse buy. (Marketing
Intelligence Group)
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Encourage full-price shopping. 40% of shoppers using a gift card purchased items at full price,
compared to 16% of shoppers using other payment methods. (Providence College Research)
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Higher consumer spending. Consumer spending is 46% higher with companies that offer
loyalty card programs. (Total Research Corp.)
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Customers want gift cards. Over 60% of U.S. households said loyalty card programs were
important in their shopping decisions. (AC Nielson Survey)
Other Merchant Benefits
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Improve cash flow. When a gift card is purchased, merchants receive payment in advance for
products and services. In 2009, $6.5 billion in gift cards went unredeemed. (TowerGroup)
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Increase traffic. For every one card sold, at least two customers visit the store (the purchaser
and the recipient, who may also bring a friend.)
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Keep more cash in your business. By issuing a gift card for returns or refunds instead of cash
back, merchants ensure the customer will spend the money at their business.
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Support marketing efforts. Gift cards allow merchants to track customer information and
identify buying habits or trends to help target marketing efforts and build customers.
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Encourage repeat business. Gift cards are like a billboard in your customers’ wallets, reminding
them to visit you.
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Cost effectiveness. Gift card accounting is done electronically and tracked electronically. Cards
can be activated, loaded, and reloaded at the POS terminal.
Gift Card Marketing Tips for Merchants
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Keep gift cards top of mind. Inform customers about gift cards through eye-catching displays
and point of purchase merchandising materials.
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Encourage reloading. Offer customers who reload their cards an additional amount (ie. $5 extra
for each $50 purchase).
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Cause-based marketing. When non-profit organizations ask for donations, offer gift cards
instead, loaded with your chosen amount.
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Keep the best customers. Reward loyal customers with an unexpected gift card. Most will
spend more than the card’s value.
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Reward employees. Use gift cards as an incentive to reward workers who demonstrate
exceptional customer service or make high sales.
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Reach new customers. Give away a limited number of gift cards pre-loaded with your chosen
amount. For example: distribute pre-loaded $5 gift cards to nearby businesses and at local
athletic events.
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Email and direct mail. Include gift card promotions in your email blasts and direct mail
marketing pieces. Mail postcards to a select group, with a detachable $5 gift card.
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Team up with another business. Work with a complimentary business to encourage mutual
sales. For example, a sporting goods store can offer a $5 gift card to everyone who becomes a
member of a local gym.
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Get the word out. Advertise gift cards in local media gift and shopping guides. Print business
cards with a gift card reminder on one side.
Learn more!
Call: 800-846-4472
Email: ResellerSupport@MercuryPay.com
Web: www.MercuryPay.com
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