Europe Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics Databook Q1 2024 , Featuring Meta, Miconex, Marks & Spencer, Carrefour, Centra, SuperValu, Tesco and More

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Mar 27, 2024, 13:45 ET

DUBLIN, March 27, 2024 /PRNewswire/ -- The "Europe Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Q1 2024 Update" report has been added to ResearchAndMarkets.com's offering.

The European gift card industry is forecast to reach US$71.4 billion in 2024 and will continue to grow over the forecast period and is expected to record a CAGR of 6.4% during 2024-2028. Europe's gift card market is forecast to increase from US$66.2 billion in 2023 to reach US$91.7 billion by 2028.

Several local governments, especially in the United Kingdom launched gift card programs to revive economic growth in 2023. This trend is projected to continue further in 2024, and a as result, will provide growth support to the regional gift card industry. In the United Kingdom, retailers have also experienced strong growth in gift card sales in 2023.

This is a clear indication of the growing demand for gift cards in markets like the United Kingdom. In 2023, several new gift cards have been launched across European markets. Meta, for instance, launched its Quest gift cards in markets like France and Germany. More product launches are forecast over the medium across the region. All of these factors indicate a strong growth market in the European region over the next three to four years.

Local government disbursement programs are driving the growth of the gift card industry in Europe

Miconex, the Scotland-based fintech firm, reported that the local gift card programs are driving spending in high streets and downtown areas across several markets including the United Kingdom. In 2023, sales from Miconex's local gift card programs reached £12.4 million. In 2024, the trend of supporting local businesses seems to be growing even stronger, with a 69% increase in local gift card sales compared to the previous year.

The number of locations offering local gift card programs with Miconex's support surpassed 200 in 2023, marking a significant growth compared to the year before. Additionally, 26 new towns, cities, and downtown areas joined the trend by launching their own local gift card programs. These initiatives are not only meeting the regional demand for gift cards but also providing a way for communities to encourage spending at independent and national brick-and-mortar stores across various sectors.

Notably, the Aberdeen Gift Card and the ShopLK Gift Card were among the most successful local gift card programs in the United Kingdom and Ireland, respectively. This highlights the effectiveness of these programs in driving local economic growth and supporting small businesses. According to Miconex's report, 33% of consumers end up spending between 100% to 125% more than the actual value of the gift card when they use it to make purchases in the United Kingdom.

This means that gift cards often encourage people to spend more than they initially planned, especially in the UK where a significant portion of users tends to exceed the card's value by a substantial margin. The retail sector emerged as the most popular category for redeeming local gift cards in the United Kingdom. Among the top national retailers where these cards were used were Primark, M&S, Boots, Argos, TK Maxx, Next, Sainsbury's, John Lewis, Dunnes Stores, and Aldi. Additionally, new national retailers such as Co-op, Smyths Toys, and Lidl also jumped on board, participating in the local gift card programs, which contributed to supporting the local economy.

Meta launched its Quest gift cards in several European markets like the United Kingdom, France, and Germany

Meta, in 2023, expanded the presence of its Quest gift cards across several international markets, including in Europe. The gift cards were initially launched for consumers in the United States in October 2022. The firm has now made the payment tool available in markets like the United Kingdom, France, and Germany. These gift cards come with unlimited validity. In addition to this, Meta is ensuring that the games purchased with these gift cards are transferrable between headsets.

Retailers have experienced a strong surge in gift card revenues amid increasing adoption in the United Kingdom

Inflation and the cost-of-living crisis have resulted in higher demand for gift cards over the last 12 months. Consumers, across the United Kingdom, are using the payment tool for budgeting and to receive higher value for their dollars. This has benefited retailers offering gift card solutions to their customers.

Marks & Spencer, for instance, reported that its gift card revenue has surged a significant 245% in 2023. Apart from the rising demand, the firm has attributed the growth to its partnership with Runa, the digital value payments infrastructure and network.

Before collaborating with Runa, Marks & Spencer lacked critical infrastructure in the gift card sector. The insufficient means to distribute the payment tool to the masses hindered the firm's growth in the segment. With Runa, Marks & Spencer has been able to streamline its ordering process, enabling the retailer to create a new customer base.

