12 Reasons Your Business Needs E-Gift Cards To Increase Revenue
1. MAKE UP FOR MISTAKES WITHOUT A REFUND
My wife and I were on a date at a nice establishment. The atmosphere was perfect and it seemed like nothing could ruin our evening. The appetizers were delicious and the main course was fantastic. When it came time for dessert we ordered their special chocolate lava cake. It took a little longer than it should have to arrive but we were in no rush. When the cake finally did arrive, it was broken and the center lava had spilled all over the dessert dish. Did we care? No, we just wanted that sugary goodness. The restaurant, however, did care. They removed the cost of our dessert and our drinks from our bill as a form of apology. Were we happy? Yes, of course. Have we gone back? No, we have not. We can’t even remember the name of the restaurant.
This is where an e-card would’ve gotten the restaurant off the hook for their mistake and guaranteed our return. Now, imagine if the manager came up to apologize and pulled out a mobile device and asked us for our number so he could send us an e-gift card. Within a few seconds, we’d have our card and the restaurant would have us back on another occasion.
We’d definitely remember the name of the restaurant then!
2. SELL THEM ALL YEAR ROUND
By offering gift cards year round, you can increase your bottom line. Gift cards are marketed 365 days a year; but products and some services are not. We do not need snow removal in the summer, so it makes sense that this service isn’t offered in July. On the other hand, your business operates every day and even if all your products and services aren’t available all year, your gift cards should be.
Think of it this way, if a customer comes in to purchase something that you do not have instead of telling them it’s a seasonal item and sending them on their way or trying to sell them something else, sell them an e-gift card. Chances are they’ll purchase the card and come back sooner to use it. Instead of waiting to use the card when the original item they wanted comes back in stock, they’ll get a reminder in their phone prompting them – very nicely, we don’t push – to use their card.
3. GET INTO YOUR CUSTOMER’S PHONE
Being attached to someone’s hip will give you a reasonable advantage over your competition. We live in a world where people go to bed and wake up with their phones beside them. We’ll hit the brakes and do an illegal u-turn even if we are already late for a meeting just to go back and get our phones. We take them on vacation. We take them to our kids’ softball games and answer calls even when our child is at bat. We need our phones to do business, connect with friends and family, and update our various social media profiles.
You need to get into as many smartphones as you can. It’s good marketing and gives you the leg up on your competition. Did you know the Starbucks app is used for over 16% of all their purchases? Why? It’s easy. Order your drink, take out your phone and after a quick barcode scan, you’ve paid and are on your way. Well, you’re almost on your way because if you’ve ordered a fancy drink with syrups and whipped cream, you know the wait is sometimes a long one.
Make it easy for your customers by using the KISS APP to offer e-gift cards to allow them to pay quickly with their most prized possession: their phones.
4. DIRECT MARKETING
Traditional gift cards are proven to be a great tool; it’s a multi billion dollar industry. E-gift cards are plastic gift cards on steroids. They allow you to fine-tune your marketing initiatives and collect vitals from your customers.
With e-cards you can now build a database of email, cell numbers, gender, age, frequency of visits, average spend, birthday and more. Then you can use all this information for specific marketing advantages. E-gift cards give you a chance to know your customers and give them exactly what they want before they know they want it.
A word of caution with direct marketing: Those who bug their clients get swatted away quickly. Do not over-saturate your customers with direct marketing. They will see this as a nuisance and stop using your products/services altogether. However, if you are adding value and giving them what they need without harassing them, you’ll have no trouble creating a loyal customer base.
If you’re a bugger, bug off now and save yourself the hassle.
Here are examples of perfect direct marketing initiatives:
• It’s Valentine’s Day and you have a great special to offer the men. Now with an e-gift card solution you send an exclusive offer to only the men in your database or only the men who have shopped with you 3X or more in the last six months.
• Create automatic reminders for unused credits after a three-month window or six-month window. This gives your customers a push in the right direction without harassing them to use their cards.
• A birthday text with a special e-gift card offer lets your customers know that you care that they’re one year older and they deserve a treat for repeatedly using your products/services.
5. ITS FREE MONEY TO YOUR CUSTOMERS
The mindset of a person who has a gift card is similar to the mindset of someone at the casino. Casinos make you exchange your cash in for chips so you stop thinking of your money as money. If you have to look at a 20-dollar bill as it’s inserted into a slot machine, you will be very aware of that bill’s value. If you insert a 20-dollar chip into the machine, you’ll be less inclined to care if/when you lose it all. A chip has no value to us in our everyday lives. We don’t pay for groceries in chips; we use real money to buy chips (potato chips or kale chips if you’re that kind of person).
