If you want your dropshipping business to grow, set up a way to use gift cards. Gift cards are becoming more and more popular. Each year, they are estimated to be worth $160 billion.
We’ve put together everything you need to get started, which is good news.
Let’s dive in!
Why Gift Cards?
Gift cards are just one more way you can make money from your online store.
They’re a simple way to keep customers coming back and boost their lifetime value.
Don’t believe us?
The numbers tell the story:
55% of people who use gift cards do so more than once. This means more people will be driving.
The average person who uses a gift card spends an extra 20% of what the card is worth.
74% of people who get gift cards or coupons for Christmas or other holidays like them.
What could be better than getting more traffic and making more money?
Online gift cards are easy to set up and maintain, which is another reason you should think about getting one going.
How to use Gift Cards to booth Customer Loyalty
First Data’s U.S. Prepaid Consumer Insights found that 68% of consumers like gift cards better than coupons or bonus bucks as a type of incentive.
And if you give users gifts they really like, they are more likely to come back and buy from you again, which will increase customer loyalty.
Satisfied users will say nice things about you on social media and to their friends, which is better than any advertising.
But how can you use gift cards to get people to stick with your business:
Make a customer loyalty program and give a $5 credit or a gift card with a 5% discount for every $200 spent.
Included discount: When a customer buys something from your shop for the first time, you can give them a gift card with a discount on their next purchase.
Using Gift cards for Complaints: If a customer has a problem, you might think about giving them a gift card as an apology.
Working with other businesses that offer services that complement yours and putting their gift cards in your box.
Seasonal Gift Cards: Give someone a gift card if they buy something on a certain day or time.
Make a social contest where people can win gift cards.
As we just said, giving gift cards is a great way to keep customers coming back and find new ones, since it’s very rare for people to not use the money on their cards.
Then it’s up to you to make sure they have a great experience so they come back and maybe even tell someone else about you.
Boost Brand Loyalty with Customer Loyalty Program
You’ve probably seen a lot of ads for gift cards in stores, especially around Christmas and other holidays.
Use the fact that people like getting something for free or getting a discount on their next purchase to your advantage. Running a well-thought-out promotion is a great way to get customers to like your brand.
One great way to do this is to give a customer a $5 gift card when it’s their first time shopping at your store and they spend more than $100.
This method of marketing not only makes people more loyal to your brand, but it may also get them to spend more money than they planned, which means you make more money.
Tip: Make sure the gift cards are still good after the holidays are over. This makes people more likely to start spending again after the holidays.
On top of all that, you could also use gift cards as part of a loyalty program. For example, someone who has made 10 purchases is eligible for a free $10 gift card or something similar.
Customers love loyalty programs, and they’re a great way to get people to buy from you again and again.
Increase your sales with Social Contest and Partner
Adding digital gift cards to your website is a simple way to boost visits. How? You can create a Social Contest in which participants are incentivized to share photos, sign up for a newsletter, and stand to win gift cards.
This strategy will help you attract new visitors, boost sales, and gain publicity, all of which will lead to more people checking out your website.
On top of that, working with affiliates can help you boost your sales. By including your affiliate’s cards in your packages, you can earn a commission from sales you drive to them. Alternatively, you could launch an affiliate program and find companies willing to promote your enterprise by including your gift cards on the packaging of their products.
Help Manage Returns and complains
Online merchants frequently complain about the hassle of returns. Inconveniences like these are the last thing a business owner needs because they drain resources.
Instead of giving unhappy customers cash, try giving them a gift card. As a dropshipper, this is a fantastic method for expanding your business because it allows you to keep more of your profits in-house and gives you another chance to sell your products to a potential customer.
The same holds true for dissatisfied customers. A gift card can be used to appease them. In addition to decreasing the likelihood of them leaving a negative review online, this strategy may also help you keep their loyalty to your brand.
Gift cards are a great way to reward employees who do a good job, and they are also appreciated by customers who come back again and again. Clearly, these are excellent tools for connecting with others.