This bundled report provides a detailed data centric analysis of gift card market, covering market opportunities and risks across a range of retail categories. With over 75 KPIs at region level, this report provides a comprehensive understanding of gift card market dynamics, market size and forecast. The report covers Norway, France, Germany, Italy, Spain, United Kingdom, Netherlands, Austria, Belgium, Greece, Switzerland, Poland, Denmark, Finland and Russia.

Report Scope

This bundled offering provides the following detailed gift card market opportunity at country level

Total Spend on Gifts

By Consumer Segment (Retail and Corporate)
By Product Categories (13 Segments)
By Retail Sectors (7 Segments)

Gift Card Market Size by KPIs across Consumer Segments

Gross Load Value
Transaction Value
Unused Value
Average Value Per Transaction
Transaction Volume
Average Value of Card Purchased
Number of Cards

Gift Card Market Size by Consumer Segment

Retail Consumer
Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)

Digital Gift Card Market Size

By Retail Consumer
By Retail Purchase Occasion
By Corporate Consumer
By Corporate Purchase Occasion
By Company Size

Gift Card Market Size by Retail Consumer

By Functional Attribute
By Occasion
Value by Purchase Channel

Gift Card Spend by Consumer Behavior and Demographics

Consumer Purchase Behaviour
Gift Card Buyer by Age Group
Gift Card Buyer by Income Level
Gift Card Buyer by Gender

Gift Card Market Size by Corporate Consumer

By Functional Attribute
By Occasion
By Scale of Business

Gift Spend by Product Categories

Food & Beverage
Health, Wellness & Beauty
Apparel, Footwear & Accessories
Books & Media Products
Consumer Electronics
Restaurants & Bars
Toys, Kids, and Babies
Jewelry
Sporting Goods
Home & Kitchen Accessories & Appliances
Travel
Entertainment & Gaming
Other

Gift Card Spend by Retail Sector

Ecommerce & Department Stores
Restaurants & Bars
Supermarket, Hypermarket, Convenience Store
Entertainment & Gaming
Specialty Stores
Health & Wellness
Travel

Gift Card Spend by Distribution Channel

Gift Card Online Sales
Gift Card Offline Sales
1st Party Sales
3rd Party Sales
Sales Uplift

Gift Card Sales Estimates by Key Retailers

Companies Mentioned

Action
Albert Heijn
Aldi
Amazon
Apotek 1
Apple
Argos
ASDA
Auchan
Biedronka
Billa
Bunnpris
Carrefour
Centra
Colruyt
Conad
Consum
Cool Blue
Coop Extra
Coop Obs!
Cora
CRAI
Dagli`Brugsen & Lokalbrugsen
Delhaize
Denner
DIA Market
Digitec Galaxus
Dino
Dirk
Dunnes Stores
E.Leclerc
Edeka
El Corte Ingles
Elgiganten
Elkjop
Eroski
Esselunga
Euronics
Eurospin
Fakta
Famila
Fotex
Galaxias
Gruppo SUN
Hemkop
Hofer
ICA Kvantum
ICA Supermarket
Ikea
Intermarche
Ipercoop
Jumbo
Jysk Nordic
Kaufland
K-Citymarket
Kiwi
K-Market
Kotsovolos
K-Rauta
Kruidvat
K-Supermarket
Kvickly
Landi
Leroy Merlin
Lidl
Manor
Marks & Spencer
Masoutis
Maxi ICA Stormarknad
Media Expert
Media Markt
Meny
Mercadona
MerkurMarkt
Migros
Morrisons
MPREIS
My Market
Netto
Netto Marken
Okay
Onninen
Pepco
Plus
Primark
Prisma
Rema 1000
REWE
RTV Euro AGD
Sainsbury's
Sklavenitis
S-market
Spar
Sport 2000
Stokrotka
Stora Coop
Super Brugsen
Super U
Supervalu
Systembolaget
Tesco
Tokmanni
Verkkokauppa
Volg
Waitrose & Partners
Willys
Zara

For more information about this report visit https://www.researchandmarkets.com/r/bw858

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