How to make gift cards for your business guide with 7 tips

Christmas is coming up, and here’s the truth: there’s nothing more awkward than opening a gift that screams “I have no idea who you are and what you like.” The forced smile. The overly cheerful, “Oh, I love it!” in that fake, high-pitched voice we all know too well. It’s painful. We’ve all been there, and it’s exactly why gift cards are absolute lifesavers.

Last year, 50% of people said they planned to buy gift cards because of their sheer convenience. This shows how helpful they are for busy shoppers and picky recipients alike. Think about it: gift cards guarantee freedom. Freedom to choose, freedom to avoid the dreaded return line, and freedom for your business to stand out.

So, how do you create custom gift cards that actually make an impact? That’s exactly what we're going to be answering today.

Why gift cards are so important in today’s business world 

Now, before we get into our tips and tricks, let’s talk about why gift cards are so brilliant. Because there’s a reason why the gift card market hit a staggering $1.15 trillion this year and is projected to grow to $9.05 trillion by 2037. Here’s some benefits:

Increases your revenue

When someone's redeeming gift cards, they’re not always limiting their spend to what's on the gift card program alone. They’re browsing. They’re adding a little extra here. Upgrading there. That’s because, psychologically, gift cards feel like free money.

Let’s break it down. Imagine a customer, let’s call her Sandy. She’s got a $100 gift card to spend in-store. She’s walking around when she finds a coat she absolutely has to have. It’s $130. Now, without the gift card, she might hesitate. Maybe she’d second-guess herself or decide to wait for a sale.

But with that gift card she doesn’t even blink. She’s already mentally spent that $100, so the coat only feels like $30 out of her pocket. And, $30 for a coat feels like a complete steal, right? So she’s at the checkout before she’s even had a chance to overthink it.

Sandy isn’t the exception. 61% of consumers spend more than the value of their gift card, with an average overspend of $31.75. That’s a direct boost to your revenue, driven by the psychology of guilt-free spending.

Attracts new customers

You’ve got a favorite brand. You shop there, talk about it, maybe even dream about it. So, when the holidays hit, and you’re trying to find the perfect gift, what do you do? You grab a gift card from there. 

And just like that, your favorite brand is no longer just your favorite. It’s now someone else’s new discovery. That's brand awareness in action. When someone buys a gift card, they’re handing over an invitation to explore your business.

Think about the power in that. A gift card is a pass for someone who’s never been in your store to check you out, without any risk or hesitation. They’re already equipped with the potential to spend, and all you need to do is deliver an unforgettable experience.

With 30% of consumers discovering new brands through recommendations from friends or family, a gift card is your opportunity to grow your customer base, one recommendation at a time.

Can be used in promotions or deals

Gift cards can also be used as a tool you can leverage for bigger, better sales. Want to push a new product? Need to clear out some stock? Offering a gift card with a purchase is a clever way to get people to spend more and feel like they’re getting something extra in return.

Say you run a promotion where customers get a $25 gift card for every $100 they spend. What happens? They start looking at their cart and thinking, “Well, I might as well add one more item to use that gift card.” That’s a higher cart value, more sales, and happy customers who feel like they’re getting a deal.

Builds customer loyalty

Loyal customers are the lifeblood of your business. They’re not just coming back. No, they’re singing your praises, bringing their friends, and driving your growth. But loyalty isn’t built on a flimsy discount. It’s about creating a connection that really matters, and gift cards are the perfect way to do it.

Think about it. What carries more weight? A forgettable 10% off coupon buried in their inbox, or a digital gift card that feels like cash ready to be spent? It’s no contest. Gift cards are tangible. They’re personal. They scream, “We value you enough to give you real buying power.”

60% of consumers feel the same way stating that they prefer digital gift cards over discount codes or bonus “dollars” because they’re practical and exciting. A gift card creates another touchpoint with your brand. It invites customers back to shop, explore, and remember exactly why they love your business.

Personalization drives higher customer satisfaction

Customers don’t want to feel like just another number. They want to feel seen. Valued. Understood.

81% of customers in a 2024 State of Customer Service and CX study said they prefer companies that offer personalized experiences. Not only that, but 70% of them believe it’s crucial for a company to know who they are - their history, their preferences, their quirks.

Gift cards can deliver that personal touch. Think customizable designs, the option to add heartfelt messages, or even suggesting gift cards based on customer preferences or shopping habits. When a customer can gift something that feels personal and thoughtful, it becomes an experience.

