Despite a festive spending slowdown, the GCVA, in collaboration with Global Data, reveals a compelling shift in shopping habits during the holiday season. Their nationally representative survey of 2,000 consumers indicates that over 20 million gift cards were exchanged during Christmas 2023, with nearly a third (31%) of respondents receiving one. Interestingly, almost a quarter (24%) of those surveyed received more gift cards than in previous years.
Younger generations emerged as the primary recipients, with an astonishing 50% of those aged 16-24 unwrapping the gift of a gift card, compared to 18% among the 55-64 age group.
The research also showed diverse reasons why gift cards are a popular choice. In addition to seeking to avoid waste or unwanted gifts, 20% chose gift cards with the intention of providing direct support to local businesses, emphasising the contribution of gift cards to the resurgence of community commerce.
Another 18% turned to gift cards when faced with the unavailability of physical gifts in stores, showing their value as a dependable option amidst the challenges of the retail environment.
Additionally, 21% valued the convenience of having gift cards delivered, compared to the cost and hassle of wrapping and posting large physical presents.
Previous GCVA research indicated that 44% of UK adults intended to reduce their gifting budgets, which set the tone for a spending slowdown during the 2023 Christmas period. However, a noteworthy trend was the significant increase in the purchase of gift cards for self-use. Almost two-fifths (38%) of self-use purchasers did so to manage and save money.
With February 14th approaching, the Gift Card & Voucher Association (GCVA) is now on a mission to inspire over 20 million people in the UK who received gift cards this Christmas to celebrate self-care this Valentine’s Day by encouraging them to redeem their unspent gift cards.
Siobhan Moore, GCVA Executive Co-Chair at the Gift Card & Voucher Association comments: “A self-care gift awaits – consumers should double-check their drawers, wallets, and purses; it’s time to spend those gift cards and treat themselves this Valentine’s Day. These winter months are the perfect time for shoppers to indulge, support local businesses, and bring a ray of sunshine into their day.”
