Gift Card Statistics: Insights for Your Business

Gift Card Statistics Key Takeaway

Gift cards are more than just gifts—they are a revenue-boosting business strategy. Statistics prove their growing importance, from increasing sales to fostering customer loyalty and reducing refunds. Whether you’re selling physical or digital gift cards, they should be a key part of your business plan.

Table of Contents

• Introduction
• Key Gift Card Statistics for 2024
• Gift Cards Drive Revenue
• Gift Cards Enhance Customer Loyalty
• Gift Cards in Hospitality, Spas, and Activities
• The Digital Shift: Why eGift Cards Matter
• Why Choose Enjovia for Gift Card Management
• People Also Ask

Introduction

Looking for a simple way to boost revenue and customer loyalty? Gift cards are a game-changer. They encourage spending, bring back repeat customers, and fit seamlessly into digital commerce. This post explores the latest gift card statistics to help you understand their impact on businesses.
👉 Explore how Enjovia helps businesses maximize gift card sales

Key Gift Card Statistics for 2024

Understanding the numbers behind gift cards can help you make smarter business decisions. Here are some key statistics:

• Two-thirds of shoppers spend beyond the gift card amount.
• Gen Z consumers are willing to spend up to three times the card’s value.
• Digital gift cards now make up 52% of the market, up from 30% in 2019.
• 29% of UK adults received gift cards for non-gifting purposes.
• UK businesses gave out £30 million in shopping vouchers as bonuses.
• B2B vs. B2C Growth:
  • B2B gift card sales grew by 11.7% like-for-like.
  • B2C gift card sales grew by 1.4% like-for-like.
• Sales Distribution:
  • B2B sales accounted for 70.1% of total gift card sales.
  • B2C in-store sales rose from 54.7% to 58.4% of total B2C sales.
• Digital Sales Growth: Digital gift card adoption continued to rise, reflecting modern consumer habits and sustainability goals.

Gift Cards Drive Revenue

Gift cards are convenient and drive revenue beyond their face value.

• Key Points:
  Gift card users spend 38% more than the card's value on average.
  They create prepaid revenue, improving cash flow.
  They reduce return rates, as recipients choose what they want.

👉 Learn how to create a profitable gift card program

Gift Cards Enhance Customer Loyalty

Gift cards incentivize repeat visits and increase brand loyalty.

• Key Points:
  Over half of digital gift card users return to the same retailer.
  They encourage engagement even among first-time customers.
  Loyalty programs with gift card rewards boost retention rates by 30%.
  

Gift Cards in Hospitality, Spas, and Activities

Gift cards are crucial in experience-driven industries, offering flexibility and encouraging repeat visits.

Hospitality:

Hotel Gift Cards Market, Business Research Insights Report:

• The hotel gift card market was valued at $1.387 billion in 2023.
• It is projected to reach $1.501 billion in 2024.
• The market is expected to grow at an 8.16% CAGR, reaching $2.811 billion by 2032.

Growth is driven by:

• Increased demand for experiential gifts.
• Expanding tourism.
• The rise of digital gift cards.

Spas:

2024 Beauty and Wellness Benchmark Report:  

• Online gift card sales grew by 16% across the beauty and wellness industry in 2023.
• Membership-based spas saw a 33% increase in online gift card revenue.
• Non-membership spas saw a 17% increase in online gift card revenue.
• Spa gift card sales grew by 2.5% in total in 2023.
• 25% of all beauty and wellness gift cards are redeemed by first-time customers.

The Digital Shift: Why eGift Cards Matter

The shift to digital is undeniable, with eGift cards becoming a core revenue stream. The Gift Card & Voucher Association (GCVA) released its 2024 H1 report.

• Digital gift cards have now surpassed physical gift cards in market share for the first time.
• Digital gift cards now constitute over 50% of total sales.
• This is a significant increase from 30% market share in 2019.
  

👉 Boost online sales with digital gift cards

Why Choose Enjovia for Gift Card Management

Enjovia is a leading platform for managing and selling gift cards, designed to help businesses maximize revenue and customer loyalty.

• Key Features:
  Customizable digital and physical gift cards
  Seamless integration with your website and POS system
  Comprehensive analytics to track sales and customer behavior
  

Why Choose Enjovia for Gift Card Management

Enjovia is a leading platform designed to help businesses streamline their gift card programs, driving revenue, enhancing customer loyalty, and simplifying the management process. Here’s why Enjovia stands out:

• User-Friendly Interface: The platform is intuitive and easy to navigate, ensuring a seamless experience for both businesses and customers.
• Customizable Gift Cards: Businesses can design and brand their digital and physical gift cards to align with their brand identity.
• Automated Processes: Enjovia automates key tasks such as gift card issuance, tracking, and reporting, reducing manual work.
• Secure Transactions: Robust security measures ensure that all gift card transactions are safe and compliant with industry standards.
• Multi-Industry Solutions: Whether you operate in retail, hospitality, wellness, or experiences, Enjovia offers tailored solutions to suit your needs.
• Performance Analytics: Comprehensive reporting tools provide insights into gift card sales, redemption rates, and customer behavior, helping businesses optimize their strategies.

Enjovia Success Stories

Enjovia's gift card platform helped the Celtic Manor Resort skyrocket its annual voucher sales from £700,000 to £2.3 million. With a user-friendly system and a range of flexible offers, the platform boosted customer engagement and streamlined operations, proving the power of innovative voucher management to drive growth in hospitality. 

People Also Ask

1. How big is the gift card industry?

The market is expected to reach $555.8 billion, reflecting a 7.9% annual increase.

2. What percentage of gift cards actually get used?

NFS Hospitality's 2023 analysis, showing a 57% redemption rate within six months.This suggests that 43% of gift cards remain unredeemed within the same timeframe.

3. How do gift cards boost customer loyalty?
   Gift cards encourage repeat visits, enhance brand engagement, and simplify gift-giving, driving both new and returning customers.

4. What industries benefit most from gift cards?
   Retail, hospitality, spas, and experience-based businesses see the greatest benefits, with digital options increasing accessibility.

5. How can Enjovia help my business?
   Enjovia’s platform streamlines gift card creation, sales, and management, ensuring a seamless experience for both businesses and customers.

Gift Card Statistics- Conclusion

Gift cards are a proven strategy to boost revenue, improve customer loyalty, and support business growth. The latest statistics demonstrate their increasing popularity, especially in digital formats. By implementing a robust gift card program, businesses can drive both immediate sales and long-term customer engagement. With platforms like Enjovia, managing and optimizing gift card sales is simple and efficient, helping businesses maximize their potential in this growing market.

👉 Get started with Enjovia