Consumer gift card and voucher sales continued their strong growth by 6.14% into the fourth quarter (Q4) of 2014, according to statistics from The UK Gift Card & Voucher Association (UKGCVA), the trade body representing the key players in the £5 billion gift voucher, cards and stored value solutions market.
A new report compiled independently by consultants at BDO shows that in the fourth quarter of 2014, the gift card and voucher industry grew by 8.43%, bringing growth for the full year of 2014 to 8.07%.
Now in 2020, this space continues to grow with a consultant from Now Loan UK stating that a survey of their loan applicants concluded a large number of their customers giving and receiving gift cards over the 2019 Christmas period.
The most popular product within consumer sales remains to be category specific gift cards, which made up 55.75% of total consumer sales. Growth in consumer gift cards and vouchers during Q4 was also particularly driven by Christmas purchases, with sales representing 59.43% of the total market compared to just 39.61% during Q3 2014.
Andrew Johnson, director-general of the UKGCVA, said: “The continuing growth of consumer sales of gift cards and vouchers is very encouraging, and the popularity of these products during the festive Q4 shopping period demonstrates that consumer confidence in these products is at an all-time high. Consumers are clearly reacting well to the growing variety of voucher products on offer, particularly those which can be redeemed in multiple outlets.
“Overall 2014 has been an incredibly successful year for the gift card and voucher market, and although we predicted B2C growth, the rate at which it has occurred has far outstripped our expectations.”