Dublin, Feb. 28, 2022 (GLOBE NEWSWIRE) -- The "Global Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Q1 2022 Update" report has been added to ResearchAndMarkets.com's offering.
The global gift card market in 2021 was driven by a wide range of factors, which supported growth across retail and corporate segments. The primary factors included growth of e-commerce, increased adoption to incentivize employees working remotely, digital gifting, and initiatives undertaken by governments, hospitality, and travel industries to revive growth. Though the gift card market was impacted due to COVID-19, the market is expected to bounce back in the coming quarters, especially in H1 2022.
The global gift card industry has done well to withstand the impact of the economic slowdown along with negative business and consumer sentiment due to disruption caused by the COVID-19 outbreak.
Historically, the global gift card market recorded steady growth with a CAGR of 9.1% during 2016-2020. According to the Q4 2021 Global Gift Card Survey, the gift card industry is expected to reach US$487,305.6 million in 2022.
Despite near-term challenges in 2022, the medium to long term growth scenario of gift cards in the global market remains strong. The global gift card industry is expected to grow steadily in H1 2022 and record a strong growth in H2 2022. The growth momentum is expected to continue to grow over the forecast period, recording a CAGR of 9% during 2022-2026. The gift card market will increase from US$441,090.5 million in 2021 to reach US$688,357 million by 2026.
Globally, gift card companies are targeting niche areas to expand their businesses. Moreover, due to prolonged lockdown in many parts of the world, the supply chain disruption has created a shortage of gift items, which ultimately pushed consumers to go for digital gift cards.
Emerging markets outperformed when it comes to contribution of industry value in 2021. Countries such as China, India, and Singapore experienced substantial growth in terms of demand and product launches.
Despite many socio-economic challenges, the United States market contributed substantially to the global gift card market's growth. The analyst expects fintech companies based in the United States to expand their businesses in the emerging markets to grab more market share in a short to medium-term perspective.
Global gift card players are launching their services in China to expand consumer base
As the demand for gift cards continues to grow in China, global gift cards players are also considering to launch their services in the country and gaining market share for themselves in the largest internet economy. For instance,
- In October 2021, Prezzee, an Australia-based gift card firm, announced its expansion plan outside of Australia, the United States, and Europe, where it currently operates. The company is also planning a public issue in Australia and considering broadening its growth plan. According to the company, it intends to launch the company's services in China and other Asian countries. In Australia, the firm is projected to process more than AUD$1 billion in corporate and retail cards in its 2022 fiscal year.
Gift card retailers allow consumers to purchase gift cards using cryptocurrencies in the United Kingdom
In the midst of the growing adoption of cryptocurrencies among consumers in the country, gift card retailers are also innovating with their services by offering consumers a variety of different payment options, including cryptocurrencies. For instance,
- In November 2021, UK-based online gift card retailer, Giftchill, announced that the firm had added new payment options for consumers to purchase gift cards with cryptocurrencies. Notably, the firm is accepting Bitcoin, Ethereum, Dogecoin, Bitcoin Cash, Litecoin, and USD Coin, among others, as a payment method for gift card purchases in the United Kingdom.
- According to Giftchill, once the gift card purchase is completed through the use of a crypto payment method, consumers receive the gift card code instantly to their email address.
With supply chain crisis leading to product shortages, gift cards are expected to lift retail sales in the United States
In the United States, the economy is hamstrung by all types of supply chain issues; gift cards are expected to lift retail sales in the next four to six quarters.
- With the Covid-19 induced lockdown and movement restrictions, the digital gift card segment saw a substantial boost throughout 2021 and is expected to continue its upward trajectory in 2022.
Notably, retailers are also playing an integral part in the overall growth of the United States gift card industry. Merchants are increasingly pushing the use of gift cards to attract new customers and to boost shopping past the December holiday season into dull periods of January and February.
Payment technology firms are launching innovative gift card platforms for consumers in Brazil
As more and more consumers are shifting towards digital payment methods such as gift cards, payment technology companies are launching innovative gift card platforms for consumers in Brazil. For instance,
- In April 2021, InComm Payments, a payments firm, announced the launch of its full-service gift card mall, TheGiftCardShop.com. The new platform will allow consumers in Brazil to select and shop from a wide range of innovative gift cards. Moreover, the platform also allows consumers to send gift cards directly to friends and families through digital channels such as emails.
- The platform offers gift cards from more than 100 brands across categories such as restaurant, entertainment, sports, home goods, and travel brands. For further enhancing the user experience, InComm Payments gift cards powered by American Express, Visa, and MasterCard are also loadable into mobile wallets such as Google Pay, Apple Pay, and Samsung Pay, thereby making it much easier and secure for consumers to make purchases anywhere, anytime.
Such innovative gift cards solution and value-added services offered by gift card providers are driving the growth of the industry in Brazil and are expected to continue to drive market growth over the next four to eight quarters.
Increasing product launches expected to further boost gift card adoption among consumers in the UAE
As the popularity of gift cards among consumers continues to rise, several new product launches have happened over the last few quarters in the UAE. In October 2021, YouGotaGift, one of the leading digital gift card providers in the country, announced the launch of new gift card products for The Blue Salon and Kunooz.
With hundreds of thousands of Indians residing in the United Arab Emirates, YouGotaGift also launched Kalyan Jewellers gift cards during the Diwali Celebration week in November 2021. As the popularity of gift cards continues to grow in the country, the publisher expects more product launches over the next four to eight quarters. This will subsequently assist the growth of the gift card market in the UAE from the short to medium-term perspective.
