The US gift card spend is significantly increasingly across the country.
On average, consumers in the US spent $59 more than the original value of their gift card in 2018. The is an increase of $21 from last year, according to a report by First Data.
The study, which polled over 2,000 US consumers, found consumers preferring to give gift cards more than other gifts.
Consumers polled said that they were planning to spend 55% of their annual gifting budget on gift cards.
Moreover, 33% of buyers spent more on a gift card compared to a traditional gift card.
The average number of physical gifts cards bought by consumers rose to 8 this year. This is up from 6.5 in the previous year. At the same time, e-gift card purchases rose to 6.3 from 6.1 per year.
The study also found 52% of consumers preferring a single app to manage all their gift cards.
Besides, self-purchasing of gift cards was found to increase, with 64% of consumers buying a gift card for their personal use this year. In 2017, 58% of consumers opted for the same.
First Data senior vice president, head of gift solutions Dom Morea said: “Business owners continue to have a tremendous opportunity to drive sales, build their brand, and increase customer loyalty by investing in a robust gift card programme.
“Our study shows that gift cards, or branded currency, are not only a potential growth engine for businesses, but are becoming the preferred gift for both purchasers and receivers alike.”