Acquiring Customers and Driving Brand Loyalty through Gift Cards
Ever heard the old saying that a stitch in time saves nine? Well, when it comes to business, keeping your customers happy is like stitching up a tear before it becomes a big hole. Neglect it, and you risk losing customers one by one.
It’s no secret that in 2024, customer loyalty is slipping faster than ever. But don’t worry, there’s a trusty tool in the toolbox: gift cards.
Think about the last time you received a gift card. Did it make you want to go back to that store or website? Probably! That’s the magic of gift cards—they make customers feel special and valued, which keeps them coming back for more.
About 70% of gift cards are used within six months, according to Paytronix, a company that records gift card purchases at restaurants.
But it’s not just loyalty that gift cards bring to the table; they also generate additional revenue for business! Capital One Shopping Research research found that 61% of buyers frequently spend more than the gift cards’ face value.
So, how can businesses use gift cards to keep customers coming back and grow their revenue? We answer this in this guide. Read on!
Think about the last time you received a gift card. Did it make you want to go back to that store or website? Probably! That’s the magic of gift cards—they make customers feel special and valued, which keeps them coming back for more.
About 70% of gift cards are used within six months, according to Paytronix, a company that records gift card purchases at restaurants.
But it’s not just loyalty that gift cards bring to the table; they also generate additional revenue for business! Capital One Shopping Research research found that 61% of buyers frequently spend more than the gift cards’ face value.
So, how can businesses use gift cards to keep customers coming back and grow their revenue? We answer this in this guide. Read on!
Strategies to Enhance Brand Loyalty Through Gift Cards
In today’s competitive market, gift cards offer a versatile tool for businesses to strengthen brand loyalty.
Below are some innovative strategies that can help enhance brand loyalty through gift cards:
Below are some innovative strategies that can help enhance brand loyalty through gift cards:
1. Customised Gift Card Offers
Use customer data to create personalised gift card offers tailored to individual preferences and behaviors. Send targeted gift card promotions for products or services that align with each customer’s past purchases or interests.
For instance, Sephora offers personalized gift card recommendations based on a customer’s preference and purchase history, enhancing the overall shopping experience.
2. Referral Incentives
Encourage existing customers to refer their friends and family by offering gift cards as incentives for successful referrals. Provide both the referrer and the new customer with a gift card upon completion of the referral, motivating customers to spread the word about your brand.
For instance, Google’s Pixel 8 series launched a referral program wherein both referrers and referees receive $50 Google Store coupon codes upon a successful purchase of a Pixel 8, 8 Pro, or 7a. The direct financial incentive in the form of a coupon encouraged more participation, boosting Google Pixel’s sales and brand loyalty in the long run.
3. Seasonal Promotions and Events
Capitalize on seasonal events and holidays to launch themed gift card promotions or exclusive offers. Create limited-edition gift card designs featuring holiday themes or collaborate with influencers to promote special events or sales.
With these strategies in place, businesses can effectively utilize gift cards to drive customer engagement, loyalty, and acquisition.
With these strategies in place, businesses can effectively utilize gift cards to drive customer engagement, loyalty, and acquisition.
Personalizing for Maximum Impact
One of the best ways to make your engagement and loyalty program more effective is by personalizing your gift card. Personalization is crucial for making customers feel special and fostering a deeper connection.
It reflects their individual preferences and brand identity, crafting a tailored experience for each customer rather than providing a one-size-fits-all solution.
Here’s why personalization matters:
Here’s why personalization matters:
- They create emotional connections, making customers feel valued and appreciated.
- Personalization increases brand engagement, encourages repeat purchases, and fosters long-term loyalty.
- By aligning gift card programs with customer preferences, businesses can enhance customer satisfaction and retention.
- Add a personal touch with tailored messages.
- Offer designs that reflect your brand and resonate with customers.
- Cater to varying preferences by allowing custom amounts.
- Allow customers to include customized photos for a truly unique gift card.
Wrapping Up
Gift cards offer a myriad of opportunities for businesses to drive acquisition and brand loyalty.
Personalizing these cards can make a significant difference. Reflecting individual preferences and brand identity, personalized gift cards forge deeper connections with customers.
This is where Qwikcilver comes in, specializing in gift card management for merchants, retailers, and brands.
We’d love to chat with you about how we help top international brands create outstanding consumer gifting experiences and manage extensive corporate reward programs.
This is where Qwikcilver comes in, specializing in gift card management for merchants, retailers, and brands.
We’d love to chat with you about how we help top international brands create outstanding consumer gifting experiences and manage extensive corporate reward programs.
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