MercuryGift® Frequently Asked Questions Gift and Loyalty Card Facts and Statistics • A powerful revenue source. Consumers spent $88.4 billion on gift cards in 2009. (TowerGroup) • Higher sales than paper certificates. Retailers switching from paper gift certificates to prepaid gift cards saw a sales increase of 45%. • Higher average purchases. Consumers spend an average 45% more than the value of the card. (Accenture) • 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) • Facilitate impulse purchases. 70% of all gift card purchases are an impulse buy. (Marketing Intelligence Group) • 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) • Higher consumer spending. Consumer spending is 46% higher with companies that offer loyalty card programs. (Total Research Corp.) • 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 • 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) • 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.) • 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. • 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. • Encourage repeat business. Gift cards are like a billboard in your customers’ wallets, reminding them to visit you. • 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 • Keep gift cards top of mind. Inform customers about gift cards through eye-catching displays and point of purchase merchandising materials. • Encourage reloading. Offer customers who reload their cards an additional amount (ie. $5 extra for each $50 purchase). • Cause-based marketing. When non-profit organizations ask for donations, offer gift cards instead, loaded with your chosen amount. • Keep the best customers. Reward loyal customers with an unexpected gift card. Most will spend more than the card’s value. • Reward employees. Use gift cards as an incentive to reward workers who demonstrate exceptional customer service or make high sales. • 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. • 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. • 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. • 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 Smart Payment Processing ™