Dublin, Oct. 16, 2024 (GLOBE NEWSWIRE) -- The "India Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics Databook" has been added to ResearchAndMarkets.com's offering.
The gift card industry in the region is expected to grow by 16.5% on annual basis to reach US$8.9 billion in 2024. The gift card industry in India will continue to grow over the forecast period and is expected to record a CAGR of 15.3% during 2024-2028. Gift card market in the country will increase from US$7.6 billion in 2023 to reach US$15.7 billion by 2028.
This report provides a detailed data centric analysis of gift card market, covering market opportunities and risks across a range of retail categories. With over 75 KPIs at country level, this report provides a comprehensive understanding of gift card market dynamics, market size and forecast.
The Indian gift card sector is evolving rapidly, marked by innovative products like the ONDC Network Gift Card and strategic partnerships with entities such as YES BANK and OmniCard. Regulatory changes, including RBI's stringent PPI guidelines and potential GST relief, are shaping the market. The focus on digital transactions and data protection underscores the sector's shift towards enhanced security and consumer-centric solutions.
Key Developments in the Gift Card Sector in India
Product Launches and Innovations. ONDC Network Gift Card Launch - In September 2023, the Open Network for Digital Commerce (ONDC) launched the ONDC Network Gift Card, targeting both corporate and consumer segments. Unlike traditional brand-specific gift cards, the ONDC Network Gift Card allows consumers to choose from a vast range of products and brands across different categories such as fashion, electronics, food, and more. The gift cards are powered by the RuPay Network and can be loaded with a maximum of INR 10,000.
Air India, India's top global airline, has rolled out Air India Gift Cards, offering an easy and flexible way to share the joy of travel with loved ones. These e-cards can be bought online, with amounts ranging from Rs 1,000 to Rs 200,000. You can give them to friends and family or save them for your own future trips.
The Bajaj Pay Gift Card is a prepaid card for special occasions, usable at partner merchants. It supports ethical shopping, offers up to Rs. 10,000 with budget control, and allows purchases of outfits or gadgets.
SBI offers a prepaid gift card that can be used at any VISA-enabled merchant establishment. This card is marketed as a versatile alternative to traditional gift vouchers, allowing recipients to spend the amount at their discretion. The SBI gift card is designed to facilitate gifting during festive seasons and special occasions, reflecting the cultural significance of gift-giving in India.
Strategic Partnerships
ONDC Network Gift Card by YES BANK - YES BANK became the first lender to issue the ONDC Network Gift Card, developed in collaboration with the Open Network for Digital Commerce (ONDC). This innovative gift card allows consumers to purchase products from a wide range of brands and categories, promoting flexibility and choice. The card can be loaded with amounts up to ?10,000 and is aimed at both individual and corporate customers, making it a versatile gifting option.
OmniCard has become the first FinTech company to issue exclusive ONDC Corporate Gift Cards. ONDC is a non-profit organization established by the Indian government to promote open e-commerce. The collaboration between OmniCard and ONDC aims to create more accessible and secure digital commerce experiences.
Regulatory Changes
RBI Regulations on Prepaid Payment Instruments (PPIs) - Gift cards fall under the RBI's regulations for prepaid payment instruments, which mandate compliance with Know Your Customer (KYC) norms, anti-money laundering standards, and cybersecurity requirements. These regulations have played a pivotal role in shaping the market dynamics, instilling greater consumer confidence through enhanced security measures and transparency.
Potential Relief from Goods and Services Tax (GST) on Gift Cards - The Indian government is considering offering relief from goods and services tax (GST) on gift cards and vouchers. This move aims to provide a boost to the growing gift card industry and make it more attractive for businesses to offer gift card solutions to consumers and corporations.
Emphasis on Digital Transactions and Data Protection - Future regulations are likely to focus more on digital transactions and data protection. Businesses are advised to stay ahead of the curve by investing in technology that supports these areas, as enhancing digital infrastructure not only complies with regulations but also caters to the evolving consumer preferences towards digital solutions.
Reasons to buy
- Comprehensive understanding of the dynamics of the gift card and incentive card markets: Recognise the opportunities in the market, the main drivers and trends, and the five-year projection for gift and incentive cards in India.
- Create strategies tailored to the market: To create your gift card strategy, identify growth categories and target particular opportunities across consumer segments and occasions; evaluate important trends and risks unique to your market.
- Learn about the attitudes and behaviours of consumers in India: Increase ROI by understanding how consumer attitudes and behaviours are evolving. With gift cards, you may obtain comprehensive information about retail spending for both corporate and retail customers.
- Six key performance indicators (KPIs) provide a comprehensive view: the quantity of cards in circulation, load value, unused value, average purchase value, average value per transaction, and transaction value.
- Distribution channel insights: Recognise the differences in gift card sales across online and offline channels as well as between first-party and third-party sales.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 268 |
| Forecast Period | 2024 - 2028 |
| Estimated Market Value (USD) in 2024 | $8.9 Billion |
| Forecasted Market Value (USD) by 2028 | $15.7 Billion |
| Compound Annual Growth Rate | 15.3% |
| Regions Covered | India |
Scope
Closed Loop Gift Card Market Share by Key Retailers. Key Retailers Covered Include:
- Flipkart Online Services Pvt Ltd
- Tata Group
- Future Group
- Reliance Group
- Amazon.com Inc
- Aditya Birla Group
- K Raheja Corp
Total Spend on Gifts in India
- By Consumer Segment (Retail and Corporate)
- By Product Categories (13 Segments)
- By Retail Sectors (7 Segments)
Gift Card Market Size by KPIs across Consumer Segments in India
- Gross Load Value
- Transaction Value
- Unused Value
- Average Value Per Transaction
- Transaction Volume
- Average Value of Card Purchased
- Number of Cards
Gift Card Market Size by Consumer Segment in India
- Retail Consumer
- Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)
Digital Gift Card Market Size in India
- By Retail Consumer
- By Retail Purchase Occasion
- By Corporate Consumer
- By Corporate Purchase Occasion
- By Company Size
Gift Card Market Size by Retail Consumer in India
- By Functional Attribute
- By Occasion
- Festivals & Special Celebration Days
- Milestone Celebration
- Self-Use
- Other
- Value by Purchase Channel
Gift Card Spend by Consumer Behavior and Demographics in India
- Consumer Purchase Behaviour
- Gift Card Buyer by Age Group
- Gift Card Buyer by Income Level
- Gift Card Buyer by Gender
Gift Card Market Size by Corporate Consumer in India
- By Functional Attribute
- By Occasion
- Employee Incentive
- Sales Incentive
- Consumer Incentive
- By Scale of Business
Gift Spend by Product Categories (Split by Retail and Corporate Consumers) in India
- Food & Beverage
- Health, Wellness & Beauty
- Apparel, Footwear & Accessories
- Books & Media Products
- Consumer Electronics
- Restaurants & Bars
- Toys, Kids, and Babies
- Jewelry
- Sporting Goods
- Home & Kitchen Accessories & Appliances
- Travel
- Entertainment & Gaming
- Other
Gift Card Spend by Retail Sector (Split by Retail and Corporate Consumers) in India
- Ecommerce & Department Stores
- Restaurants & Bars
- Supermarket, Hypermarket, Convenience Store
- Entertainment & Gaming
- Specialty Stores
- Health & Wellness
- Travel
Gift Card Spend by Distribution Channel (Split by Retail and Corporate Consumers) in India
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
For more information about this report visit https://www.researchandmarkets.com/r/rok4xg
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