From prior posts, we know that consumers are planning to give less gifts. But what kind of gifts are they planning on buying? New research has come out that chronicles the types of items consumers plan to buy over the holidays and what items they want to receive as gifts.
• 47% will give gift cards or gift certificates
• Over one-third of shoppers will be buying technology items or books
• Nearly 30% are giving games & toys or CDs, DVDs and Blueray discs
• Close to 30% will also be giving food & liquor as gifts
• Just under one in four are giving away money
• Almost 20% are buying cosmetics & health and beauty aids or jewelry or video/computer games
• The top 3 gifts shoppers want to receive is gift cards (45%), money (43%), clothing (35%)
What Does This Mean To You?
While it’s hard for businesses to carry all types of merchandise – gift cards is something that nearly everyone can offer. While gift cards may not have a huge sentimental value, they are something that consumer’s desire as gifts and are easy to give as well.
Other reasons to create a gift card:
• Over half of gift card shoppers need more than one trip to liquidate
This gives you the opportunity to create awareness, loyalty and engagement with shoppers
• 61% of gift card holders spend more than the amount of their gift card and 75% of those who overspend spend 60% more than the value of their card.
Gift cards are almost always an extended sale. Not only did the original customer make a guaranteed purchase – the person receiving them often spends beyond the cards value
• Nearly 40% of gift cards are not fully liquidated
Unfulfilled gift cards are pure profit for your business
One of the great things about gift cards is their flexibility. They can be used in-store or online. Developing an E-gift card strategy can also be very beneficial to your business, especially to attract last minute shoppers. For more information on innovative ways to create new digital revenue streams or optimize your ecommerce abilities, please contact:
Source: Mobile Commerce Daily; Deloitte; Card9.com; InternetRetailer.com