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Published
Apr 29, 2021
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Younger shoppers embrace gift cards - report

Published
Apr 29, 2021

Gift cards are a big deal for younger shoppers. According to new research, a massive 82.6% of Gen Z shoppers have purchased a gift card in the past three years. That compares to 67.6% of Baby Boomers.


Gift card purchases are strong among younger shoppers claims survey - Photo: Public domain


Importantly, around 33.3% of Millennials and 27% of Gen Zs said they also became regular customers of new brands after receiving a related gift card, a survey of 2,000 UK shoppers from The Gift Card & Voucher Association (GCVA) shows. Meanwhile 25.2% of Millennial shoppers also purchased gift cards to support local businesses.

Interestingly, while the proportion of shoppers purchasing gift cards for others was consistent across generations, younger shoppers were revealed to be particularly likely to purchase a gift card for themselves (42.2% of Millennials and 34.8% of Gen Zs).

The report claims the reasons for self-use having soared among younger shoppers include saving money (47.7% of Gen Z) and gift cards being a secure payment option for purchases.

GCVA director general Gail Cohen said: “Engaging younger shoppers is a crucial consideration for retailers looking to gain brand loyalty with their future customers. 

“Given younger shoppers’ affinity for gift cards, it is clear that retailers cannot afford to ignore their importance and relevance as a customer engagement and retention tool. 

She added: “The gift card industry continues to go from strength to strength and, between the continued rise of digital solutions and adapting to consumer desires for self-use, shows a real appetite to innovate and meet changing consumer and business needs. Retailers that offer a gift card programme, offering their customers greater flexibility in both the products they buy and how they pay for them, are likely to benefit both financially and in terms of continued customer loyalty”.

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