Gift card incentives can take many forms. A merchant may choose to offer an incentive store gift card when a consumer makes a major purchase, when a certain brand is selected or when a spending level is reached in a single day. They can also be used to encourage a customer to try a new product or service.
Three out of four consumers, 76 percent, are interested in purchasing or testing a product based on receiving an incentive gift card for doing so. In addition, nearly three-quarters, 74 percent, of total respondents would be more likely to make a purchase at a store offering a gift card as an incentive promotion versus a store that did not. Nearly nine in 10 consumers, 87 percent, who have used an incentive gift card are interested in continuing to receive gift cards as an incentive.
“Consumers like gift cards because they are convenient to use and simple to redeem,” said Mark Herrington, president of First Data Prepaid Services. “Our research indicates that gift cards continue to be a powerful tool for merchants to attract consumers and incent them to buy. From large discount stores to fast casual restaurants, many verticals are now utilizing incentive gift cards to retain current customers as well as acquire new customers through partnerships with non-competing brands.”
Data for the First Data Consumer Incentives Study was collected in March 2007 using the TNS Online Panel with a statistical confidence level of 95 percent. Individuals surveyed included users of incentive gift cards; those who are aware, but are non-users of incentive gift cards; those who are not aware, but are interested in incentive gift cards; and those who are not aware and are not interested in incentive gift cards.
