Offer Gift Cards to Boost Business

The owner of a small business in Boston who wants to maintain a healthy business cash flow has to be alert to any opportunity to increase income and reduce expenses. To reduce the risk of cash flow issues or business capital being eroded by unexpected expenses, a business owner should purchase Boston business insurance.

Have you considered using a gift card program to boost your business income? There are a few ways a gift card program might benefit a business:

• Consumers tend to spend more than the face value of their gift cards, so your sales are boosted. Users of gift cards also tend to buy high-margin full price items rather than sale items, so you may receive better profits.
• Gift cards are their own inbuilt advertisements for your business. The person who receives a gift card keeps it handy and the card serves as a reminder until it is redeemed.
• Giving your business gift card to someone is a subtle endorsement and recommendation of your business that helps to build its brand recognition.
• Gift cards can create new customers who return to spend money again.
• A significant proportion of people who receive gift cards don’t bother to redeem them. This means that you receive payment when you sell the gift card but you don’t exchange it for any products or services!

A well-managed gift card program can be a cost-effective sales and marketing tool that boosts business income and forms an important part of your business growth strategy.  Remember that your insurance needs will change as your business grows, and be sure to review your Boston business insurance regularly. 

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