Top 5 Gift & Loyalty Trends For 2020

With the new year comes new opportunities to increase revenue and customer retention by leveraging Gift Card and Loyalty Programs. Here are the top 5 trends for 2020:

Customer Experience

Customer Experience can dramatically increase customer engagement and average spend. Providing more than just points is key to loyalty program success; emotional rewards are just as important as tangible rewards. These “surprise and delight” features like unexpected gifts and special recognition deliver high value to customers and can be achieved at relatively low cost. Loyalty encourages customers to share more information about themselves which can be used to personalize rewards and benefits further enhancing customer experience and brand loyalty. 

Mobile App

Mobile apps, like Dunkin’ Donuts, that enable customers to redeem gift cards and loyalty points and pay by phone are increasing in popularity. Customers enjoy the convenience and want the seamless ability to access gift cards and loyalty programs from their mobile devices. As the omnichannel shopping experience grows, stores with brick-and-mortar locations will rely heavier on mobile push notifications to attract shoppers. The mobile trend will only grow because mobile commerce sales will make up more than half of total ecommerce sales by 2021. 

Omnichannel Solution

Customers desire a seamless shopping experience across all platforms-in store, online, mobile. They want the same experience with gift cards and loyalty programs. According to a study by Aberdeen Group, companies with strong omnichannel customer engagement strategies hold onto 89% of their existing customers, as opposed to a 33% retention rate for companies failing to embrace these strategies. We offer an omnichannel solution that includes white label mobile apps, online gift card solutions, and in store programs seamlessly integrated together and tailored to merchants’ specific needs.

Gift Card To Go 

A Gift Card To Go Program is a great way to add ancillary gift card sales while making gifting easier for customers. Simply add an empty gift card to online orders and/or in store purchases with instructions for loading value to the card (online is best). All customers need to do is add the desired value and the gift card becomes a convenient or last-minute gift to give. Many big box retailers, including Walmart and Saks Fifth Avenue, started this trend during the holiday season and are continuing year-round. This trend is all about convenience.

Bonus Gift Card

A Bonus Gift Card Program is great during slow periods and delivers immediate results because it generates additional visits to a business. The gift card is loaded with promotional value (not real dollars) and only counts when redeemed towards the additional purchase. For example, give a $5 bonus gift card with every $25 sale. Make the $5 bonus card expire within 15 to 30 days so that customers come back to redeem the bonus card towards another purchase.

We can help merchants implement these tools to increase sales and reduce attrition. Our goal is to make 2020 merchants’ best year yet!

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