If the sales on your plastic gift cards have tapered off, or never really took off to begin with, it’s time to play hardball to get them moving off the shelves. You could try selling them at discount prices.
You could offer complimentary holders with each sale. If those haven’t quite got your card sales off the ground, perhaps it’s time to tie them to a noble cause. Besides, it’s a sign of good character to donate to charities.
Donations to charities are a great way to move merchandise while giving back to the community. There are several ways to do this. Whichever you choose, make sure that everyone who enters your store or website knows which charity you’re donating to, how much you intend to give, and how they, the customer, are involved.
Donate A Percentage of Plastic Gift Card Sales
A popular donation strategy is to pick one or two products and donate a percentage or monetary portion of sales on those items to a specific charity. One example of this technique is McDonalds’ drive for donations to The Ronald McDonald House.
This particular donation drive also serves as a cautionary tale for those who seek to increase sales on particular items by donating proceeds from those sales to charities:
- Many critics have pointed out that McDonald’s is not upfront about how much they are donating to Ronald McDonald House through this campaign.
- These same critics note that when you read the fine print, you see that McDonald’s donates a “miserly” 1 cent for every Happy Meal to Ronald McDonald House.
- Isn’t Ronald McDonald House Charities part of McDonald’s corporation, anyway?
Of course, if you dig a little deeper into McDonald’s relationship with Ronald McDonald House, you see that they are two separate business entities, and funds from this campaign represent only a fraction of the regular donations McDonald’s makes to RMHC.
Besides, McDonald’s sells a lot of Happy Meals. Regardless, the point is made. Don’t seem miserly, give full disclosure, and make sure there’s no question about your involvement with the charity in question.
Donation Through Card Purchases
This follows more or less the same model as donating through gift card sales, but this time, it is oriented toward purchases made with gift cards. This can increase gift card sales in a roundabout way—after all, some people would have to buy gift cards in order to spend them.
Whether more cards are sold or not, it at least increases the chance that people will be quicker to spend their gift card funds.
2 Voluntary Donation Types Made Through Plastic Gift Cards
Another way to increase gift card spending (and purchases by proxy) is to ask if they wish to make a donation to your chosen charity when they swipe or scan their gift card. By and large, gift card recipients spend gift cards more freely than they would their “hard-earned” money.
Simply put, these funds were given to them, so they aren’t “out any money” by going on a spending spree.
Another way to approach this same strategy is to offer a matched amount of your company’s money to what they spend for the charity. While a dollar-to-dollar match would be an incredibly noble offer, for most small businesses, it simply isn’t practical. A 5% or 10% match is probably more than enough to motivate most people into donating.
There are, of course, many other ways to move more plastic gift cards through charitable donations. What can you come up with?