As our way of life is changing day by day, we are seeing a shift in consumer behavior around Gift Card usage. More specifically, many consumers are relying on Gift Cards for self-use to get by. Here are some trends to keep in mind when managing your gift card program.
#1: Increase in Online Purchases
While people are at home practicing social distancing online purchases have become a necessity and have skyrocketed. Individuals who do not have credit cards and/or are hesitant to divulge their credit card information online are stuck looking for alternative solutions. Only 1 VISA & VISA Everywhere products provide customers with the ability to purchase virtually any product online while protecting their personal information.
#2: Relevance to the At Home Entertainment Category
With stay-at-home measures in place for the foreseeable future, the need to keep both kids and adults entertained has increased. Self-use content including Online Gaming, Netflix, Google, and others are positively trending. We have seen an incremental +28% lift among these brands during the past 3 weeks.
#3: Surges in the Telecommunications Industry
As working remotely surges, companies like Telstra and Optus have been experiencing increased traffic through all their networks, including mobile phone usage. Over the past three weeks, prepaid telecom products have seen a +10.5% lift across the market.
#4: Loyalty & Incentives sales driver
During this time, more and more customers are engaging with loyalty & incentives programs to further discount their online purchases. We have experienced an uplift of +48% sales growth in B2B channels over the past 3 weeks.
#5: Retail goes online
Online purchase with gift cards is increasing as consumers look towards major brands such as Myer, David Jones, Ebay, Amazon and others for their gifting needs. Retail categories such as Fashion, that are able to offer E-commerce solutions & home delivery are primed to take advantage of this new landscape.