graphite’s program. the perfect gift an estimated $87 billion on gift cards will be spent this...
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Graphite’s
GIFT CARDPROGRAM
THE PERFECT GIFT An estimated $87 billion on gift cards will be
spent this holiday season.
The wallet-sized, prepaid piece of plastic has been the most popular gift in the United States for the past five years.
Whether you think it’s the ultimate cop-out or a practical purchase, the gift card has revolutionized the way shoppers and retailers handle special occasions.
GETTING THE MOST FROM GIFT CARDSGift cards can be utilized in many different ways by all
types of retailers: Employee incentives
Example: Employee of the month receives a $25 gift card
Prepaid card for recurring sales
Preload value on cards for businesses with recurring small tickets sales such as coffee shops.
GETTING THE MOST FROM GIFT CARDS (CONTINUED)
Marketing
Example: Mail cards loaded with small value (i.e. $5) or a mystery amount to local residents in order to draw them into the store
Use for store credits, returns and refunds
Use for customer appreciation and retention
AGENT BENEFITS Open doors to new merchants
Retention! Retention! Retention!
Merchant find it difficult to leave because cards with balances must be honored to comply with state and federal laws
Earn additional revenue
If you don’t offer gift cards to your merchants, you leave the door open for competition
TARGET MARKET SECTORS
Department store33.8%
Restaurant28.5%
Discount Store14.3%
Bookstore16.6%
Electronic Store15.9%
Coffee Shop12.4%
Home Improvement Store9.9%
Entertainment(movies,etc.)9.6%
Clothing Store8.4%
Grocery Store/Gasoline8%
Source: Conducted in November 2007 and January 2008 by BIGresearch for NRF.
MERCHANT BENEFITS
Attract new customers and build customer base
Builds brand recognition and brand loyalty
Enhances a business’ professional image
Increases profitability – no cash back!
Value can be added onto a gift card keeping the funds in the merchant’s register
Merchants benefit from float since they have the funds until the card is redeemed
MERCHANT BENEFITS (CONTINUED)
Gift cards outsell paper gift certificates 3 to 1
Countless gift giving occasions such as birthdays, anniversaries and Christmas/Hanukkah lead consumers to buy gift cards year- round
Cards are like miniature billboard in customers’ wallets
Uplift
Studies have found that people will usually spend 30% more when using a gift card, which is known as “uplift”
MERCHANT BENEFITS (CONTINUED) People perceive the value on the card as “free money”
or “found money”. As a result, people spend more money
Example: A shopper in a retail clothing store with $25 on her card will splurge on a item that is $25 more than they would otherwise be willing to spend.
Breakage
12% of gift card values are never used because the consumer loses or forgets about the card; this unredeemed value is known as “breakage”
Example: For every $100 worth of gift cards sold, $12 will not be used providing $12 in extra profit for the merchant
RETURN ON INVESTMENT CALCULATOR
Once a merchant understands the numerous benefits of gift cards, it becomes an easy sales.
You can illustrate the financial benefits of offering gift cards with Graphite’s Return on
Investment Calculator.
RETURN ON INVESTMENT CALCULATOR 1000
$0.85$850.00$450.00$119.40$1419.40
$25.00$25,000$8250.00$4987.50$2500.00$7,487.50$1419.406,068.10427.51%
Number of CardsCost Per Card
Total Package CostTransaction Cost (3000 @ $.15/ea.)
Hosting (12 @ $9.95)Cost of Opportunity
Average Activation AmountTotal Value of Cards
Card Holder Spends More (33% Lift) Profit Margin (15%)
Unredeemed Value/Breakage (10%)Program Profitability
Cost of OpportunityNet Profit
Return on Investment
SPECIAL OFFERING
50 FREE CARDSWith a 60-Day Trial Period
50 FREE CARDS
After the 60 day trial, merchant will pay a $9.95 monthly service fee and $0.15 for each transaction (activate, add value, redemption or inquiry)
There is no setup fee for using a pre-designed template or custom image.
Professionally designed cards will require a $75/hr design fee.
Shipping and handling fees will apply
All gift card packages include envelopes, window decals, and acrylic stand with insert and two register decals.
A CUSTOMIZED PACKAGE FOR EVERY MERCHANT
Full Color Pre-Designed Package
Create an original card design from a wide selection of professionally designed templates that can be customized with merchant’s info.
Merchant can choose from a selection of font styles, font colors and text placement.
Full Color Custom Package
With our full-color custom package, your merchant can upload a logo or their own image use as their card design.
PACKAGE COSTS
QUANTITY COST COST PER CARD
100 $94.95 $0.95
250 $199.95 $0.80
500 $349.95 $0.70
1,000 $599.95 $0.60
All gift card packages include: Envelopes Window decal Two register decals Acrylic stand with insert
NEW ONLINE ORDERING WIZARD
It has never been easier to order gift cards! If your merchant enrolls in the free trial with 50 free
cards, a link will be sent via email directing them to the Graphite Gift Card Wizard to order their gift cards.
The site allows the merchant to select and customize one of our pre-designed templates or upload their own image.
NEW ONLINE ORDERING WIZARD
NEW ONLINE ORDERING WIZARD
NEW ONLINE ORDERING WIZARD
NEW ONLINE ORDERING WIZARD
NEW ONLINE ORDERING WIZARD
NEW ONLINE ORDERING WIZARD
ONLINE REPORTING
Cardholders can log on to www. Checkmygiftbalance.com to view their card’s balance (shown above)
CERTIFIED TERMINALS
Graphite is certified on most major terminals in the marketplace today!
For a list of certified terminals and POS systems, please visit the Interactive ISO System
(IIS)
WRAPPING UP
Easy way to get your foot in the door
Well publicized & sought after product
Great retention tool
Flexible program and card options
Creates traffic for your merchants
Great return on investment
Low start-up cost
Completes the “Payment suite”
THANK YOU
For additional information,you may contact the Gift Card Department at:
000-000-0000Or email support@graphitepayment. Com
Put the most powerful retention tools in your merchants’ hands!
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