The gift card.
Starbucks holiday bonanza of styled gift cards
Amazon's new twist on a gift card, the flex card. Instant gift.
We all know cash is better for liquid transaction, but sometime cash as a gift is not so tactful. The gift card at least tells the person you know their likes and still allows them to buy whatever they want.
What people dont realized why gift cards are so amazing to business is that sometimes the gift cards go unspent. The gift card locks up your funds with the company you are at. So if you are standing in Macy's and forgot to get a gift at the register, you can get a gift card!
To the consumer the gift card is a gift or semi liquid transaction like cash.
To the business, its about getting you to spend more money...as a repeat customer, as a convenience, as a driver, similar to word of mouth..getting people in their stores.
My two examples, The Starbucks...the reason they put so much effort into the design...is to make you like the art..and thing of someone...and buy a gift card. I probably wouldn't have given a certain person a gift...but $5 as a reward..No biggie right? $5 more for Starbucks
Amazon was genius in creating their flex card. Its basically a cardboard gift card you can give anyone...just activate if via your Amazon account. Viola ...$$$ is spent with Amazon. They included this with an order I received..so...It probably would of turn me to gift giver or someone to customer.
Genius. The gift card is one of the greatest marketing inventions EVER. What is better? AIR MILES!