Monday, April 28, 2014

SBGA on Customers Using Gift Cards Spend More


Sometimes the hardest part of running a business is getting customers through the door, which is why business owners spend so much money on advertising.  One very simple, profitable, and low cost way to advertise your business is through gift cards. Not only do gift cards encourage patronage, but they will also expose your brand to anyone who happens to see the card.

More importantly, gift cards can instantly increase your sales.  For gift card recipients, these cards are like free money, and having free money to spend will almost always bring people in to spend it.  Studies have shown that shoppers using gift cards almost always spend more in the store than the value of their gift card. Even if they don’t spend their entire card in one shopping session, people don’t like to leave money unspent. And, if there are only a few dollars left on their card, customers will return later to use it, spending more of their own cash and building a habit of repetition that may turn them into a regular customer.

When you offer gift cards, you will increase foot traffic to your business as well as sales.    In addition, for the small cost of a gift card program, you’ll get advertising in your customer’s wallets – a small price to pay for so many benefits.