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India Gift Card and Incentive Card Market Intelligence Report 2024-2028 Featuring Tanishq, D-Mart, Reliance Fresh, Amazon, Reliance Digital, Samsung, Reliance Digital Express, Croma, & Big basketDUBLIN, March 22, 2024 /PRNewswire/ -- The "India Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Q1 2024 Update" report has been added to ResearchAndMarkets.com's offering.  India's gift card industry is expected to grow by 16.5% on annual basis to reach US$8.9 billion in 2024 The gift card market is poised to record strong growth in India over the medium term. The rising adoption of the payment tool, especially among consumers from Tier II and III cities, is aiding the industry growth. Consumers in Tier II cities and beyond are increasingly adopting gift cards as a gifting and payment tool. In India, digital gift cards are more popular compared to physical ones among consumers. To tap into the high-growth market, more digital platforms are launching gift card solutions to meet the demand among Indian consumers. E-commerce platforms have also reported strong gift card sales in 2023. This trend is expected to continue further in 2024 in the Indian market. Overall, the publisher maintains a positive growth outlook for the Indian gift card sector over the next three to four years. The Open Network for Digital Commerce (ONDC), in September 2023, launched the ONDC Network Gift Card. The network-level gift card is targeted towards corporates as well as consumers. Unlike traditional brand-specific gift cards, the ONDC Network Gift Card provides consumers with a choice to choose from a vast range of products and brands, spanning different categories such as fashion, electronics, food, and others. The gift card solution was launched just before the Indian festive season, which is one of the biggest contributors towards total gift card sales over the 12 months. The Network Gift Card also aligns well with the ONDC's ambition of democratizing digital commerce in India. The gift cards are powered by the RuPay Network and can be loaded with a maximum of INR 10,000. ONDC, in November 2023, recorded 1.2 million transactions during the festive season. This shows the growing popularity of the platform among Indian consumers. In 2024, ONDC is poised to expand in more Indian cities. This will aid the penetration of gift cards in Tier II and beyond cities over the next three to four years in the Indian market, thereby supporting the market growth too.br /> The gifting industry in India is one of the largest globally. From weddings to festivals, gift-giving is the traditional process followed across the nation. Gift cards still represent a tiny portion of the multi-billion-dollar gifting industry. This is also seen in the revenue generated through gift card sales by providers in India. IGP, an online multi-category gifting platform, revealed that gift cards constituted only 10% of its total business during the 2023 festive season. The firm has further revealed that corporate and personalized gifting sectors have been growing at a significant rate in India. IGP reported a 20% year-on-year expansion in the corporate gifting segment during the 2023 Indian festive season. The personalized gifting market, on the other hand, reported 25% growth year-on-year. The fact that gift cards only constituted 10% of IGP's total revenue during the festival season shows that there is plenty of headroom for growth for providers in the Indian market. With adoption still growing at a significant pace, the growth opportunity will drive more global players into the Indian market, thereby aiding the competitive landscape over the medium term. Many brands and businesses offer their customers vouchers or gift cards that can be used to get goods or services. The problem arises when GST is applied at the time of purchasing these gift cards, leading to double taxation when they are used to buy goods or services already subject to GST. To address this issue, the proposed clarification suggests exempting vouchers and gift cards from sales tax. Additionally, the government also seeks to establish how companies' vouchers, traded or sold to distributors or dealers, should be taxed. Another issue under consideration, by the Indian government, is the levy of tax on the entire face value of the vouchers rather than simply the commission, as is the practice in the industry when vouchers are transferred. Gift Card Sales Estimates by Key Retailers
Total Spend on Gifts in India
Gift Card Market Size by KPIs across Consumer Segments in India
Gift Card Market Size by Consumer Segment in India
Digital Gift Card Market Size in India
Gift Card Market Size by Retail Consumer in India
Gift Card Spend by Consumer Behavior and Demographics in India
Gift Card Market Size by Corporate Consumer in India
Gift Spend by Product Categories (Split by Retail and Corporate Consumers) in India
Gift Card Spend by Retail Sector (Split by Retail and Corporate Consumers) in India
Gift Card Spend by Distribution Channel (Split by Retail and Corporate Consumers) in India
For more information about this report visit https://www.researchandmarkets.com/r/6jjlx About ResearchAndMarkets.com
Research and Markets Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg SOURCE Research and Markets 
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