Gift Cards Expected to be Season’s ‘Most Popular Gift’
Holiday retail sales expected to rise 4% this year
LOUISVILLE, Ky. -- This holiday season promises to be the sixth consecutive year for gift cards to be the “most popular gift” to give and receive, according to a report from Ceridian Stored Value Solutions Inc. (SVS). With electronic gift cards and mobile applications that allow consumers to purchase and redeem cards from any web-enabled device, gift cards have become that much more accessible.
Tempered by political and fiscal uncertainties but supported by signs of improvement in consumer confidence, the National Retail Federation (NRF) is forecasting a 4% increase in retail sales over the 2011 winter holidays, ringing in at more than $586 billion, according to the report. Retail buying patterns also illustrate how shoppers continue to embrace Gift Cards for their flexibility and convenience. The SVS gift card portfolio was up 7% for first-time card activity during the first half of 2012 vs. the same period the previous year.
More news about gift cards this holiday season:
- Over 82% of consumers will purchase a gift card.
- 86% of consumers will redeem a promotional gift card.
- 80% of consumers are more likely to shop at a store offering a promotional gift card.
- 84% of consumers are more likely to purchase a gift card from a merchant who gives them a promotional gift card for their purchase.
- 23% of consumers plan to use a mobile/digital gift card.