Types of gift cards available to customers 

There are two main categories: open-loop and closed-loop gift cards. Each offers unique benefits for your business and customers alike, and knowing the difference is key to creating a successful gift card program.

Open-loop gift cards

Open-loop gift cards are the ultimate in flexibility. These plastic gift cards are backed by major payment networks like Visa, Mastercard, or American Express, meaning they can be used almost anywhere that accepts gift card transactions. From your online store to any other retailer, customers have the freedom to redeem gift cards wherever they choose.

Now, for customers, this is a major advantage. They don’t have to be tied to a single store or brand. Whether they’re buying their morning coffee, treating themselves to some online shopping, or using it for travel, the gift card value is versatile. 

For businesses, offering open-loop gift cards can help you attract new customers, increase sales, and extend brand awareness, all while benefiting from higher gift card sales across sales channels.

Closed-loop gift cards 

On the other hand, closed-loop gift cards are all about keeping the money in-house. These cards are specific to your business. Offering physical gift cards or digital gift cards that are tied to your business ensures that all customer purchases are made with you.

For small business owners, this is a powerful strategy. With a gift card system tailored specifically for your business, you can track gift card sales, manage gift card orders, and make sure every dollar spent stays in your pocket. 

Think about the gift certificates you could offer. Whether it's an e-gift card for last-minute gifts during the holiday season or a barcode gift card with customizable options that fit your brand, closed-loop gift cards are a reliable way to secure cash flow and increase sales. They create opportunities to incentivize abandoned carts, run social media contests, and even schedule gift card delivery via automated emails.

How to create gift cards for your business with the Epos Now POS system

Creating gift cards for your business has never been easier with the Epos Now POS system, especially when integrated with Vouchercart. This powerful sales engine lets you sell your products and services as gift cards, vouchers, and tickets, streamlining the entire process with cutting-edge automation.

Here's how it works:

1. Quick setup: Creating your gift cards is simple. Just select the type of voucher you want, add a name, description, and price, and you're good to go.
2. Premium design options: Choose from a range of professionally designed templates that reflect your brand’s personality.
3. Automation: With our gift card system, the entire process (from selling to redeeming) runs on autopilot.
4. Checkout: Once your gift cards are created, they integrate seamlessly with your Epos Now POS system and integrated payment processing system, allowing customers to easily purchase, redeem, and manage their gift cards in-store and online.

Start selling gift cards today, and elevate your business with a simple, automated solution.

Tracking gift card transactions in your management system 

Gift cards are cash, plain and simple. You can’t afford to be sloppy with them. If you're not tracking every single transaction, you're flying blind.

Imagine your customer walks into your store with a $100 gift card. They make a purchase. If your POS system isn't capturing that data, how do you know when they've redeemed the full value? How do you know if there’s still balance left? What if there's an error, and your customer gets charged wrong?

Gift card tracking protects your revenue, your customers, and your brand. It ensures you’re not losing out on valuable data that helps you plan for the future. Tracking transactions via POS reports also lets you monitor trends, like how often gift cards are being redeemed, which products customers are purchasing with them, and, let’s be real, how much more they’re spending once they use them.

So, do yourself a favor. Make sure your POS system tracks every gift card transaction to the letter.

Factors to consider when choosing a gift card program

Choosing the right gift card program isn’t just about picking a pretty design and slapping a logo on it. No, it’s about understanding how this tool will work for your business and customers. Get this right, you're going to set yourself up for success. So here's a few factors you're going to want to get clear on:

• Flexibility: The more ways your gift card can be used, the better. Whether you’re selling gift cards for a physical location, or offering digital gift cards online, make sure your gift card program can cover all bases. For instance, a gift card that’s only redeemable at a single location or for a limited selection of products? That’s a missed opportunity. Make it easier for customers to spend, not harder.
• Gift card types: Now onto types of gift cards. Do you want to keep it in-house with a closed-loop gift card—something only usable at your business? Or do you want to go big and offer an open-loop gift card that works almost anywhere? The choice is yours. But here’s the thing: your decision impacts your bottom line. Closed-loop gift cards keep customers in your ecosystem, encouraging them to return for future purchases. Open-loop gift cards, on the other hand, can draw in new customers who appreciate the flexibility to spend their gift card beyond your store.
• Gift card sales channel: Do you have an online store? Are you selling in-store only gift cards, or offering multichannel cards? The channels you sell your gift cards through matters a lot. If you’re only selling them in-store, you’re limiting your audience. But if you’re selling digital gift cards through your website, or even via social media or other sales channels, you’re broadening your reach exponentially.
• Easy integration with other systems: If your gift card program doesn’t seamlessly integrate with your POS system or existing ecommerce platforms, you’re setting yourself up for headaches. No one wants to deal with systems that don’t talk to each other, especially when it comes to redeeming gift cards or tracking transactions.

