How do you feel when you receive a gift, especially an
incredible one? Is it something you still remember and brings you joy? For
many, gift giving is a positive experience, fosters goodwill creates lasting
impressions and a desire to give back. As a business owner, you can use the same
concept to attract new customers to your business! It’s called ‘gift
marketing,’ but it’s so much more than merely giving gifts to customers. It’s
about delivering a WOW! experience that cultivates a connection with customers
and an attachment to your brand. But how can you give customers something of
value to build relationships? We discuss what makes gift marketing work for
The Right Approach to Gift Marketing
Gift marketing works best when the gift is meaningful to the
recipient and offered in a genuine way. Gifts are truly that – given without
anything expected in return or conditions attached. The gift should be of high
value to your customers and beneficial to them. Not only will this approach
make your business stand out, but it also inspires customer trust and loyalty.
When presenting the gift, customers want to feel special and
part of something exclusive. Even if the gift is given to a wide audience, the
offer can be received well if it is intended for a certain demographic or
personalized. Using the person’s name or another form of personalization on the
gift gets it noticed. This step goes above to create a personal connection and
gives the customer a preview of the individual care and attention they can
expect when they walk through your door.
The Principle of Reciprocity
There is power in the unexpected gift, and the reason is
even supported by what psychologists call the “principle of reciprocity.” It’s
in our human nature to want to give back when something is received. To prove
the concept, psychologists
conducted a study in which servers provided checks with mints to their
customers. As a result, they saw a 14% increase in tips when two mints were
provided and a 21% increase when extra mints were given.
Reciprocity + Gift Cards = Success!
Time and again, we see the principle of reciprocity in
action at BirthdayPak. Especially when it comes to giving the ideal gift that
everyone loves: Gift Cards! Current trends show that gift
cards are a win all around. They are the preferred gift for their ease of
use and personal feel. In fact, consumers are buying more gift cards for
others, self-gifting them and overspending
by an average of $59 on the original value. Businesses are using gift
cards to build customer loyalty and maximize sales. Combine gift cards with
the principle of reciprocity and it’s easy to see how a gift marketing program
sets a business up for success.
BirthdayPak: The Gift That Keeps Giving!
As a leader in gift marketing since 2009, BirthdayPak is
proving to be the gift that keeps giving! Consumers love receiving their
personalized BirthdayPak, filled with valuable gift cards to local business to
celebrate their birthdays! Businesses benefit from new and repeat customers,
and the “gift” is returned many times over. Are you ready to deliver WOW to your
customers, create that lasting impression and increase sales? If so, we
invite you to learn more about
BirthdayPak’s award-winning gifting program! If you’re a sales-minded
entrepreneur looking for a proven business model with great potential, franchise markets are available.
Find out what makes BirthdayPak different and schedule a call with
A new customer comes through your door, but how do you keep them coming back? The solution may be as close as your cash register: Gift Cards. Gift cards are increasingly popular (and profitable), people love to use them to treat themselves and most customers prefer gift cards from businesses as rewards. We prove that gift cards are a winning strategy for building customer loyalty and provide ideas for using gift cards to maximize sales.
Customer Loyalty with Gift Cards: Perfect Together
It pays to retain your loyal customers, but how much? Consider these statistics:
It’s easy to see why customer loyalty programs pay for themselves – marketing costs are lower when targeting existing customers and there’s a higher likelihood that those customers will spend more, which is nearly guaranteed with a gift card. And you’re rewarding customers with something they really want so they have a reason to return.
Give Your Rewards Program a Boost
Providing gift cards through rewards programs can take many forms. Some programs allow customers to earn points for dollars spent, which can be redeemed for gift cards to your business. Another simple way to incorporate gift cards into your customer loyalty program is to offer a gift card to customers at your anniversary or another special occasion. If a customer is in to buy a gift card as a gift for someone else, invite them to your rewards program to increase your chances of repeat visits.
Social Media Contests
When connecting your business with your target audience, social media platforms such as Facebook and Instagram are great tools. Contests on social media are popular and everyone loves the chance to win! Offer a high value gift card in exchange for a few simple actions to enter the contest, such as having customers/followers comment on the post, repost it and tag friends. Tagging friends also has the benefit of reaching more people and gaining new customers.
Pair Discounts and Gift Cards
A lot of businesses offer discounted gift cards around the holidays or at certain times of the year. Since we already know that customers overspend the value of the gift card, you could offer gift cards at a reduced price when purchasing a certain denomination (for example, $100 for $90). Or offer a discount on the purchase when paying with a gift card.
