digital git card

Why Digital Gift Cards are Important to your eCommerce Business?

People get a headache when it comes to choosing a gift. Even after spending hours in choosing one, they aren’t sure whether the recipient would like it or not. This is when Digital Gift Cards provide a helping hand to online shoppers.

Did you know the total amount spent on Gift cards every year is more than $100 Billion?

What is a Digital Gift Card?

Digital Gift Cards, also referred to as e-gift cards or electronic gift cards contain a gift code assigned by the brand and are sent via email.

How do E-Gift Cards work?

When sent over the recipient’s email address, they can redeem the gift card on the Brand’s website by applying the gift code on the checkout page or add the amount in their store wallet. Once applied, the product amount falling under the gift card amount is discounted. E-gift cards can be sent to anyone anywhere all over the world.

Benefits of Digital Gift Cards for Businesses

Consumers love purchasing gift cards as they are cost-effective and most importantly, time-saving. Not only for the people but digital gift cards provide ample benefits to a brand as well.

1. Increase your Sales and Revenue

Gift Cards increase sales

The foremost benefit of eCommerce gift cards is that they boost your sales. reports that Gift Cards are the most requested present during the holiday season.

When the pressure is high to search for a perfect gift for the close ones, people switch to the Gift card option. We can say that Gift cards are a boon to the last-minute shoppers.

Gift cards also help you drive more revenue. It is likely that the gift card holder will spend more than the gift card amount while utilising it. E-Gift Cards are often used as a discount to buy products that have a slightly larger value so that they do not have to pay a heavy amount to purchase the product.

According to the stats by Gift Card Granny, 72% of the customers spend more than the gift card amount while purchasing a product.

2. Boost Brand Awareness

Digital Gift Cards boost Brand Awareness

Another benefit of digital gift cards is increased Brand Awareness. It is very much possible that the person receiving the gift card may have never heard of your brand.

A gift card allows them to try out your products and get a better insight into your brand. If the recipient likes your offerings, there are certain chances that he or she will buy a similar gift card for their loved ones, hence boosting your brand awareness.

Your brand logo in the gift card gets your brand noticed. Moreover, unlike physical gift cards, digital gift cards can be sent from anywhere to any part of the world, which gives your business a global reach.

3. Digital Gift Cards are Convenient and Secure

Unlike conventional paper or physical gift cards that can be lost or stolen, digital gift cards are far more secure and convenient. There aren’t any possibilities of such occurrences. You can send or receive a digital gift card without any hassle and the amount is always safe.

4. Gain Customer Loyalty

Adding to the benefits of gift cards is they help you earn customer loyalty. To make customers stick to your brand in the long run, earning their loyalty is important. And you can earn that loyalty only when you are able to keep them happy and satisfied.

For the customers who did not find a pleasing experience with your products or want to process a return or a refund, a gift card, in such a situation, can ease things up and help you retain customers, improving customer retention.

Gift Card Manager by KnowBand

KnowBand, one of the leading e-commerce service providers, offers the Gift Card Manager module to the merchants having their store set up on the PrestaShop, OpenCart, Magento or Magento 2 platform.

The module adds a gift card section on your website and offers pre-existing customizable gift card templates for multiple occasions like Halloween, Christmas, New Year, Halloween, Mother’s Day, Birthday, Anniversary,  etc. It also lets you add new gift card templates for any desired occasion so that you do not miss out on any important event.

With the help of our Gift Card module, you can create gift cards of different value so that a customer can purchase a gift card as per his/her budget.

The gift card can be set for multiple currencies hence allowing customers to send a gift card to their loved ones living outside and enabling the recipient to shop in their local currency.

Try out the Gift Card Manager module today!

PrestaShop Gift Card Manager addon

OpenCart Gift Card Manager extension

Gift Card Manager extension for Magento

Gift Card Manager extension for Magento 2

Final Word

By looking at the growth of the digital gift cards in the eCommerce market, the availability of the gift card option for online shoppers can scale-up your sales.

I hope the above-mentioned benefits of gift cards have provided you with good enough reasons to add the Gift Card section on your website. Finding trouble to set up the gift card section? Try out our Gift Card Manager.

If you need any assistance with the module, you can reach out to us at

Manish Barthwal

Manish Barthwal

Following his passion for writing, Manish has been providing value to his readers through his write-ups. He predominantly writes for the e-commerce industry. Apart from writing, Manish's love for cricket is unmatchable. He is an ardent cricket fan.

2 thoughts on “Why Digital Gift Cards are Important to your eCommerce Business?

  1. Hi I like the idea of gift cards . I am running Christmas sales online with 10 vendors and I have a website coming up by 15th December . I will like to introduce this.
    Please I need more understanding, To enable me use it well.
    Cecilia (CECYS)

    1. Go ahead, Cecilia. Wish you luck. Try adding gift cards to your website and do let me know how helpful they turned out for your business.

Leave a Reply to Manish Barthwal Cancel reply

Your email address will not be published. Required fields are marked *