Your Branded Currency - First Data · Your Branded Currency 2018 Prepaid Consumer Insight Study...
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Our 2018 Consumer Insights Study takes a look at trends in branded currency and how you might leverage them as part of your gift card strategy. Consumers prefer physical cards because they are more personal but will often use eGift/digital cards because they can be sent instantly and purchasing is more convenient. One in three spend more on a gift card than on a traditional gift and drive new customers to your store. 18–23 24–37 38–53 54+ 1,032 RESPONDENTS 100% 18+ YEARS OLD 2018 OCTOBER GENERATION Z MILLENNIALS GENERATION X/Y BOOMERS WHAT? The future of the gift card market in the U.K. looks positive Those surveyed still prefer to give and receive physical gift cards over eGift/digital cards. WHY? What was the occasion Special occasions and festive events drive gift card purchasing in the U.K. WHERE? Gift cards have an impact on consumer purchasing behaviour HOW MUCH? What’s the value Reasons to Purchase Cards for Others – 2018 (Multiple Responses) 69% 81% 42% 47% 12% 15% 15% 15% 9% 1% 0% 11% Physical eGift As a present for an occasion or event As a present for a festive event As a method of paying someone To give money in a way that limits how it is spent To earn loyalty/ reward points Other reasons • A key point of interest here is – one in three respondents indicate high interest in purchasing gift cards from either a bank website or banking mobile app • Most consumers who buy a gift card at a gift card mall say they have a particular store or brand in mind prior to making their selection • Typically the gift card malls where these purchases are made are located in a department store or food supermarket 30% Department store Food supermarket or grocery store Online only merchants Entertainment Discount store/big box Specialty retail store Chemist/health store Fast-casual restaurant Fast food restaurant Coffee shop Petrol station or convenience store Fine dining restaurant Other stores or establishments 26% 17% 11% 10% 9% 7% 6% 5% 5% 5% 4% 4% Are you gift card ready? We can help you get there [email protected] FirstData.com SCROLL DOWN TO EXPLORE THE REPORT Intro What? Why? Where? How Often? How Much? 44% Prompted visit to a store more often – 2018 (%yes) 34% Prompted visit to a store would not have visited – 2018 (%yes) Gift Card Mall Location – 2018 (Multiple Responses) Average spend on gift cards Gifts Cards £203 U.K. consumer spend in the past 12 months on all gifting (i.e., Cards, Presents, Cash) All Gifts £531 Two in five of those who bought themselves a gift card or received a gift card have reloaded them, primarily to enable additional purchases. HOW OFTEN? Time to Reload 46% Make additional purchases 27% Loyalty/rewards programme 25% Receive a discount 21% Budgeting 15% Be environmentally friendly 14% Don’t need to carry cash 2% Other What’s the value? Gift cards provide huge value to consumers, so make sure you understand the value they can bring to your business. Generation Z and Millennials Generation Z is the largest segment buying physical gift cards and Millennials are the largest buying eGift/digital cards. Having a strategy to reach them when, how, and where they want is key. Your Branded-Currency Strategy Do you have one? Is it up-to-date? From increasing revenue to growing margins to capturing data, make sure that you’re leveraging current market opportunities. Preference to Purchase Type of Card – 2018 (Base=Purchasers) Physical eGift 62% 18% Preference to Receive Type of Card – 2018 (Base=Receivers) 44% 27% Physical eGift Reasons to Reload – 2018 (Multiple Responses; Base=Reloaded) © 2019 First Data Corporation. All Rights Reserved. The First Data name, logo and related trademarks and service marks are owned by First Data Corporation and are registered or used in the U.S. and many foreign countries. All trademarks, service marks and trade names referenced in this material are the property of their respective owners. 509405 2019-01 TREAT YOURSELF G I F T C A R D Your Branded Currency 2018 Prepaid Consumer Insight Study £41 Average amount spent over the value of the gift card Avg. Spending/Card – 2018 (Base=Purchasers) Physical eGift £99 £74 74% Of U.K. gift card receivers spent over the value of the card at the retailer Avg. Value/Card – 2018 (Base=Receivers) Physical eGift £61 £58
Transcript of Your Branded Currency - First Data · Your Branded Currency 2018 Prepaid Consumer Insight Study...