BirthdayPak partners with local businesses to give affluent women what they really want for their birthday – gift cards to restaurants, spas and boutiques! Many recipients are pleasantly surprised to see gift cards to their favorite establishments and new ones they have been wanting to try. In this way, BirthdayPak helps your customer loyalty efforts and brings new traffic to your business!
Gift Cards: So Much More Than Gifts
We’ve made the case: Gift cards aren’t only for last-minute holiday and birthday gifts! Leverage their power to increase customer loyalty, engagement and brand awareness. Gift cards and a positive service experience will keep customers coming back for more. To start the conversation about partnering with BirthdayPak, visit BirthdayPak Gifting or contact us. We also have exciting franchise opportunities available! To learn more, visit birthdaypakfranchise.com or schedule a call.
New customers come through your door, and you have a great opportunity to maximize their first impressions. But how do you keep your business top of mind and customers coming back throughout the rest of the year? While our gifting program at BirthdayPak centers around birthdays, we know there are many other occasions to celebrate. It’s the reason BirthdayPak provides multiple digital marketing touchpoints at various times of the year. We discuss the benefits to year-round marketing and those key times of the year to capture repeat business.
The Benefits of Year-Round Marketing
Why should you market to your target audiences all year long? For one, seeing your name consistently increases awareness so that a customer will choose your brand over a competitor. Every time you interact with a customer or prospect, you have the chance to make a connection and create a memorable brand experience. In turn, this fosters relationships with customers and increases loyalty. Consistent marketing also conveys stability and sends a message of longevity.
Leveraging Birthdays for Year-Round Gifting and Celebrating
More than one million birthday wishes are sent each year to women across the country and a quarter million are part of the ever-growing BirthdayPak community. Our community receives periodic reminders over a three month period after their BirthdayPak has been sent and 45% redeem a gift card as a direct result of receiving a reminder email. All emails prominently display the logos of our business partners and link directly to their respective websites. In addition to sending marketing messages around the recipient’s birthday and at the key holidays below, one is sent before Labor Day reminding recipients to take advantage of end of the summer specials. And we don’t forget the half birthday mark!
Turn One-Time Birthday Customers into Year-Round Customers
Birthday celebrations don’t have to be a one-and-done occasion at your business. At BirthdayPak, we make it our business to get you repeat business! We know your chances of selling to an existing customer are much higher (60-70%) vs. to a new customer (5-20%). When you partner with BirthdayPak, you stay in front of women with a discretionary income all year and keep them coming back. Consider these statistics:
Valentine’s Day – Restaurants in particular can count on a spike of diners on the day of love. In 2019, more than 30% of Americans dined at a restaurant and overall spending was expected at over $20 billion this year.
Mother’s Day – Mother’s Day is one of the most popular holidays to dine out! In fact, one-third of adults dine out to mark the occasion and it’s the most requested gift by moms (47%). Americans were projected to spend nearly $25 billion in 2019.
Father’s Day – Spending on Father’s Day gifts was expected to hit a record high this year of $16 billion. Father’s Day is also a busy day at restaurants, just behind Mother’s Day and Valentine’s Day.
Thanksgiving – Almost one in 10 Americans would prefer to have their Thanksgiving dinner at a restaurant. While 21% of respondents pick one of their favorites, another 30% said they choose a restaurant they frequent for special occasions. And let’s not forget about Black Friday – 72% of shoppers plan to get a bite at a full- or quick service restaurant.
December Holidays – Hungry shoppers, holiday parties, gift-giving, and new year’s celebrations – oh my! There are countless opportunities to capture repeat business in December!
Enhance Year-Round Marketing Efforts with BirthdayPak
BirthdayPak currently partners with nearly 1,300 businesses to bring in new and repeat business throughout the year. Learn more about this multi-channel marketing platform, which ranked “Best of the Best” and has been recognized as a Top New Franchise by Entrepreneur®. To feature your business in BirthdayPak or for more information on available franchise markets, contact us!
“Money makes the world go ‘round,” or so the song goes. And we can place gift cards in that category. Described as “the new currency,” the global gift card market is exploding and projected to grow to $698 billion by 2024. And it’s evolving in response to the busy, digital-focused consumer. This means increases in mobile apps, self-gifting and loyalty programs to drive sales and bring in new customers. We look at some trends that are shaping the future of gift cards, and the tremendous opportunity for consumers and businesses.
