Gift cards are a popular and convenient way for customers to purchase products or services from your business. In this blog post, we’ll explore how you can maximize your profits by selling gift cards online. From understanding the benefits of offering gift cards to implementing best practices for marketing and sales, you’ll learn everything you need to know to turn this untapped resource into a lucrative revenue stream. So get ready to take notes - it’s time to become a gift card selling pro!
The Benefits of Selling Gift Cards on Your Website
Offering gift cards as an option for customers to purchase online is a smart move that can benefit your business in several ways. Firstly, it’s a quick way to generate revenue without having to invest in additional inventory, making it an ideal solution for small businesses. Secondly, selling gift cards online through your website allows you to tap into a wider customer base and reach people who may not have otherwise discovered your brand. Finally, offering gift cards also promotes brand loyalty by giving customers a reason to come back and shop again.
In conclusion, selling gift cards on your website is an excellent way to increase sales while providing convenience for both you and your customers. The following sections will provide detailed information on how you can set up an online gift card store for selling these valuable items effectively.
How to Set Up an Online Gift Card Store on Your Website
Setting up an online gift card store on your website is easier than you might think. E-commerce platforms like Shopify, WooCommerce, and Magento offer plugins and integrations that allow you to add gift card functionality to your website with just a few clicks. However, these platforms offer pretty basic features
The better option, and yes we are slightly biased, is choosing a dedicated gift card system like Voucherstore that handles all the technical aspects of not only selling gift cards online, but also managing, redeeming and reporting gift card sales. You can simply place a link in your navigation menu that directs visitors to your online store.
Once you’ve chosen a platform or provider, it’s time to customize your gift card store. Branding is key here - make sure your online store (and gift cards) reflect your company’s aesthetic and values. You will also need to include compelling copywriting with a call-to-action that incentivizes visitors to make a purchase.
Don’t forget about the checkout process. Consider offering multiple payment options: Apple Pay, Google Pay and credit cards. A good gift card system should offer payment processor integrations out of the box. Voucherstore’s integrated partners are Stripe and Paypal.
Voucherstore offers a done-for-you set up process, we have created hundreds of online gift card stores for brands all over the world and are happy to provide our consulting and set up services free of charge.
How to Price Your Gift Cards for Maximum Profitability
When pricing your gift cards, it’s important to consider both the value of the card and the profit margin you want to achieve. You don’t want to price your gift cards too low and miss out on potential profits, but you also don’t want to price them too high and deter customers from purchasing.
One strategy is to offer different denominations of gift cards at varying price points. This allows customers to choose a gift card that fits their budget while still maximizing your profits. Another approach is to offer discounts or promotions for purchasing gift cards in bulk or during certain times of the year.
Regularly reviewing sales data can help you optimize your pricing strategy over time. Keep an eye on which denominations and promotions are most popular among customers, and adjust accordingly to maximize profitability.
Promoting Your Online Gift Card Store: Best Practices and Strategies
Once you have set up your online gift card store, it’s time to promote it to your target audience.
Social media is a powerful tool for driving traffic and sales to your website. Use platforms like Facebook, Instagram, and Twitter to showcase your gift cards and offer special promotions or discounts. If you offer multiple gift cards or even better, you plan to sell gift experiences, then it is definitely worth creating a Facebook and Instagram shop to really showcase your offerings.
Email marketing is also a great way to promote your online gift card store. Create a targeted email list of customers who have previously purchased from you or expressed interest in your products. Send them personalized emails with exclusive offers and promotions.
Consider paid advertising on search engines or social media platforms. Google Shopping is a powerful platform that actually improves organic (free) search as well as enabling more cost effective paid advertising. Additionally, retargeting ads on Facebook will provide a good ROI.
Analyzing Sales Data and Metrics to Optimize Your Online Gift Card Store
To ensure that your online gift card store is performing at its best, it’s important to regularly analyze sales data and metrics. This will help you identify which gift cards are selling the most and understand customer behavior.
Track metrics such as revenue per visitor, conversion rate, average order value, and cart abandonment rate to gather insights into how customers interact with your online store. A good gift card system should include Google Tag Manager. This makes it easy to connect 3rd party analytics tools like Google Analytics or Facebook Pixel/Conversion API.
Regularly monitoring key metrics and store performance allows you to fine-tune your online gift card store in order to maximize profitability and provide an optimal experience for your visitors.
In conclusion, selling gift cards on your website can be a lucrative business opportunity for many businesses. But it is important to choose the right gift card system that will best set you up for success in your new e-commerce venture. At Voucherstore we love to share our gift card sales experience and knowledge with you, contact us any time to learn how to become a gift card selling pro!