Dublin, April 01, 2024 (GLOBE NEWSWIRE) -- The "Global Gift Card and Incentive Card Market Intelligence Databook Subscription - Q1 2024" report has been added to ResearchAndMarkets.com's offering.
The global gift card industry is expected to reach US$555.8 billion in 2024 and will continue to grow over the forecast period, to record a CAGR of 6.6% during 2023-2028. The global gift card market is forecast to increase from US$515 billion in 2023 to reach US$716.9 billion by 2028.
Digital gift cards are projected to lead the sector growth amid rising digitalization and uptake of digital payments. The global market will receive growth support from government disbursement programs. In 2023, several local and regional government authorities launched gift card programs to support local businesses and underserved communities. The trend is projected to continue further in the global market in 2024.
Gift card platforms are launching new features to elevate customer experience. The trend of strategic partnerships to launch new gift card products is also projected to gain momentum in 2024. Gift card businesses are also expected to seek acquisition opportunities in global and regional markets to expand presence as part of their strategy to drive revenue growth over the medium term. Overall, a strong growth outlook is expected for the global gift card market over the next three to four years.
Government disbursement programs are aiding the growth of the global gift card market
Globally, several local governments have announced gift card disbursement programs. These programs aim to revive economic growth and support local businesses. Miconex, the Scotland-based fintech firm, reported that the local gift card programs are driving spending in high streets and downtown areas across several markets including the United Kingdom. In 2023, sales from Miconex's local gift card programs in the United Kingdom, Ireland, Canada, and the United States reached £12.4 million. In 2024, the trend of supporting local businesses seems to be growing even stronger, with a 69% increase in local gift card sales compared to the previous year.
- The number of locations offering local gift card programs with Miconex's support surpassed 200 in 2023, marking a significant growth compared to the year before. Additionally, 26 new towns, cities, and downtown areas joined the trend by launching their own local gift card programs. These initiatives are not only meeting the regional demand for gift cards but also providing a way for communities to encourage spending at independent and national brick-and-mortar stores across various sectors.
- Notably, the Aberdeen Gift Card and the ShopLK Gift Card were among the most successful local gift card programs in the United Kingdom and Ireland, respectively. In Canada, Selkirk Chamber's program gained strong popularity, whereas in the United States, York Chamber's program took the top place. According to Miconex's report, 33% of consumers end up spending between 100% to 125% more than the actual value of the gift card when they use it to make purchases in the United Kingdom.
This means that gift cards often encourage people to spend more than they initially planned, especially in the UK where a significant portion of users tends to exceed the card's value by a substantial margin. The retail sector emerged as the most popular category for redeeming local gift cards in the United Kingdom. Among the top national retailers where these cards were used were Primark, M&S, Boots, Argos, TK Maxx, Next, Sainsbury's, John Lewis, Dunnes Stores, and Aldi. Additionally, new national retailers such as Co-op, Smyths Toys, and Lidl also jumped on board, participating in the local gift card programs, which contributed to supporting the local economy.
Gift platforms are launching new and innovative features to elevate customer experience
With the rising competition in the fast-growing gift card market, firms are innovating with their platforms to elevate customer experience. The launch of new features is part of the firm's strategy to accelerate revenue growth.
- Givex, one of the leading global gift card providers, launched Digital Ecommerce Module in October 2023. The feature aims to improve customer experience by allowing them to customize gift cards. Consumers can add video and animate their e-gift card deliveries with a personal touch. The digital gift cards are also compatible with wallets such as Apple Pay and Google Pay, making transactions more convenient.
- Tbay, the Singapore-based global gift card platform, announced the launch of Quick Sell Mode in December 2023. The new feature has been designed to make card transactions faster. The firm seeks to reduce the gift card transaction time by at least 20% with the introduction of Quick Sell Mode. In the recent past, the firm has introduced a series of measures that have been specifically designed to make gift card transactions safer.
In 2024, the online gift card marketplace is expected to further launch such innovative features aimed at improving customer experience and confidence. This will subsequently support the adoption of the payment tool while driving the broader industry growth over the next three to four years.
The global gift card industry has recorded steady growth amid the rising investment from leading players such as Blackhawk Network and InComm Payments in the sector. This coupled with the rise of innovative fintech firms has also supported the growth of the gift card sector around the world. With the demand for gift cards expected to further rise among consumers and corporates, the publisher expects these players to further boost their investment in the segment and also forge strategic alliances to drive their growth.
This bundled 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.
This title is a bundled offering, comprising 1 global, 5 regional (North America, Europe, Latin America, Middle East & Africa and Asia Pacific) and 20 country reports (Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Kenya, Mexico, Nigeria, Philippines, Russia, South Africa, Thailand, United Arab Emirates, United Kingdom and United States).
Report Scope
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
- 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
- By Scale of Business
Gift Spend by Product Categories
- 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
- Ecommerce & Department Stores
- Restaurants & Bars
- Supermarket, Hypermarket, Convenience Store
- Entertainment & Gaming
- Specialty Stores
- Health & Wellness
- Travel
Gift Card Spend by Distribution Channel
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
Companies Featured
- Cencosud
- Carrefour
- Coto CICSA
- MercadoLibre
- Importadora y Exportadora de la Patagonia
- Wal-Mart Stores
- Garbarino
- Wesfarmers
- Woolworths
- Metcash
- Aldi
- Harvey Norman
- JB Hi-Fi
- Apple
- Casino Guichard-Perrachon
- Natura Cosmeticos
- Lojas Americanas
- Adeo
- Magazine Luiza
- George Weston
- Empire
- Costco
- Metro
- Canadian Tire Corp
- Home Depot
- Liquor Control Board of Ontario
- Hudson's Bay
- Home Hardware Stores
- Best Buy
- Alibaba
- JD
- Auchan
- Bailian
- Yonghui Superstores
- E Leclerc
- ITM Enterprises
- Systeme U Centrale Nationale
- Schwarz Beteiligungs
- Amazon
- Edeka Zentral
- Rewe
- dm-Drogerie Markt
- Tengelmann
- Dirk Rossmann
- Globus Holding
- Inter Ikea Systems
- H&M Hennes & Mauritz
- Flipkart Online Services
- Tata
- Future Group
- Reliance Group
- Aditya Birla Group
- K Raheja Corp
- Salim Group
- Trans Retail Indonesia
- Matahari Putra Prima
- Sumber Alfaria Trijaya
- Delhaize Group
- Kompas Gramedia
- Ace Hardware
- Coop Italia
- CONAD - Consorzio Nazionale Dettaglianti Scrl
- Esselunga
- Selex Gruppo Commerciale
- Gruppo Eurospin
- Crai Secom
- Organizacion Soriana
- Grupo Comercial Chedraui
- Controladora Comercial Mexicana
- Farmacias Similares
- Corporativo Fragua
- SM Retail
- Puregold Price Club
- Rustan Group of Cos
- Seven & I
- Hutchison Whampoa
- San Miguel
- Magnit
- X5 Retail Group
- Dixy Group
- Lenta
- M Video
- DNS Group
- Shoprite Holdings
- Pick 'n' Pay Stores
- Internationale Spar
- Tesco
- Central Retail
- Home Product Center
- Mall Group
- Charoen Pokphand Group
- Consumer Co-operative Union
- Landmark Group
- Emke Group
- Damas International
- T Choithram & Sons
- Sharaf DG
- Associated British Foods
- Next
- J Sainsbury
- TJX Cos Inc
- WM Morrison Supermakets
- Kroge
- Target
- Albertson's
For more information about this report visit https://www.researchandmarkets.com/r/85d2sp
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