Gift cards are becoming increasingly popular every year. In fact, a recent study showed that most American consumers would prefer to receive a gift card over any other type of gift. There are many reasons for this trend, but the chief among them is the convenience and flexibility that gift cards offer. In this article, we’ll highlight eight interesting facts about gift cards!
But First A Brief History About Gift Cards and How They Work
Gift cards were invented in 1994 by Neiman Marcus, but it was not until Blockbuster displayed them on their shelves in 1995 that they became popular. Today there are hundreds of different types of gift cards available from major retailers, including but not limited to Starbucks, iTunes, Amazon, etc.
How They Work
Gift cards work very similarly to debit cards. Essentially, when you purchase a gift card, the funds are transferred from the purchaser’s account to the merchant’s account. This can be done electronically or by mailing a plastic card.
When you use your gift card, the amount of money on the card is debited from your account and credited to the merchant’s account. If there is no money left on the card, it cannot be used.
Fact #01: Amazon invented the first digital gift card. The Jeff Bezos owned retail company introduced the first digital gift card in 2019. This made gift cards more convenient as they could be sent and received electronically.
Fact #02: The top two reasons people give for not using their gift cards are that they forget them or lose them.
Fact #03: According to a recent survey, the US gift card market is projected to rise from $ 170784.8 million in 2021 to $238973.8 million by 2025.
Fact #04: Approximately 9 in every 10 (93%) Americans have given someone a gift card at some point in their life. That’s enough proof that gift cards are a popular gift choice.
Fact #05: 51% of adult Americans have unused gift cards, which adds up to $15 billion. This means that the average person has approximately $116 in unused gift cards. Don’t sit on your unused gift cards! Use them while they’re still valid. Alternatively, you can sell them for cash online. Just make sure you do your research to ensure you’re selling to a reputable company.
Fact #06: Gift cards are the most popular type of gift in the United States.
Fact #07: Americans spend 35% of their holiday gifting budget on gift cards.
Fact #08: In order to reduce the number of unused gift cards, some states have begun passing laws that make it illegal for gift cards to expire or lose value over time. For example, under the Credit Card Accountability Responsibility and Disclosure (Credit CARD) Act, a gift card cannot become void or lose its value until at least five years from the date it was activated.
EJ Gift Cards
If you have any unused gift cards lying around, sell them to us. We are a reputable company that buys and sells gift cards from major retailers like Amazon, Starbucks, iTunes, etc. and payout cash quickly via PayPal.