Why Gift Cards?
Gift cards are getting popular and sometimes common for everyday use. So what are gift cards so popular? Let me give you a few reasons.
1) It makes a great gift
Sometime you don’t know what to give to your friends right? How about giving them just the voucher and let them buy whatever they want? While vouchers are good ideas, gift cards is a better choice because it has a “higher” perceived value.
2) Promotes spending for consumers
Merchants prefer gift cards because it will enable the consumers to buy more at their stores. You see, if you have a $50 gift cards, won’t you spend $60 (for example) so that your only outlay is $10?
However, to the merchant, it’s a total of $60 worth of sale. To sell a gift cards for $50, they get additional money in when the recipient spend additional amount at their stores. It’s a no-brainer idea for the merchants.
I can think of 2 so far. What other advantages can you think of? Send me comments and let me know!
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