Consumers Will Increase Gift Card Purchases in 2022, Research Finds Fiserv – Digital Transactions

Despite rampant inflation and supply chain shortages that have made some products hard to find, gift cards, whether physical or digital, remain popular with consumers. In fact, 58% of consumers plan to purchase more gift cards as an alternative to tangible products due to out-of-stock items in 2022, according to Fiserv Inc’s Q1 2022 Gift Card Gauge. 46% of consumers consider gift cards their go-to alternative to tangible gifts.

Fiservwhich conducts the quarterly study, surveyed more than 1,000 US consumers ages 18 and older.

Consumers purchase gift cards for what they consider to be milestone events, such as birthdays. In the survey, birthdays ranked as the most popular event for Git board donations, with 57% of respondents saying they planned to buy one. gift card as a birthday gift in 2022. Next came graduations, with 37% of respondents saying they intended to give a gift card as a graduation present.

Meanwhile, 37% of respondents said they intended to give someone a gift card as a thank you. Giving a gift card during the holiday season remains popular, with 33% of respondents saying they are likely to purchase a gift card during this time. Overall, 72% of respondents say gift cards are an appropriate gift for milestone events.

When it comes to the form that gift cards take, physical gift cards remain very popular with consumers. One of the main reasons is that 65% of respondents say they believe physical gift cards are not likely to be fraudulent. Overall, 19% of respondents say they plan to purchase more physical gift cards than in previous years. By comparison, 16% of respondents plan to purchase more digital gift cards than in previous years.

Physical gift cards are also seen as appropriate items to mark a milestone, with 51% of respondents agreeing with this idea.

Visa Inc. and American Express Co. gift cards are the most popular brands, with 20% of respondents saying they plan to buy at least one of these branded gift cards in the coming year. Gift cards from online merchants, such as Inc. and eBay Inc., were the second most popular brand (18%), followed by gift cards from discount/big box retailers such as Walmart Inc. and Target Corp. (13%), and coffeehouse chains like Dunkin Donuts and Starbucks Corp. (12%).

Finally, gift card promotions are expected to drive sales in 2022. Among consumers surveyed, 62% say they plan to take advantage of a promotion in 2022.

What kind of promotions motivate consumers to buy gift cards? Some 33% said they had a bonus amount added to the card, while 28% said they got a bonus gift with the purchase of a card, and 24% said they received a free item with the purchase of the card .

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