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MELBOURNE, Australia, Dec. 9, 2024 /PRNewswire/ -- According to new research[1] from global branded payment provider, Blackhawk Network (BHN), Aussie consumers plan to allocate nearly half (44%) of their total gift spend on gift cards, up from 40% last year.
BHN found that Australians plan to spend an average of AUD$707 on gifts this holiday season, with AUD$311 earmarked for gift cards. While shoppers across all generations plan to spend more on gift cards this year, the largest increase is among younger shoppers. Gen Z and Millennial consumers plan to spend almost half of their total holiday gift spend (45%) on gift cards, an increase from 39% last year with most preparing to purchase 21 gift cards this holiday season (9 physical and 12 digital).
Shifting perceptions and spending habits
This shift marks a significant change in perception, as gift cards are increasingly seen by consumers as a thoughtful and intuitive gifting choice which recognises the value of giving recipients the freedom to select their own perfect present. In fact, over 51% of survey respondents noted that gift cards let recipients choose a gift they truly wanted, while also being a safer option to gifting cash (35%).
"No one wants to give a bad present that sits unused in a cupboard, regifted, or worse- uploaded to Facebook Marketplace. Gift cards have well and truly evolved from being a convenient option to a primary gifting strategy, which is well supported by the wide variety of gift cards available in the market. In today's fast-paced world, where trends come and go at lightning speed, gift cards offer a perfect solution, allowing recipients to stay current with their choices while reducing the stress of gift selection for givers," said BHN Senior Director Retail Kieran Nolan.
Gift cards are also topping Christmas wish lists with 84% of people wanting to receive gift cards, up from 60% last year. With trend cycles accelerating in recent years, traditional gifts risk becoming outdated quickly, making gift cards an increasingly attractive option.
"As the holiday season approaches, retailers should be preparing for a surge in gift card demand by expanding their in-store and online offerings" says Kieran Nolan.
"Shoppers are set to adopt a more strategic approach to their holiday spending as they balance rising living costs with value-driven gifting. Business should consider investing in their loyalty and incentive programs during this time to ensure they are engaging with customers and creating positive shopping experiences."
For more findings and actionable insights to maximise the holiday shopping season, download BHN's Australian holiday 2024 shopper and gift card insights here.
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About Blackhawk Network
Today, through BHN's single global platform, businesses of all kinds can tap into the world's largest network of branded payment solutions. BHN helps businesses grow revenue, increase loyalty, motivate and reward their teams, disburse funds and engage consumers. Branded payment solutions include the issuance and distribution of gift cards, egifts, corporate payouts and rewards, along with the technology to deliver these products in seamless, integrated ways. BHN's network spans the globe with more than 400,000 consumer touchpoints. Learn more at https://blackhawknetwork.com/au-en
[1] Blackhawk Network Australia Holiday 2024 Shopper and gift card insights |