Physical or Digital, Consumers Love Gift Cards
Gone are the days where gift cards were considered “impersonal.” According to the 2018 Consumer Insights study by First Data, the average number of physical gift cards received has increased for the 5th consecutive year. They are preferred when gifting because of their ease of use and personal feel. However, digital gift card use also is increasing because funds can be loaded instantly, and they are more convenient. Consider these statistics:
- Consumers say that more than half of their budget (55%) will be spent on gift cards.
- Thirty-three percent of those surveyed spend more on a gift card than a traditional gift.
- Gift cards increase sales with $59 being the average amount overspent beyond the value of the gift card.
- The majority of consumers (80%) overspend with a fine dining, fast casual or drug store gift card.
- The average number of gift cards purchased by consumers is increasing – both physical (6.5 in 2017 vs. 8.0 in 2018) and digital (6.1 in 2017 vs. 6.3 in 2018).
Self-Purchasing Is on the Rise
Card buying is going beyond gifting as more consumers are purchasing gift cards for their own use (64% in 2018 vs. 58% in 2017). Consumers want to treat themselves and are using cards in place of cash or credit. Self-purchasers especially respond to loyalty, reward and discount programs.
How Will Your Business Optimize These Trends?
These trends help predict the future of gift cards and present opportunities. Opportunities that can drive more traffic and sales to your business. How are you going to optimize them and make sure your business stays top of mind?
At BirthdayPak, we know that how gift cards are packaged and marketed can make a big difference with consumers. It’s why we’re gifting experts! We partner with a handful of exclusive high-end businesses to send high-quality personalized gift cards to affluent women for their birthday. BirthdayPak recipients bring the celebrations to you and remember your business the next time they dine out or purchase a gift card. It can truly come full circle and pay dividends many times over.
To learn more about partnering with BirthdayPak, visit BirthdayPak Gifting or contact us. If you’re an entrepreneur looking for a business opportunity with enormous potential, we invite you to view the BirthdayPak franchise markets available, peruse the wealth of information and schedule a call with us.
It’s National Small Business Week! This annual celebration, happening May 5-11, 2019, recognizes small businesses and the important contributions they make to our local and national economies. At BirthdayPak, we applaud all of the small business owners across America – especially our hardworking franchise owners and the hundreds of local, small businesses who partner with BirthdayPak to send more than one million birthday wishes to women every year.
In recognition of National Small Business Week, here are just a few ways small businesses play an important role in our communities and economy:
More than half of Americans own or work for a small business.
Step aside big retailers – together, small businesses are a mighty force! The Small Business Administration (SBA) states that more than 50% of Americans either own or work for a small business. And they are the faces you see every day – our neighbors, family and friends.
Small businesses are the lifeblood of the economy.
Think the mega-corporations employ most of the workforce in the U.S.? The SBA also reports that small businesses create about 2 out of every 3 new jobs in the U.S. each year. Small businesses created 8.4 million new jobs versus the 4.4 million created by large businesses, from 2000-2017. Further, small businesses reinvest more in the local economy at double the amount chains do. For every $100 spent at a small business, $68 stays in the community.
Women-owned businesses are growing exponentially.
According to the 2017 State of Women-Owned Businesses Report commissioned by American Express, the number of women-owned businesses over the last 20 years (1997-2017) has grown 114% compared to the overall national growth rate of 44% for all businesses. In the U.S., women-owned businesses employ nearly 9 million people and generate more than $1.7 trillion in revenue. As a result, the number of women pursuing opportunities in franchising is also rising.
Show Small Businesses the Love
It’s clear: Small businesses are exceptional, and they keep our communities thriving! If you’re looking to show your support and appreciation during National Small Business Week, one of the best ways is to eat and shop local. Try a new restaurant or shop at a boutique. When you have a good experience with a small business, spread the word to your neighbors and friends or write a review.
BirthdayPak Celebrates Small Businesses Year-Round!
BirthdayPak has a ripple effect on small businesses! Not only is BirthdayPak itself a small business, but our franchise model is made up of a collaborative network of small business owners. Our business partners who participate in BirthdayPak are mostly small businesses providing goods and services to thriving local communities across America. When recipients receive their BirthdayPak, they receive valuable gift cards that encourage them to stay local when dining out and shopping. We’re proud to have a part in helping small businesses achieve their dreams and give back to our communities. For more information on featuring your small business in BirthdayPak, visit BirthdayPakGifting.com.
Are you a budding entrepreneur who wants to partner with a growing national brand and make an impact in your community? Start with this series of articles to get acquainted with franchising and BirthdayPak, and meet some of our small business owners. To learn more, schedule a call.