Should I Sell Virtual Gift Cards Online?
Imagine gathering around your Christmas tree with your loved ones, and there are no gifts under the tree. Instead of exchanging physical gifts and tearing up wrapping paper, you and your loved ones exchange virtual gift cards. Sounds too futuristic to be true? It’s not. According to a survey carried out by BankRate.com and CreditCards.com, 51 percent of gift cards are now available electronically, up from 41 percent last year.
In this digital age, one of the first questions that come to merchants’ minds is whether they should offer virtual gift cards on their websites. Many major retailers, including Best Buy and Pizza Hut, are now offering virtual gift cards to their customers.
Traditional gift cards, which are made out of plastic and look like credit cards, are typically sold in-store and near the cash register in order to encourage impulse purchases. While it’s doubtful that retailers will be removing physical gift cards from their shelves anytime soon, many merchants are seeing the benefits in selling gift cards online, as well as offline.
Benefits of Offering E-Gift Cards
Today’s technology enables business owners to sell gift cards online and customers to redeem and reload them online. E-gift cards provide business owners with an additional revenue stream. They are typically redeemed in January and February, which are historically slow months of the year.
Virtual gift cards save time and make great last-minute gifts because customers can buy them and send them instantly. Thanks to virtual gift cards, there’s no need to wait for a plastic gift card to come in the mail. E-gift cards are also convenient because they allow consumers to email gift cards to their friends and loved ones from the comfort of their own homes. Retailers who offer gift cards online save shoppers from the hassle of going all the way to their stores to buy gift cards.
E-gift cards make gift giving simple. Rather than spending hours thinking about what friends or family members would like as gifts, consumers can instantly send virtual gift cards and let them buy whatever they want. Virtual gift cards are also more eco-friendly and cost-effective than traditional gift cards because they eliminate the need for ordering plastic gift cards.
Shoppers spend billions of dollars a year buying products online, so it’s only natural for retailers to want to take advantage of ecommerce’s popularity and offer virtual gift cards. People are becoming increasingly comfortable with the idea of doing all of their shopping online, and in the case of gift cards, online versions are particularly beneficial since they save shoppers a lot of time and hassle.
Virtual gift cards are a popular choice with consumers because of the convenience and flexibility they provide. Merchants love virtual gift cards because they help to increase customer satisfaction, generate sales, and boost profits. Best of all, e-gift cards work the same way as traditional gift cards and can be integrated with point-of-sale systems.
So, if you’re a merchant and want to increase gift card sales, don’t hesitate to offer gift cards online.