Every time you check out at grocery store chains or big box stores, they catch your eye. You can’t miss them. They’re everywhere! The ever-increasing list of gift cards is taking over checkout displays. We give them to teachers, co-workers, friends, and even children. They save us from brainstorming for hours anout what an appropriate gift would be. They are the easiest gifts!
Who doesn’t want a $50 gift card to a popular restaurant? They work and work well. Now, the question you need to ask as a small local business owner: why don’t you have gift cards that your customers can buy for others? The answers that we dug up through our research and knowledge of small business owners are shocking!
We don’t understand how gift cards can help us!
Many small businesses shy away from offering gift cards just because they cannot see the potential of a gift card program. So, here are some basic pros and cons of implementing a gift card program for your small business. Imagine you own a popular restaurant and you offer three gift cards:
- Dinner for Two for $50
- Lunch for Two for $30
- Takeout for One for $20
Now let’s assume that 20 of your most loyal customers buy $50 cards for their friends and family.
You now have $1000 CASH in your pocket before you sell a thing! It’s like printing money! Well, more like banking on yourself!
On top of that, you include the appropriate restrictions in the card details, so that $50 value actually costs you a lot less, allowing you to make a profit on the sale when someone walks in with the card to redeem it.
According to industry trends, most customers using gift cards will actually overspend by 40%. So, they will likely buy more than the card is worth! Can you hear your cash register ringing again?
Have your employees to pitch the purchase of a gift card to friendly and happy customers so that they can introduce your restaurant or store to their friends and family. In no time you could have hundreds to thousands of dollars in cash from gift card sales! So, what’s keeping you from starting a gift card program right now?
Hmm.. we can’t afford gift card programs!
This is the second most common objection to implementing a gift card program we hear from small business owners. They think it’s very expensive to run a gift card program for their one-location company. After calculating the cost of designing, printing and managing the gift card program they often get overwhelmed and quickly give up! Don’t worry, there are simple solutions out there designed specifically for small businesses!
Choose the Right Marketing Tech Partner to Help!
The right tech-savvy marketing partner can help you implement a simple, plastic-free, hassle-free gift card program that you can run straight from your smartphone and/or tablet. No need to share a big chunk of your gift card revenue with a third-party gift card processing company. Contact us today to find out more: https://switch2local.com/contact.