Offering branded gift cards isn’t just for major retailers anymore. From boutique spas to fast-casual restaurants to software providers, more businesses are launching their own gift card programs to drive revenue, build loyalty, and reach new customers. Whether you’re selling physical cards in-store or digital codes online, setting up branded gift cards can be a powerful addition to your customer engagement strategy.
Why Offer Your Own Gift Cards?
Branded gift cards serve multiple business goals:
- Immediate revenue: You get paid up front, even before the gift card is redeemed.
- Customer acquisition: New recipients get introduced to your brand.
- Increased spend: Gift card users often spend more than the card value.
- Brand visibility: Custom cards reinforce your brand with every use.
Now, let’s walk through how to set one up.
How to Create and Manage Branded Gift Cards
You have two main options when launching a gift card program:
- Work with a gift card processor or reseller
- Partner with a gift card program manager or white-label provider for full customization and scalability
Most modern POS and eCommerce platforms offer gift card functionality, but if you need more control or plan to scale, a white-label solution lets you manage branding, delivery channels, reporting, and more.
Core program components to set up:
- Card design and denomination options
- Balance management and redemption system
- Fraud and expiration controls
- Distribution method: in-store, online, email, SMS
Integrating with POS or Ecommerce Systems
Integration is crucial for a seamless customer and employee experience.
- In-store (POS): Many POS systems offer built-in gift card modules. You can issue, redeem, and reload cards directly through your terminal.
- Ecommerce: Platforms like Shopify, WooCommerce, and BigCommerce allow customers to buy and use digital or physical gift cards at checkout. If you’re using a custom site or app, APIs can enable deeper integration.
Tip: Look for systems that unify online and offline gift card redemption to avoid customer confusion.
Costs, Fees, and Legal Considerations
Gift card programs are relatively low-cost to maintain but keep these considerations in mind:
- Startup costs: Custom physical card printing or white-label program fees
- Per-card fees: Typically $0.25–$1.00 per card for processing or fulfillment
- Platform fees: SaaS or POS platforms may charge monthly or per-transaction
- Legal compliance:
- Ensure no expiration or inactivity fees in jurisdictions where they’re prohibited
- Follow escheatment laws for unredeemed balances
- Include clear terms and conditions (especially for promotions)
Consult a legal advisor to make sure your program complies with local and federal regulations.
Digital vs. Physical Gift Cards: What’s Best?
Digital gift cards offer instant delivery, lower overhead, and easy tracking, making them ideal for eCommerce and younger audiences.
Physical gift cards are tactile, memorable, and perfect for point-of-sale visibility or gifting occasions.
Many businesses offer both. Choose based on your audience and distribution channels:
|
Card Type
|
Best For | Pros | Cons |
| Digital | Online shoppers, last-minute gifts | Instant delivery, no inventory | Requires email/mobile info |
| Physical | In-store purchases, brand display | Tangible branding, upselling | Printing/shipping costs |
Gift Card Use Cases by Industry
Spas & Salons
Gift cards are a top revenue driver during holidays and Mother’s Day. Use them to fill slow weekdays or reward loyal customers.
Restaurants & Cafes
Perfect for upselling at checkout. Promote gift cards as a holiday item or incentive for frequent diners (“Buy $50, get $10 free”).
SaaS & Subscriptions
Offer gift cards for pre-paid months or account credit. Great for gifting memberships or as employee perks via partnerships.
Gyms & Wellness Studios
Use gift cards for trial memberships, gear, or classes. Helps reduce friction in gifting wellness experiences.
Ready to Launch?
Branded gift cards are more than just an additional product—they’re a marketing tool, customer acquisition channel, and retention strategy all in one. Whether you’re a small business owner or an enterprise brand, launching a gift card program is easier than ever with the right tools and guidance.
Looking for a partner to help launch or scale your gift card program?
GiftCard Partners offers branded, scalable gift card solutions. Let’s talk about how we can support your business.
