Gift Cards Are The New "Go-To" Gift Choice For Holiday Shoppers This Year

By Christine Kern, contributing writer

Almost three-quarters of those surveyed are likely to purchase at least one digital gift card.

A recent survey conducted by InComm reveals 71 percent of holiday shoppers surveyed intend to purchase at least one gift card from an online website or mobile website/app this holiday season, and 74 percent most likely will buy at least one digital card, according to a press release.

The findings of the InComm survey are in line with those of a recent National Retail Federation (NRF) poll, that found that average spend on gift cards will rise to $172.74 this year from $163.16 last year, according to a press release. The NRF predicts sales of plastic and digital gift cards to reach an all-time record of $31.74 billion, with an average of $47.87 per card.

The InComm survey showed that younger shoppers are also most likely to buy digital gift cards, with 85 percent of respondents between 18 and 35 agreeing that they are likely to purchase one this holiday shopping season. And 90 percent said they are more likely to purchase digital gift cards than they were two or three years ago.

This tech-savvy generation also stated that it prefers to have digital gift cards scanned from the phone rather than having an email printout, with 77 percent stating so.

And while merchants are often most often associated with gift card sales, resellers can expect to see growing interest from other verticals. The survey revealed 54 percent of respondents would consider switching their utility, cable, or Internet provider if they were offered a gift card incentive for switching. In addition, InComm found that cash and gift cards are clearly the top choices when it comes to the types of rewards respondents prefer to receive from an employer.

Mike Fletcher, GM of digital solutions, InComm, explains, “This research shows that digital gift cards are rising in popularity, especially with those in younger age brackets. It’s also interesting to see how many respondents are increasingly interested in storing digital cards on their phones for self-use. The key is that consumers want more gift card options, giving retailers [and resellers] incentive to provide an exceptional physical and digital gift card shopping experience across all channels.”