The National Retail Federation predicts that the sale of gift cards will fall nearly 6 percent this holiday season.  The average price of a gift card is forecast to drop from $156.24 (in 2007) to $147.33 this year.  Deeply discounted merchandise is expected to lure consumers away from the oft-sought-after gift card.  See Reuters, Tuesday November 17.

Here are Some Marketing Tips to Bolster Gift Card Sales This Holiday!

To discount or not?  Believe it or not, many spa owners DO discount holiday gift cards.  Discounting can be very successful when used to up-sell to a higher card value.  Try implementing a discount on purchases over a certain dollar level. E.g.”Save $10 on Gift Cards over $175” or “10% Off Gift Cards over $200.” 

Many spa owners believe that discounting diminishes the value of their services and products.  If you’re in this camp there are plenty of incentives that you can use to drive gift card sales. Offer:

• Free Gift Wrapping (for traditional gift cards)
• Free Shipping (for traditional gift cards)
• Free Service Upgrades or Add-ons
• Gift w/Purchase: Include a free gift with the purchase for every gift card over a certain dollar value. 
• Gift-for-the-Giver: For every gift card purchase over a certain value, the giver receives a coupon for $10 or 10% off an item in your online store. Why your online store? Because many gift cards are bought by out-of-towners.

By all means, start now to market your gift card program through your website, targeted email messages and internet ads. This media has the highest ROI, is quick to deploy, and offers immediate and highly measurable results. And remember: test, test, and test some more. By time you’re ready to run your holiday print advertisements, you’ll have the formula for success.

Not sure where or how to start? Need help achieving optimal results?  Contact the experienced team at Spa Marketing  by calling 860.655.2283.