Although it might seem to work in a company's favor that consumers invest millions of dollars in physical gift cards that go unspent annually, many brands are making the shift to digital gift-giving in order to boost loyalty and deliver instant gratification.
Many consumers find it a struggle to pick out a gift, remember to send best wishes and finally, make arrangements to deliver a gift. Digital gifting is growing in response to this, making it easy for shoppers to find and send gifts on the go with mobile devices. Rather than trying to cater to all people on a gift list, standalone apps are satisfying niche interests, delivering gifts specifically related to food and drinks, luxury experiences, travel excursions or baked goods.
Since consumers can redeem digital gifts immediately without having to have a physical card in hand, purchases are often greater than the original gift value, which gradually contributes to increased sales and revenues.
- Gen Z
- Gen Alpha
- Millennial (primary audience)
- Gen X (primary audience)
