Question

B. How do gift cards benefit consumers?

Answer 1

Providing gift card after purchase from the store is a marketing strategy. The consumers are benefited by this strategy. The followings are some benefits-

1) Budget tamers- Budget tamers are most avid gift card purchaser among all consumer groups. For them, a gift card is not used for any special occasion. They collect incentives, rewards, points for later use. They use gift cards as a way to spend within budget.

2) Card enthusiasts- Mostly female are falling among this group. Card enthusiasts are asked for a gift card instead of actual gift because they enjoy being able to buy what they really want.

3) Convenience shoppers- Convenience shoppers means who are busy and value the time savings of purchasing gift cards. So gift card save their time for purchasing their own things or if they want to give a gift to someone they can give them this gift card.