Gift cards may create retail ripples that extend well beyond the holiday-buying season. Shoppers like to give gift cards and re-gift gift cards, and have been proven to invest over the value of a gift card several times. A gift […]
A gift card is both a guaranteed sale and an open invitation to explore your shop, and the digital age has made obtaining this effective holiday sales tool simpler than ever.
You can create a special gift card program–along with your own branding and customized incentives–from in your point of sale system with no extra cost and use it to keep up the energy of holiday retail year round.
Gift Card Programs Keep Giving
Gift cards are always among the most popular items bought over the peak holiday season. In actuality, they have been rated as such for its past 13 consecutive years. That exact same review also found that the average American will spend a third of their holiday budget on gift cards, which amounts to more than $200.
Further adding to the present card appeal is the extra life it requires on beyond the first exchange. Studies have shown that about one-third of customers who get a gift card will reload its worth, and that they’ll end up spending around $59 more in shop than the gift card’s face value.
Not to mention that approximately a quarter of Americans have re-gifted a gift card, which adds another round of exposure to the brand that’s displayed on that card with no extra expense–which is a benefit well worth researching.
Developing a Gift Card Program
A gift card program starts with your inventory management system. Before you can consider the advertising, brand, and sales benefits to offer, you need to make sure you’re able to correctly track the financials.
The very best way to do this is to tie your gift card programs right to your stock and wider business tools. For those who have a digital POS system, then your gift cards may account for a grip against your stock until triggered. Integrating your earnings and accounting applications through a cloud computing system keeps track of each sale and spend, so when the card is finally used you do not double count your earnings and wind up getting an error on your system.
The major POS solutions will have gift card performance built, so there is no additional cost beyond your monthly subscription fee, and you will be ready to begin making decisions about your distinctive brand and incentives whenever your larger business system is up and running.
Those decisions include:
- Gift card layout
- Gift card performance
- Standard vs. promotional cards
- Loyalty program addition
- Revenue and customer monitoring
Let us take a closer look at what making those vital decisions entail.
1. Gift Card Design
Think about your bodily gift card as an invitation to your company. You want it to look professional and appealing, and accurately convey your brand’s character. With high-resolution imagery and a solid plastic construct, your gift card must include your organization name, logo, and a guarantee of value.
2. Gift Card Functionality
The opposite side of gift card layout is its functionality. Your card may digitally connect to a POS system using a magstripe, barcode, or QR code. There are benefits to all three options, but normally, a magnetic stripe provides superior security whilst lacking durability, and a QR code has smartphone performance whilst lacking the availability to a normal product scanner.
Whichever you choose, the card must effortlessly link to the client’s information stored inside your POS system.
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3. Standard vs. Promotional Cards
If you design your existing card programs inside your POS system, you are able to provide a range of customer incentives. There’s the conventional cash value format in which the holder has the right to a set amount, or you can provide more promotional- or event-driven cards, for example:
- Particular line or seasonal thing access.
- Store discounts, which frequently work on a sliding scale based on a product’s value.
- 2-for-1 or other packed items.
- Limited time offers with greater rewards over shorter time intervals.
- Limits on card reloads to heighten unique price.
This variety can help you maximize the impact of your gift card programs and extend out the advantage beyond the holiday sales period.
4. Loyalty Program Inclusion
Americans love loyalty programs. More than 80% belong to one and they cover every form of commercial retail from supermarkets to automotive specialties. When you make your own gift card apps in an electronic POS setting, you can use them as an introductory stage to a loyalty program, an incentive to encourage other people to join, or a reward for duplicate purchases.
The practice of tracking customer information and sales history inside your POS system is the same as with a one-off card or long-term application, so there is no reason why you can not leverage you to benefit another.
5. Sales and Customer Tracking
Besides giving your client another way to shop with you, gift card programs are a terrific opportunity to find out more about your clients. If your gift cards have been connected to a all-in-one POS platform, you can monitor customer demographics, sales histories, preferences, and any other interaction it is possible to enter on your network-connected devices.
Whether they’re first-time shoppers or regulars, you are able to monitor what they buy and why, and use this information to target your market.
The vacation period provides an increased retail energy, but in the event that you are able to monitor your customer habits and discover out what brings them to your shop or any specific offering, you may use that information to keep appeal long after the tinsel gets packed away.
Gift Card Programs Produce Long-Term Value
Gift card programs are a versatile tool which may not just generate immediate revenue during the holiday season, but may also be used to increase the long-term worth of a brand. Ninety percent of individuals who received a gift card from a small business they hadn’t previously visited said they would shop in the company in-person and return later on. The availability of a gift card program in this case allows your present clients to actively recruit new clients who have basically already committed money on a buy from the store before ever seeing what you need to offer.
That’s a highly effective way to extend the excitement of the vacation period into a dependable, repeatable year-round venture.
The effective POS solutions made by ConnectPOS permit you to construct a gift card program that brings customers and increases sales year-round. We use data from your company to streamline your solution to fit your targets.
►►► ConnectPOS is a cloud-based POS software compatible with multiple platforms including Magento, Shopify & Shopify Plus, and BigCommerce.