What else should retailers consider when formulating their gift card strategy?
One of the most important aspects a retailer should consider is which channels make sense for their brand. Are you leveraging all channel outlets, like third party, rewards and incentives and online?
Also, it is important to understand the shopping behavior of consumers – why and when they purchase is critical to effectively target marketing activities. Gift card sales peak differently for different brands. Understand where your brand best fits in the gifting arena. For example, The Home Depot brand makes sense for “New Home” gifting, but is not high on shopping lists for Valentine’s Day, which may be a better fit for restaurant or entertainment gift cards.
There should also be a digital strategy, which is why we’ve partnered with digital gifting provider CashStar. E-commerce and certainly mobile commerce are the next growth areas.
