Are you looking at ways to increase your gift voucher sales but can't see past introducing discounts as your only promotion strategy? Fear not, as in this post we will not only prove how resorting to discounts every time is an ineffective long-term strategy, but we will also give you new ways to think about promoting your gift vouchers that will increase revenue and returning customers.
It's really simple to increase gift voucher sales without resorting to discounts.
Many companies will use discounts to increase their gift voucher sales. Discounting gift vouchers as a marketing strategy is a great way to spike your short-term sales. We are not suggesting you should never use discounts, but they have their time and place.
With gift voucher discounts you will see immediate results because all customers love a good deal.
Long-term use of this marketing strategy can potentially cause your business harm, especially if you are in a luxury market. So it's important to use discounting with caution.
This is because discounts can be addictive for your customers. If you're always offering discounts on your gift vouchers, they will grow to always expect a discount.
Even if they thoroughly enjoyed the experience of the voucher, they know they can get that experience at a cheaper price and they will wait until they see it on discount again. And once they've experienced your services at that discounted price, they may not see the value in paying the whole price- especially if they know they can get it so much cheaper if they wait for your deal to pop up as expected.
See the trap of using discounts over and over again?
So how can you increase gift voucher sales without using discounts continuously?
Promoting your gift vouchers effectively is quite simple, just add value.
It's very easy to add value to your vouchers. Sell them at full price and then include a little something extra. We call this an 'add-on'. This gives your customers a sense of exclusivity that only comes with the gift voucher they receive.
You can make the added value as big or small as you please.
"Get an exclusive VIP experience on arrival with complimentary champagne on ice."
To see an increase in gift voucher sales only offer the experience for a limited period of time or even have a limited number of available vouchers.
Making something scarce or limiting the available amount of time you can purchase makes people have a perceived sense of added value to the experience. They know that the experience won't be around for long, so they won't want to miss out.
Having a time limit is a great way to entice customers to act immediately- not wanting to miss out on the additional value.
“Runs out midnight! Get ready for the party season this Christmas and treat yourself to gel nails with a complimentary bottle of bubbly”.
Also, limiting the number of gift vouchers available will create an illusion of exclusivity, which will make the buyer feel a sense of urgency to buy before they miss their opportunity.
Adding value is a more profitable way to increase gift voucher sales in the long run for your business. Although it is okay to use discounts now and again, use them appropriately and sparingly. Don't put yourself in the position of only being able to sell your gift vouchers on discounts.
We hope you enjoyed our post on how to promote gift vouchers. For more information on how you can increase gift voucher sales contact us at Enjovia. See you next time!