GiftCard Partners Blog

Schools are now incentivizing students for higher test scores, college admittance, after school study programs, and even good attendance.  But some parents are now wondering what incentives take it too far. Some schools have fun, experiential incentives, such as a teacher dunk-tank, or a friday afternoon carnival, to acknowledge students' hard work, and incent them to continue the good behavior. Other schools are using cash incentives or expensive material incentives (such as a laptop, or iPad) to reinforce good behavior. Some parents feel that these lavish incentive gifts are going too far.  Do you think kids can handle the same level of incentives offered to their parents? What happened to offering kids a gift card to their favorite lunch spot, or a class breakfast for good behavior. Is this the way we want to teach our kids to learn, or is it okay as long as it raises test scores and ensures entrance to college? Can we incent our kids like adults, or is it teaching them the wrong lessons? Should we stick to small denominations of gift cards, or are the bigger better rewards really the right way? Let us know what you think by leaving us a comment.  
To find out more about parental concerns regarding student rewards click here.

Even though it is not yet Halloween financial analysts and retail experts are already working to predict holiday spending.  With an unstable economy and uncertain times ahead most shoppers will be keeping tight budgets, and not making extravagant purchases.  According to a recent Accenture survey "One quarter of shoppers (24 percent) plan to have a 'thrifty' holiday season and one in five (18 percent) admit that they will be 'focused on necessities', just 6 percent admit to planning 'extravagant' or 'unrestrained' holiday spending." In this type of market, where consumers are being conservative with their holiday budgets gift givers want to ensure that they give "targeted" gifts.  These are gifts where the givers' dollar is stretched and the giver is sure the receiver is going to use and enjoy the gift.  Gift cards are great examples of "targeted" gifts, they are meaningful, and guaranteed to be enjoyed.  Allowing a friend or employee to enjoy dinner with their family, or to splurge on a new outfit is a win/win; a low risk purchase for the giver and a high reward for the receiver. With 43% of survey respondents claiming that they have less income than last year, and historic economic swings, it is going to be a year of low risk gift purchases. Remember the value of gift cards as you make your holiday purchases this year, whether it be for your friends, or employees.  
For more information on the recent Accenture survey click here. 

You spoke and we listened. We’re gathering and publishing results of our 2011 Gift Card Usage Survey and we’ll be including success stories in each eNews. Health and Wellness Incentives Wellness incentives have become good business. They reduce health care costs for employers and increase employee productivity.  To enhance participation, rewards are given to employees for filling out HRA’s (Health Risk Assessments). HRA’s are used to assess the lifestyle risk behaviors of individuals as part of the annual Periodic Health Assessment, work-site wellness program, or other community health activities.  Health and Wellness Programs are measurable; rewards can be given via a points system or for participating in healthy activities like joining a gym, or for achieving healthful milestones like losing weight, decreasing blood pressure or taking daily walks during breaks. Here are a few ways that our survey respondents are using gift cards to engage, motivate and reward:

GiftCard Partners recently reported that the
2011 Gift Card IQ Survey reveals good news for retailers & merchants when it comes to “bigger” incentive gift card budgets. Retailers and merchants may be celebrating an increased use of gift cards when other consumer spending categories have slowed, but the Corporate Gift Card IQ Report also announces good news for employers who use gift cards as incentives and for those who wish to use them. Some interesting information was uncovered in Incentive's September report, which outlined the respondents' a couple personal questions and it revealed more data.

Another study out this week, by the Incentive Research Foundation shows again, what the GCP team has known for years, cash incentives are not always the most effective.  According to this new research non-cash incentives such as merchandise, travel, and gift cards prove more effective than cash rewards.  Employees find them to be more valuable.  They drive more competition in today's tough economy, and are viewed as a special treat, rather than cash that could be spent on bills, or groceries.  Non-cash incentives must be used for a special occasion, whether it is a trip, or "free" merchandise purchased through a gift card. The trophy value of gift cards and other non-cash incentives is also important in today's economy.  No one wants to lose their job, or feel as though their job is in danger, these kinds of incentives serve as better reinforcement of behavior than cash.  Employees take more notice of other employees receiving non-cash incentives, rather than a check that is often included in an employees regular paycheck.   So when beginning to think about end of quarter, or end of year bonuses and rewards, think outside the "cash box."  
For more information on the Incentive Research Foundation study click here.