Originally published on PYMNTS.com.
Prepaid commerce solutions provider CashStar recently announced the release of its new Product eGifting solution for retailers.
Nordstrom and CashStar, a digital gift-card platform company, lets Nordstrom customers select a gift online and then have the recipient pick their own size, color and other details.
CashStar’s Product eGifting enables online shoppers to digitally send physical gifts from a retailer’s eCommerce site to the desired recipient via email. The gift giver chooses a product to send without needing to know details such as size or preferred color (for garment purchases) and without needing a shipping address.
When gift recipients receive a message, they can tailor the item to their specific preferences, select a different product or opt to receive a gift card instead—without having to notify the sender of their decision. And since 73 percent of Americans fake their reaction when they receive a gift that misses the mark—and only 10 percent of people actually tell the truth about that unwanted gift—Product eGifting can take the unknown and the “thanks, but no thanks” out of gifting.
In this way, CashStar’s solution addresses the issues gift giving can cause for consumers and for merchants. Giving presents often drives lower conversion rates but more costly returns. According to data from the National Retail Federation, about 15 percent of holiday sales were returned last year—an estimated $90 billion worth of merchandise.