Gift vouchers have been increasingly popular in the United Kingdom over the past few years, with more and more people turning to them for gift-giving occasions and everyday purchases. According to market reports, the UK gift card industry is expected to record a CAGR of 6.4% during 2023-2027, reaching US$ 12,800 million by 2027 from US$ 9,285.2 million in 2022. This growth can be attributed mainly to increased consumer spending power and an expanding e-commerce ecosystem around gift cards and other prepaid products, such as mobile top-ups, public transport tickets, and cinema shows.
The growing trend for digital payments has also driven demand for voucher services which are seen as a reliable and convenient way of gifting money digitally across different devices, including phones or computers. Moreover, the swift emergence of online platforms like Amazon offers customers further flexibility in purchasing multiple items through one code-based payment system, which significantly drives up sales through vouchers.
Retailers looking to drive sales
Retailers looking to drive sales or increase customer loyalty by offering discounted deals often prefer voucher systems since it ensures that customers stick around longer than a single purchase before they move on elsewhere, increasing their overall lifetime value across their customer base significantly while ensuring repeat buying behavior. Therefore many big retailers are running successful campaigns offering discounts on existing collections when purchased using digital codes linked with specific initiatives such as loyalty programs or bulk buying.
Furthermore, the success of technology-instigated ‘gifting parties’ among social groups is another major factor driving the expansion of this industry over the forecast period. These events allow consumers to get creative while introducing new ideas related to custom design vouchers, group purchases, idea exchange sessions, etc., exploring areas beyond simple transactions regardless of where you buy these gifts – physical stores, virtual stores, or redemption centers. The potentials offered here shine out above all others, stressing how free society could be from traditional payment means, provided we use the correct tools given the right environment.
The gift Voucher Market in the United Kingdom will continue its growth trajectory over the coming years – presenting opportunity across retail and horizons extending far beyond making sure everyone gets benefit out there!
Does the UK use gift cards?
Yes, gift cards are widely used in the UK. Many people use Electronic gift cards to purchase items at discounted rates due to the higher electronics price in traditional retail stores. Electronic gift cards come in various denominations ranging from £10 to £100 and are accepted by many retailers, including Maplin, Argos, Amazon, and more.
These electronic gift cards provide a convenient way for users to save money while shopping for different products online or in-store. This is especially beneficial during difficult economic times when budgets are tight, and money needs to be maximized as much as possible.
For example, use an Amazon Gift Card that is worth £50. You can purchase three separate products, each worth up to £20, without paying any extra charges such as delivery fees, which could add up over time if you were purchasing multiple items separately with your hard-earned cash! Similarly, with Argos Gift Cards available from their website, customers can choose from a variety of discounts such as 10% off on gaming consoles or 20% off on clothing plus free delivery within five working days – all within one simple transaction using just one card saving you both time and money!
Gift Cards offer great value for money: they provide flexibility since they can be redeemed at any participating retailer (most big name stores accept them), convenience since there’s no need for additional transactions when making purchases online or instore with just one swipe of your card instead of carrying coins/cash around plus access to exclusive offers not otherwise available through traditional channels which makes them even more attractive for those who like saving but also want something special out of their shopping experience! In conclusion, UK consumers have discovered a great way of maximizing savings without compromising on quality or convenience – so why not give it a go too?