Scope
This is a bundled offering, comprising 1 global, 5 regional and 20 country reports.
Databooks included in this bundled offering provide a detailed data centric analysis of gift cards and corporate incentive cards market along with consumer behaviour and retail spend dynamics. With over 200 KPIs these global, regional, and country reports provide comprehensive understanding of gift and incentive card market dynamics.
This bundled offering provides the following detailed gift card market opportunity at country level.
Total Spend on Gifts
- 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
- 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
- Retail Consumer
- Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)
Digital Gift Card Market Size
- By Retail Consumer
- By Retail Purchase Occasion
- By Corporate Consumer
- By Corporate Purchase Occasion
- By Company Size
Gift Card Market Size by Retail Consumer
- By Functional Attribute
- By Occasion
- 1. Festivals & Special Celebration Days
- 2. Milestone Celebration
- 3. Self-Use
- 4. Other
- Value by Purchase Channel
Gift Card Spend by Consumer Behavior and Demographics
- 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
- By Functional Attribute
- By Occasion
- 1. Employee Incentive
- 2. Sales Incentive
- 3. Consumer Incentive
- By Scale of Business
Gift Spend by Product Categories (Split by Retail and Corporate Consumers)
- 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)
- 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)
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
Closed Loop Gift Card Market Share by Key Retailers. Key Retailers Covered Include:
- Cencosud SA
- Carrefour SA
- Coto CICSA
- MercadoLibre Inc
- Importadora y Exportadora de la Patagonia SA
- Wal-Mart Stores Inc
- Garbarino SA
- Wesfarmers Ltd
- Woolworths Ltd (Australia)
- Metcash Ltd
- Aldi Group
- Harvey Norman Holdings Ltd
- JB Hi-Fi Ltd
- Apple Inc
- Casino Guichard-Perrachon SA
- Natura Cosmeticos SA
- Lojas Americanas SA
- Adeo Groupe
- Magazine Luiza SA
- George Weston Ltd
- Empire Co Ltd
- Costco Wholesale Corp
- Metro AG
- Canadian Tire Corp Ltd
- Home Depot Inc, The
- Liquor Control Board of Ontario
- Hudson's Bay Co
- Home Hardware Stores Ltd
- Best Buy Co Inc
- Alibaba Group Holding Ltd
- JD.com Inc
- Auchan Group SA
- Bailian Group Co Ltd
- Yonghui Superstores Group
- E Leclerc
- ITM Enterprises SA
- Systeme U Centrale Nationale SA
- Schwarz Beteiligungs GmbH
- Amazon.com Inc
- Edeka Zentral AG & Co KG
- Rewe Group
- dm-Drogerie Markt GmbH & Co KG
- Tengelmann Group, The
- Dirk Rossmann KG
- Globus Holding GmbH & Co
- Inter Ikea Systems BV
- H&M Hennes & Mauritz AB
- Flipkart Online Services Pvt Ltd
- Tata Group
- Future Group
- Reliance Group
- Aditya Birla Group
- K Raheja Corp
- Salim Group
- Trans Retail Indonesia PT
- Matahari Putra Prima Tbk PT
- Sumber Alfaria Trijaya Tbk PT
- Delhaize Group SA
- Kompas Gramedia Group
- Ace Hardware Corp
- Coop Italia scarl
- CONAD - Consorzio Nazionale Dettaglianti Scrl
- Esselunga SpA
- Selex Gruppo Commerciale SpA
- Gruppo Eurospin
- Crai Secom SpA
- Organizacion Soriana SAB de CV
- Grupo Comercial Chedraui Sa de CV
- Controladora Comercial Mexicana SAB de CV
- Farmacias Similares SA de CV
- Corporativo Fragua Sa de CV
- SM Retail Inc
- Puregold Price Club Inc
- Rustan Group of Cos
- Seven & I Holdings Co Ltd
- Hutchison Whampoa Ltd
- San Miguel Corp
- Magnit OAO
- X5 Retail Group NV
- Dixy Group OAO
- Lenta OOO
- M Video OAO
- DNS Group
- Shoprite Holdings Ltd
- Pick 'n' Pay Stores Ltd
- Internationale Spar Centrale BV
- Woolworths Holdings Ltd (South Africa)
- Tesco Plc
- Central Retail Corp
- Home Product Center PCL
- Mall Group Co Ltd, The
- Charoen Pokphand Group
- Consumer Co-operative Union (CCU)
- Landmark Group
- Emke Group
- Damas International Ltd
- T Choithram & Sons
- Sharaf DG LLC
- Associated British Foods plc
- Next Plc
- J Sainsbury plc
- TJX Cos Inc, The
- Wm Morrison Supermakets plc
- Kroger Co
- Target Corp
- Albertson's Inc
Reasons to Buy
- In-depth understanding of gift card and incentive card market dynamics: Understand market opportunity, key trends and drivers along with five-year forecast (2017-2026) for gift cards and incentive cards.
- Develop market specific strategies: Identify growth segments and target specific opportunities across consumer segments and occasions to formulate your gift cards strategy; assess market specific key trends and risks.
- Get insights into consumer attitude and behaviour: Understand changing consumer attitude and behaviour and boost ROI. Get detailed insights into retail spend through gift cards for both retail and corporate consumers.
- Get complete perspective through six essential KPIs: number of cards in circulation, load value, unused value, average purchase value, average value per transaction, and value of transactions.
- Distribution channel insights: Understand gift cards sales dynamics by channels - online vs offline and by 1st party vs 3rd party sales.
For more information about this report visit https://www.researchandmarkets.com/r/deq3uz