Our 2018 Consumer Insights Study takes a look at trends in branded currency and how you might leverage them as part of your gift card strategy.
Consumers prefer physical cards because they are more personal but will often use eGift/digital cards because
they can be sent instantly and purchasing is more convenient.
One in three spend more on a gift card than on a traditional gift
and drive new customers to your store.
18–23 24–37 38–53 54+
1,032R E S P O N D E N T S
100%1 8 + Y E A R S O L D
2018O C T O B E R
G E N E R AT I O N Z M I L L E N N I A L S G E N E R AT I O N X / Y B O O M E R S
WHAT?The future of the gift card market in the U.K. looks positiveThose surveyed still prefer to give and receive physical gift cards over eGift/digital cards.
WHY?What was the occasion
Special occasions and festive events drive gift card purchasing in the U.K.
WHERE?Gift cards have an impact on consumer purchasing behaviour
HOW MUCH?What’s the value
Reasons to Purchase Cards for Others – 2018 (Multiple Responses)
69%81%
42%47%
12%15%
15%15%
9%
1%0%
11%
Physical eGift
As a present for anoccasion or event
As a present for afestive event
As a method ofpaying someone
To give moneyin a way that limits
how it is spent
To earn loyalty/reward points
Other reasons
• A key point of interest here is – one in three respondents indicate high interest in purchasing gift cards from either a bank website or banking mobile app
• Most consumers who buy a gift card at a gift card mall say they have a particular store or brand in mind prior to making their selection
• Typically the gift card malls where these purchases are made are located in a department store or food supermarket
30%Department store
Food supermarket or grocery store
Online only merchants
Entertainment
Discount store/big box
Specialty retail store
Chemist/health store
Fast-casual restaurant
Fast food restaurant
Coffee shop
Petrol station or convenience store
Fine dining restaurant
Other stores or establishments
26%
17%
11%
10%
9%
7%
6%
5%
5%
5%
4%
4%
Are you gift card ready?We can help you get there
[email protected] FirstData.com
SCROLL DOWN TOEXPLORE THE REPORT
Intro What? Why? Where? How Often? How Much?
44%
Prompted visit to a store more often –
2018 (%yes)
34%
Prompted visit to a store would not have visited –
2018 (%yes)
Gift Card Mall Location – 2018 (Multiple Responses)
Average spend on gift cards
Gifts Cards
£203
U.K. consumer spend in the past 12 months on all gifting (i.e., Cards, Presents, Cash)
All Gifts
£531
Two in five of those who bought themselves a gift
card or received a gift card have reloaded them,
primarily to enable additional purchases.
HOW OFTEN?Time to Reload
46%Make additional purchases
27%Loyalty/rewards programme
25%Receive a discount
21%Budgeting
15%Be environmentally friendly
14%Don’t need to carry cash
2%Other
What’s the value?Gift cards provide huge value to consumers, so make sure you
understand the value they can bring to your business.
Generation Z and MillennialsGeneration Z is the largest segment buying physical gift cards and Millennials are the largest buying eGift/digital cards. Having a strategy to reach them when, how, and where they want is key.
Your Branded-Currency StrategyDo you have one? Is it up-to-date? From increasing revenue to growing margins to capturing data, make sure that you’re leveraging current market opportunities.
Preference to Purchase Type of Card – 2018(Base=Purchasers)
Physical eGift
62%
18%
Preference to ReceiveType of Card – 2018(Base=Receivers)
44%27%
Physical eGift
Reasons to Reload – 2018�(Multiple Responses; Base=Reloaded)
© 2019 First Data Corporation. All Rights Reserved. The First Data name, logo and related trademarks and service marks are owned by First Data Corporation and are registered or used in the U.S. and many foreign countries. All trademarks, service marks and trade names referenced in this material are the property of their respective owners. 509405 2019-01
T R E A T Y O U R S E L F
G I F T C A R D
Your Branded Currency2018 Prepaid Consumer Insight Study
£41Average amount spent over
the value of the gift card
Avg. Spending/Card – 2018(Base=Purchasers)
Physical eGift
£99
£74
74%Of U.K. gift card receivers spent over the value of the card at the retailer
Avg. Value/Card – 2018 (Base=Receivers)
Physical eGift
£61 £58
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