Prepaid Gift Cards: The Affordable but Appreciated Gift This Holiday Season November 12, 2008
By Mark Herrington
Every year, companies of all sizes look for ways to send special "thank yous" to employees, coworkers and business colleagues for working hard all year long. The days of giving the old stand-by fruitcake or wine basket with cheese and stale crackers are fading.
Recipients want gifts that are more personal. Some might prefer to have a little more money to spend on groceries, gas, restaurants, fast food and convenience stores. When times are tough, consumers often turn to the necessities, and industry data forecasts 5 percent growth in dollar sales for these categories this holiday shopping season.
A prepaid card is a thoughtful way to allow an employee or colleague to choose the perfect gift, and prepaid cards will be especially appreciated this year. First Data manages gift card solutions for many well-known brands, as well as general-purpose and payroll cards that are accepted at millions of locations. The company suggests several ways to give the perfect gift card this year.
A gift card from a specific merchant is great for if you know the recipient's interests. Whether they enjoy a particular restaurant, listen to music all day long, take frequent airline flights or are sports enthusiasts, a gift card will show the recipient that they are important and that you recognize their personal preferences. These cards also benefit merchants as they can encourage consumer loyalty.
According to the Network Branded Prepaid Card Association, almost half of consumers (45 percent) plan to buy at least one gift card this year, and one in five consumers (17 percent) say they are planning to buy a general-purpose prepaid card this year.
If you don't know what kind of gift card a recipient might enjoy, a sensible choice is to give a general-purpose prepaid card. Recipients will appreciate these cards, which can be used virtually anywhere, as they offer considerable flexibility and choice.
Businesses that frequently use gift cards to encourage and reward employees—or companies with many employees—may find that the process of ordering large numbers of gift cards can be time-consuming.
But there's a new kind of gift card that lets businesses order and fund instant-issue general-purpose gift cards. The corporate incentive card ordering process is easy and businesses can select cards in a variety of denominations, which can be delivered in bulk or mailed directly to card recipients. These incentive card programs save businesses time and give them the level of control that they want in managing their incentive programs.
Gift cards meet the needs for corporate giving this holiday season—practical and appreciated. Whether it’s a gift for the veteran salesman or new employee, there are a plethora of gift card options that First Data and others are offering this year.
Mark Herrington is president of Global Prepaid Services for First Data Corporation First Data is a leader in electronic commerce and specializes in prepaid solutions, including corporate gift cards. For more information on the company's products and services, visit www.firstdata.com.
RSS