The next time you’re at the casino, observe a roulette table. Watch patrons exchange their one chip in for many chips. Most have no idea how much each stack is worth but they happily fill the numbers on the roulette table with heaps of chips because it feels good to cover so many numbers.
When someone receives a gift card it’s play money for them to spend as they wish, consequence free. Also, they’ll usually spend more than the value of the e-card. Want to increase your average sale amount per transaction? Sell e-gift cards.
6. ADD VALUE DON’T DISCOUNT
Coupon companies make you offer a deep discount. Let’s say you offer a $100 value for $50. The coupon company collects the $50 and only gives you half of that. You just gave a $75 discount, lost $75, and now you have to service all these deal hunters that are only using your product/service because it’s been cheapened. That is what makes them deal hunters and not ideal clients – they move from one deal to the next and do not give a hoot about becoming your customer.
Why not offer loyal customers a bonus? Buy a $75 e-card and we will load $100. You just collected $75 and gave them a value of $100. What does that extra $25 cost you? Not much because it creates a repeat customer. Plus, you collect information on them for future direct marketing.
7. OPPORTUNITY KNOCKS
Actually it’s not just knocking, it’s screaming. Businesses are slow to embrace the online selling of gift cards. Do you know why only 3% of local businesses sell their gift cards online? Because it’s expensive to get the service up and running! That’s why the KISS APP was created so that the 97% of you who cannot get a ROI from the initial set up costs can now join forces and have a better and ever evolving solution.
8. THE BEST MARKETING TOOL
What is your cost of acquisition with traditional advertising? Why not send an e-gift card to everyone you meet? No seriously. Wouldn’t it be nice to send everyone you come across daily a gift card to use at your business? All you have to do to get a new long-term customer is get them in the door. After that, you only need to worry about retaining them and the KISS APP will help you with that too.
Let’s say you meet a fellow business owner while waiting in line at the ATM. You show interest in their business, they show interest in yours and then they ask you for your phone number so they can send you an e-gift. You comply and as soon as they look up from their phone after pressing SEND, your phone beeps with an incoming text that says, “ You have an e-gift card. Click here to redeem”. They just marketed their product directly to you and enticed you to visit their store by offering you free money.
9. EVERBODY BUYS GIFT CARDS
This isn’t an understatement; EVERYBODY buys gift cards. They offer an easy purchase for those looking to get a present for someone they don’t know very well and for those looking to buy something for someone they do know well. They make great wedding gifts, birthday gifts, and rewards. They can be a personal gift that says, “I know this is your favorite store, that’s why I got this gift card here” or “This is my favorite store. I got your gift card because I think you’ll like it too.” You can even add a scheduled delivery date for the recipient so you control what date they receive their e-card.
Look around your business. Nine out of 10 customers you have buy gift cards, but why aren’t they buying them from you? With the KISS APP, you’ll be making it very easy for them to purchase e-gift cards from your business. Take advantage of that 93%!
10. CUSTOMERS SPEND OVER $200 YEARLY ON GIFT CARDS
If 93% of people buy gift cards and the average spend is $213, that translates to tons of referrals from your exiting customers. Word-of-mouth is the best form of advertising. By using an e-gift card solution to help your current customers spread the word to people who trust them, you are basically getting free advertising.
How many of your customers would love the opportunity to share your business with a friend or relative? Probably all of them. It’s as simple as entering a phone number and sending or scheduling a KISS. Get in on that $213 dollar action and offer e-gift cards.
11. GIFT CARDS KEEP CUSTOMERS COMING BACK
When a customer spends their gift card, they may not use up the entire value of the card at once. If there is $3 left on a card you know chances are in your favor that they will be a return customer.
Every little penny counts. No one is going to walk away from money. Even if it’s as little as $3, the customer will return to your place of business and spend it. Don’t offer anything for $3? That’s a shame but that won’t stop your customer from spending. They use that $3 towards another item and maybe even buy a gift card for a friend.
12. BIG COMPANIES NEED GIFT CARDS
Did you know that 8 out of 10 corporations buy gift cards? These corporations use the cards as employee incentives and rewards for jobs well done. The employees that are offered the gift card can turn into future long-term customers of yours.
With the KISS APP, a corporation can buy an e-gift card from you in a matter of seconds. They can send out any denomination to any phone number instantly or at a future date and in return you get their employees’ business. The bigger the company, the more they spend on e-cards and the more employees of theirs you can convert into customers of yours.
Do you have any thoughts to add?