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Gift and Loyalty Cards
As we see with large corporate chains, gift and loyalty cards are commonly used as presents for Christmas, birthdays, graduations, or on many other special occasions. However, small companies nowadays can also take advantage of this efficient form of advertising.


Gift Card
Gift cards are usually placed on the counter. When your customer buys a gift card from your company, he/she gives you the money and you hand them a card with value in it. This card is usually given as a gift to a third party who will eventually return to your store to spend the value stored in the card. Some of the benefits of gift cards are:

Merchant Benefits

• Cash flow is increased by collecting payment prior to delivery of product or services
• Cards continually build brand awareness and customer loyalty as “billboards” in the wallet—establishes current customers as the destination of the ad
• Declining balance ensures full cash value of gift card is used in store
• Customers spend more with plastic—average sale increase is by 20% to 50%
• Easy to activate and use by both the merchant and consumer
• Can be used to handle merchandise returns for store credit—keeps cash in store
• A low-cost turnkey service previously available only to large retailers
• A powerful marketing tool for a wide variety of promotional campaigns
• Management reporting provides monitoring and security control
 

Consumer benefits

• Provides a personal gift without the giver having to select a specific item
• Identifies the cardholder as a valued customer
• Easy to buy and easy to redeem
 

Loyalty Cards
Loyalty cards work similarly to Gift Cards. However, loyalty cards are used to keep regular customers. For instance, a coffee shop may offer a free coffee every time a customer buys five of the same. A spa may give points for every dollar spent and offer a discount for every number of points collected. Loyalty cards make your customer more “loyal” to your company, so they are more likely to return and recommend your products/services to others.

The advantages are:

• Attracts and retains customers through loyalty, reward, and incentive programs—cards can keep track of loyalty points earned and can be reloaded for discount incentives
• An ongoing source of loyalty, rewards, discounts and incentives for the consumer
• Identifies the cardholder as a valued customer

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In 2004, Gift Cards surpassed apparel to become the top selling holiday gift.  Be sure your customers know you have them!

Attractive, personalized gift and loyalty cards are available in low minimum quantities. 

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