7 tips to create successful gift cards

You know what they are. You know why they're great. You even know the different types you can choose from. Now, let's talk about how to actually create successful gift cards that make your customers feel like they’re getting something truly special.

Prioritise customization to provide a personal touch to your customers

If you want your gift cards to stand out, customization is non-negotiable. Customers want to feel seen, heard, and valued - selling gift cards is a great way to deliver that. Offering customizable options allows customers to make the gift card feel personal, like it was made just for the recipient. Whether it’s a custom design, a personal message, or even a specific value, adding that personal touch elevates the experience. You can go beyond just the aesthetics. Think about additional features like offering options like custom messages, birthdays, or special occasions that make the gift card feel unique to the recipient.

Discount your gift cards to drive repeat sales

Offering a discount on your gift cards isn’t just a gimmick. It’s a smart, strategic move. When you discount gift cards, you’re not only giving your customers more bang for their buck, but you’re also setting yourself up for repeat business.

People love deals. Discounting gift cards creates a sense of urgency, driving customers to purchase gift cards sooner rather than later. They’ll feel like they’re getting something extra for their money, which encourages them to come back to your business to redeem those cards. And when they redeem those gift cards, you’re almost guaranteed to see them spending more than the value of the card.

Integrate gift cards into your loyalty program

When you offer gift cards as rewards for loyal customers, you're doing two things: first, you’re giving your existing customers something they can actually use. Second, you’re encouraging them to come back for more. After all, who doesn’t love the feeling of getting a gift card as a reward? It feels like a freebie, and everyone loves those. So, integrate gift cards into your loyalty programs. 

Collaborate with other brands

2024 has been a spectacular year for collaborations. Just days ago, we saw the Skims x North Face partnership take the fashion world by storm. And don’t get us started on Wendy’s x SpongeBob. Selling the infamous Krabby Patty in store? Pure genius! The point here is that collaborations are a cultural phenomenon. And you can harness them for your gift card program.

Why stick to just your own brand’s gift cards? Team up with another brand. Create something that your customers can’t ignore. For example, imagine you’re a local coffee shop teaming up with a nearby yoga studio. You could offer a coffee + yoga combo gift card - perfect for those who need a caffeine boost before hitting the mat.

The possibilities are endless. You can create exclusive offers, bring together complementary products or services, and tap into new customer bases. The point is: don't limit yourself to just one brand. Teaming up amplifies your reach and makes your gift card even more desirable.

Use them as rewards in social media contests

Look, everyone loves a good giveaway, especially when there’s a gift card involved. So why not take advantage of this by using gift cards as prizes in your social media contests?

When people see a gift card on offer, they get excited. They’ll tag their friends, share your posts, and create buzz around your brand. It’s a win-win: you get new followers, and they get the chance to snag a gift card for your business. Plus, it’s an easy way to boost visibility and increase brand awareness without a huge budget.

Offer them as a response to customer complaints

63% of customers leave after just one bad experience. Let that sink in for a second. One slip-up, and they’re gone. So, how do you save the relationship? You don’t just apologize. You don’t just send a generic email. You offer them something that shows you genuinely care - a gift card.

When you do this, you're saying: “Hey, we get it. We messed up, and we want to make it right.” It’s a tangible way to show your commitment to customer satisfaction. Plus, the bonus? They’re now more likely to return, redeem that gift card, and maybe even spend more than they initially intended.

Make the most of them during holiday seasons

The holidays are here, and if you’re not leveraging gift cards, you’re missing out.

64% of US consumers buy gift cards as holiday gifts. That’s a huge chunk of your audience, ready to spend. That same study found that 72% of holiday gift card buyers want their recipients to have the freedom to choose their own gifts. So why not give them exactly what they want?

Promote your gift cards aggressively and position them as the perfect holiday gift, easy to buy, personal to give, and always the right size.