What are the chances that you will be purchasing gift cards for loved ones this holiday season? We asked around the Canadian POS Corporation offices this week and here are some of the responses we got. “I will for sure,” said one of our team members, “To be honest, most of my shopping will be for gift cards. I know what all my extended family likes, but I don’t know necessarily what they have and what they don’t have.”
“There’s a really good chance I’ll be buying some gift cards,” said another associate, “Getting cards from their favourite stores will make it easy.” So if it’s so easy for shoppers to buy gift cards, isn’t it just as easy for business owners to sell them? With Canadian POS Corporation, it certainly is! But we’ll get back to that shortly. Perhaps, you’re not fully convinced that it’s worth it to offer these great gift options in your store.
If that’s the case, please check out our blog from yesterday. We list a number of reasons to consider selling gift cards now! In today’s blog, however, we’ll continue the trend by listing a number of merchant benefits to selling gift cards. On MerchantWarehouse.com, Shannon Andrade writes that offering your customers gift cards can keep your business competitive. Here are five benefits to doing so.
1. Enhance sales and revenue. What business owner is ever turned off by the prospect of making more money? It seems to be common knowledge that selling gifts cards helps for businesses to turn greater profits. “By offering customers more options and incentives to remain loyal to your business, sales will automatically increase,” writes Andrade. There’s nothing wrong with earning some extra dough, is there?
2. Earn interest from each gift card, from the point of purchase to the time of use. Think about it. When you sell a gift card, you are technically selling just that – a card. You haven’t actually let go of any merchandise just yet. You have the ability to earn interest on your earnings without letting go of any product. When the product is finally purchased using the gift card, you’ve already made your money plus more!
3. Encourage, build, and maintain customer loyalty. “To redeem the card value, customers will revisit your store and, quite possibly, purchase more,” says Andrade. Many clients of Canadian POS Corporation have actually confirmed this. Generally speaking, when a person uses a gift card, he or she will spend more than the face value of the card. That means your gift card sales are bound to increase the amount of each transaction in your store!
4. “Slippage.” What is “slippage” exactly? “Unlike gift certificates, cash is not reimbursed to customers who do not redeem their full gift card value,” explains Andrade, “Estimates state that approximately 10-15% of gift card balances are never used.” Selling gift cards means that you’ll be making money without having to relieve yourself of your products. The truth is, some people just don’t end up using their gift cards. It’s still money earned for you!
5. Avoid theft and fraud damages. Don’t worry about counterfeit cash. Gift cards take care of any risk of fraud. As Andrade points out, “gift cards require activation to be used and contain other security features to help minimize the risk of theft and fraud.” Don’t hesitate in selling gift cards to your customers. The holiday season is the perfect time! Order your gift cards from Canadian POS Corporation today. Call us at 1-877-748-2884!