Zeek Mobile highlights gift cards for self-use trend
47% of UK shoppers are purchasing gift cards to spend on themselves, according to research commissioned by Zeek Mobile involving 2,000 people.
The top three drivers here are convenience (37%), to receive a discount (36%) and to help budget shopping (24%). Daniel Zelkind, CEO, Zeek Mobile. “Millennials in particular, who traditional retailers have typically struggled to reach, are adopting gift cards because they offer benefits they can’t get elsewhere. This is an important trend. These young, tech savvy, budget conscious shoppers make up a quarter of the UK population and are leading the way for the next generation of shoppers.”
He adds: "The popularity of online retail has been driven by expediency and pricing, so it’s no surprise to see convenience, discounts and budgets motivating self-purchase here. It’s all part of the smart consumerism trend, where people are willing to pay in advance to save time and money. Leveraging self-purchase presents an opportunity to maintain relevance with an increasingly technology driven audience and encourage a trend that retains all the benefits retailers enjoy from traditional gifting, including uplift, loyalty and customer acquisition.”
Both online and offline retail are gaining from the self-use trend. Meanwhile, 57% of self-purchasers visit a particular store or restaurant more often because of their gift card and 24% agree that they do this ‘much more’ often. Over three-quarters are overspending on their gift car. Fashion is the most popular sector at 28%. However, supermarkets follow closely behind with 25%. Electronics came in at 23% and entertainment at 22%.
“It’s time to rethink what gift cards are and what they can do for the retail sector. As consumer self-use use cases continue to increase, they offer a win-win for shopper and retailer alike. We are seeing a similar trend on our own platform. Over 90% of our customers purchase gift cards for self-use, which has led us to reimagine them as ‘retail currency’,” concludes Zelkind.