Salon gift cards aren’t anything new. In fact, most of you probably have them displayed at your reception desk. But are they something that you actively market to your clients? Is it even worth it?
A Few Facts…
- Consumers spent more than $130 billion on gift cards in 2015, up from $118 billion in 2013.
- In 2016, Americans spent $28 billion on gift cards for others and $11 billion on gift cards for themselves.
- In 2016, US employers spent $7 billion on cards for employees.
- On average, gift card holders spend more than the amount of their gift card (75% of those who overspend, spend an extra 20% of the value of the card).
What Does That Mean?
It means that if your client comes in with a gift card, chances are they are also going to splash their own cash on other services or products. Looking at these stats, the opportunity for a radical increase in revenue is there. And according to the Packaged Facts findings, “gift cards have become not only an acceptable substitute for more traditional gift options, but are increasingly expected and eagerly used, especially among ‘older’ Millennial adults.”
A gift card is more than just a pre-loaded cash card. It can:
- Solve your client’s’ gift dilemmas.
- Act as a handy marketing tool for adding value and saying thank you.
- Introduce brand new clients – 55% of recipients require more than one trip to spend the balance of their card.
- Provide upfront payment – More than $41 billion in gift cards went unused between 2005 and 2011 making your salon a cash flow winner.
Pretty cool, right? Read more on this here. You’ll also want to make your accountant understands how your vouchers work. Award-winning accountant Gloria Murray explains: “If you are a Phorest Salon Software client, make sure you use the system to log vouchers. There is no VAT on them until they are redeemed, and they shouldn’t be part of your sales figures until someone has the service. Many accountants don’t understand this, and it could save you VAT throughout the year and tax at your year-end.”
Oh and don’t forget to send out an email or SMSÂ campaign to all of your clients reminding them to pop into the salon to collect the ideal holiday gift!
Related |Â Tried And Tested Salon Black Friday Campaigns You Can Steal
Phorest Salon Software & Salon Gift Cards
In a recent article, we listed a few step-by-step guides for 4 common technical support queries. Guess what? That post included gift vouchers help guides. Here are a few other ones, specific to using salon gift cards as a Phorest Salon Software client.
- How to Sell a Voucher
- How To Change a Voucher From A Walk-In To A Client
- Do Gift Cards Expire
- How Can I Email A Gift Voucher To A Client?
Part of the Phorest Salon Software family? For help with putting your emails or SMS messages together, contact <grow@phorest.com>, and if you would like to order gift cards, then drop us a message at <treatcard@phorest.com>.
Got feedback? Leave us a comment or tweet us @ThePhorestWord!
Thanks for reading!
#LetsGrow
This post was originally published on August 14th, 2015 and has been updated for accuracy and comprehensiveness.
