Global Gift Cards Market Report 2021-2026 - Growing Focus on Employee Rewards & Recognition to Spur Demand for Gift Cards
DUBLIN, Jan. 14, 2022 /PRNewswire/ -- The "Gift Cards - Global Market Trajectory & Analytics" report has been added to ResearchAndMarkets.com's offering.
Global Gift Cards Market to Reach US$1.4 Trillion by the Year 2026
Amid the COVID-19 crisis, the global market for Gift Cards estimated at US$767.4 Billion in the year 2020, is projected to reach a revised size of US$1.4 Trillion by 2026, growing at a CAGR of 11.1% over the analysis period.
Retail Closed Loop, one of the segments analyzed in the report, is projected to grow at a 11.4% CAGR to reach US$410.8 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Restaurant Closed Loop segment is readjusted to a revised 10% CAGR for the next 7-year period.
This segment currently accounts for a 29.9% share of the global Gift Cards market. In the recent years, gift cards have gained notable attention in the restaurant industry as an impressive marketing and branding approach along with lifeline for businesses who are dealing with challenges brought by the pandemic.
With cash increasingly being perceived and considered as unthoughtful as it requires no effort and implies a calculated dollar value tagged on the relationship, gift cards are rising in popularity. Convenience and flexibility are the two key benefits of gift cards driving their adoption among people, companies and marketers the world over.
For companies gift cards helps express appreciation and gratitude for employees. This kind of workplace recognition helps build an inclusive work environment. For retailers and marketers gift cards help build brand awareness; capture more holiday sales; enable customer engagement; generate useful customer behavioral data; offer easy distribution and improve cash flow.
With increasing preference for online purchases by millennial brides, e-gift cards are becoming a big business. With internet-savvy brides at ease with online purchasing, wedding e-gift cards are rising in demand. Selling gift cards is emerging to be a new sales flavor in online retail business with consumers widely appreciating the many benefits of gift cards.
Benefits of having gift cards in eCommerce business are numerous including increased sales and customer loyalty. Integrated gift card systems help customers make payments for purchases using the gift cards while simultaneously helping retailers track and analyze customer behavior.
Digital gift cards make it convenient for customers to speed up the checkout process using an app. The growing penetration of smart devices and high levels of digital transformation is contributing to the robust demand for e-gift cards.
The Gift Cards market in the U.S. is estimated at US$313.4 Billion in the year 2021. The country currently accounts for a 38.26% share in the global market. China, the world's second largest economy, is forecast to reach an estimated market size of US$156.4 Billion in the year 2026 trailing a CAGR of 15.3% through the analysis period.
Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 8.9% and 11.1% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 10.1% CAGR while Rest of European market (as defined in the study) will reach US$50.3 Billion by the end of the analysis period.
In the global Miscellaneous Closed Loop segment, USA, Canada, Japan, China and Europe will drive the 9.2% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$66.6 Billion in the year 2020 will reach a projected size of US$120.1 Billion by the close of the analysis period.
China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$12.2 Billion by the year 2026, while Latin America will expand at a 10.7% CAGR through the analysis period.
2. FOCUS ON SELECT PLAYERS (Total 218 Featured)
3. MARKET TRENDS & DRIVERS
4. GLOBAL MARKET PERSPECTIVE
For more information about this report visit https://www.researchandmarkets.com/r/ilwvp8
Research and Markets
SOURCE Research and Markets
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