From soaring gas prices to the recession, everything has increased customer volatility to higher levels. Customers these days have become the ultimate hoppers and are most likely to switch to a brand that offers them better deals.
This has led companies to rethink their reward model. They need to put their best foot forward to ensure that the rewards they offer are liked and well-received by their customers to motivate them to make repeat purchases. At the same time, a good reward model will help companies acquire new customers.
While there are so many rewarding options available, most companies switch to e-gift cards primarily because of the flexibility of choosing a gift it offers.
Here, let’s understand other common reasons why companies prefer e-gifts and how they have changed the whole loyalty landscape.
How E-Gift Cards Are Changing The Loyalty Landscape?
To stand out among other existing loyalty programs, your rewards program must be powerful. E-gift cards give you a great opportunity to enhance and empower your reward program by offering your customers purchase versatility and flexibility.
Here, let’s discuss all the ways in which e-gift cards empower a loyalty program.
Convenience and Accessibility
E-gift cards have gained popularity over the years because of the easy accessibility and convenience it offers to customers and businesses. Unlike traditional gift cards which require physical distribution, e-gift vouchers are delivered instantly. Customers can further redeem these vouchers online or offline according to their convenience. Moreover, this easy accessibility enables customers to purchase and send these gift vouchers to their friends without any geographical barriers.
In the same way, for businesses distributing e-gifts cards become easier. They can easily keep track of the distributed and remaining gift vouchers. Moreover, since these gift vouchers are delivered digitally, you can also analyse the buying behaviours and preferences of your customers.
Personalisation and Customisation
Gift vouchers have become a top choice for businesses when it comes to rewards because of the personalisation and customisation flexibility it provides. Since these gift vouchers are distributed digitally, brands can customise the look of the voucher. This makes them a perfect gift for any occasion.
This personalisation and customisation also enable brands to increase their brand awareness. Brands can incorporate their logos, colours and a personalised message or discount code to encourage the next purchase. This overall customisation helps brands improve their customer experience and build brand loyalty.
Not only this but the gift vouchers can also be personalised as per an occasion like a birthday, work anniversary or any other milestone to incentivise your channel partners and employees to ultimately strengthen channel partner loyalty.
Enhance Customer Engagement
Customers are always attracted to brands that make an effort to interact with them. E-gift vouchers have proven to be a successful way to engage your customers. These gift vouchers allow brands to collect valuable data on customer preferences, purchasing behaviours and card redemption patterns.
This data can then be used to run targeted marketing campaigns and personalise rewards and offers for the customers which improve the overall brand engagement. These gift cards are leveraged to build meaningful relationships with the customers which leads to long-term customer loyalty.
Encourage Participation In Loyalty Programs
Cashbacks have always been the king in the realm of loyalty programs however, gift cards have started gaining popularity. Gift cards can help brands motivate their customers to make further purchases in the brand’s ecosystem. Moreover, the redemption and purchase flexibility gift cards make them a good reward choice, ultimately encouraging customers to participate or enrol in the brand’s loyalty program.
Moreover, gift cards are easier to manage and more cost-efficient than cashback. Gift cards make customers engage more with the specific brand of the card, leading them to spend more time on the website. Customers are more likely to redeem gift cards sooner than other rewards provided in the loyalty program.
Enhance Customer Experience
Customers always like to purchase from a brand that offers a decent customer experience. E-gift vouchers help businesses enhance customer experience by offering personalisation and flexibility to their customers. Unlike traditional gift cards, they allow recipients to choose their preferred service or products, leading to increased customer satisfaction.
At the same time, e-gift cards are easier to redeem and keep track of. Also, these gift vouchers can be sent through or stored on different channels including email, SMS, or WhatsApp, reducing the risk of losing them. Customers can choose their preferred channel to buy or redeem the gift voucher.
The ultimate goal of an effective loyalty program is to retain existing customers of a brand and help them generate revenue. E-gift cards can help brands exactly the same! E-gift vouchers can significantly drive revenue growth for businesses.
Offering e-gift cards helps companies attract new customers who may not have been familiar with their brand before. Moreover, recipients of e-gift cards are likely to spend more than the card’s value, leading to increased sales and higher average order values. Additionally, e-gift cards can serve as a form of advertising, as recipients are exposed to the brand when they receive and redeem the card, further increasing brand exposure and awareness.
No Logistics Costs
Unlike traditional gift cards, e-gift cards are more cost-efficient and secure. Printing and distributing physical gift cards can be expensive, especially for businesses with multiple locations or online platforms. E-gift cards eliminate these costs and logistical challenges. Furthermore, e-gift cards have built-in security features, such as unique codes, encryption, and expiration dates, reducing the risk of fraud and unauthorized use.
E-gift cards can certainly help brands drive revenue and increase customer loyalty. Most brands have started to incorporate e-gift vouchers in their loyalty programs because of the flexibility and convenience they offer.
Other than this, gift cards can be personalised, making them a suitable gift for employees, channel partners and customers. They allow customers to choose a gift of their choice which in turn increases customer satisfaction.
Besides everything, the e-gift vouchers are secure to use, instantly delivered and more cost-effective than the traditional rewarding models.