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The Power of Gift Certificates for Your Business

Originally posted on the Safeguard blog on April 9, 2019.

There are many ways to get your customers’ attention, but what will motivate them to purchase your products or services? Adding gift certificates to your marketing plan is a powerful way to engage customers and keep them coming back. Gift certificates aren’t just for the holidays; they are one of the most common gifts for a host of occasions from birthdays to graduations. Gift certificates allow the giver to feel confident in their gift, while the receiver gets to choose their own present. Not only are gift certificates advantageous for your business, but they are also popular with recipients. Gift certificates, rather than gift cards, allow all the money to go into your business without having to pay for expensive gift cards and the system integration costs that go with them. Find out how your business can benefit from the power and popularity of gift certificates.

 

Grow Sales

When you sell a gift certificate, you get paid in advance of any products or services rendered. Not many marketing strategies will immediately improve cash flow like gift certificates do. Unlike coupons, a gift certificate makes consumers feel like they have money to spend immediately. Gift certificates are the perfect opportunity for new customers to become familiar with your product. The customer likely received the gift certificate from someone close to them who felt like your product or service was a good fit. WOW those new customers and keep them coming back.

When a customer uses a gift certificate, you can also work on upselling additional products. A majority of customers spend more than the gift certificate value when making their purchase. Consider offering loyal customers gift certificates instead of coupons or other types of discounts. Customers who purchase gift certificates for others are generally already spending more on your business than other customers.

 

Build Brand Loyalty

Gift certificates are like a wallet-sized billboard, reminding customers to visit you and giving your business top-of-mind presence. Every time a customer looks at that gift certificate, they will think about your business. Branding is a crucial aspect to make your business stand out from competitors. Safe-Trak® gift certificates come in a variety of styles to fit your business.

You can sell your gift certificates in a variety of locations. You’ll even get a free promotional display with your gift certificate kit. Increase your potential reach by selling gift certificates. They not only attract new customers, but can be used for future purchase discounts, return credit vouchers, welcome gifts, or anniversary gifts.

Referrals are easier with gift certificates. While we all appreciate recommendations from friends, a gift certificate lets someone test the product risk-free to them. A potential customer might not have gone out of their way to try your product or service, but by receiving a gift certificate, they have the opportunity to try something that may appeal to them. Let others do the referral work for you, sharing their love of your products, and all you have to do is offer gift certificates.

Offering gift certificates in conjunction with a loyalty program is another way to build brand awareness and loyalty. When customers feel a strong bond with a company, they are more likely to continue to use their services and products. That makes building personal connections with your customers vital to keeping long-term clients. Providing gift certificates to loyal customers makes them more likely to return to your business in order to reach those loyalty benchmarks.

Reduce Risk of Fraud

Consumers and businesses alike worry about the risk of fraud and identity theft. With an influx of credit card theft and data breaches, consumers are sometimes hesitant to try new retailers, including small businesses. Gift certificates are a huge benefit to consumers, making them feel more secure and protected.

Gift certificates help reduce fraud for businesses when they use them as return credit vouchers. Consumers attempting to get their hands on fast cash might attempt to return stolen merchandise or expired items. These fraudulent returns can become costly for businesses. Issuing a gift certificate for store credit is a powerful way to reduce the risk of fraud. Plus, when you issue gift certificates for returns, the money can only be used at your business. Rather than walking away with cash, customers must find another way to spend the value of the gift certificate at your business. Remember to post your return policy clearly to avoid any issues.


The Safe-Trak® system is the easiest, most comprehensive gift certificate system available. Writing the gift certificate simultaneously updates the journal and provides a summary of all transactions. Businesses can easily cross-check certificates being redeemed back to the original entry. They can also quickly identify any unredeemed certificates.

Maximize sales, increase cash flow, and bring in new customers. Business gift certificates work for any kind of company, from local retail and restaurants to franchise operations. They promote your business while providing flexibility and convenience for customers. We know that gift certificates are perfect for every occasion throughout the year. Your personal Safeguard consultant can help you choose from a variety of different designs.

 

Contact our team today and ask about the Safe-Trak system.

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