DUBLIN--(BUSINESS WIRE)--The "Latin America Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Spend Analysis by Digital/e-Gift Card, Retail and Corporate Consumers, Top Retailers, Distribution Channel, Occasions, and Demographics - Jan 2021 Update" report has been added to ResearchAndMarkets.com's offering.
The gift card market in Latin America is expected to record steady growth due to changing customer preference towards gift cards and increased adoption in self-use segment. Increased use of gift cards for self-gifting, supported by discounts offered by retailers is supporting market growth. The growing popularity of gift cards is offering lucrative opportunities for gift card issuers.
The COVID-19 pandemic has changed consumer purchasing behavior pushing consumers to rely on e-commerce. Shoppers prefer shopping online due to the convenience, speed, benefits, and savings it offers. Consequently, digital gift cards are expected to gain market share over the forecast period mainly due to growth in e-commerce and rise in internet penetration in the region.
E-commerce market in Latin America has been recording growth in the recent years and is further expected to grow in the coming quarters. Brazilian e-commerce sales increased significantly in 2020, as consumers shifted to online shopping due to the pandemic. In Mexico, e-commerce is estimated to account for over 25% of total retail sales in 2020. Online retailers are capitalizing on the growing e-commerce trend to offer digital gift cards in order to attract new customers and improve brand awareness.
Moreover, rising demand for online streaming services is likely to create demand for entertainment based gift cards as customers spend more time on indoor entertainment activities. Due to the pandemic as customers are confined to their homes, Netflix saw a rise in subscriber base and began to offer gift cards to attract customers.
Mexico and Brazil have observed entry of international players in the gift card market. For instance, in November 2020, InComm Payments acquired Todo Cartoes, a closed-loop gift card processor in Brazil, to improve its presence in the country. The deal will allow InComm to process and distribute closed-loop gift cards to retailers in Brazil. Consolidation in the gift card market is expected to continue in the coming quarters as players look to strengthen their market position and compete effectively. Also, Tango Card, a digital rewards and incentives provider in the US, offers e-gift cards of various brands including Domino's, Burger King, Cinepolis, Best Buy, Starbucks, Uber , and others, in Mexico.
Corporate gift cards are also likely to see growth as employees look for flexible and discounted gifting options. Companies are offering rewards and incentives via gift cards especially during holiday season. Giftly.com and mexico.net.nz are some of the popular third-party gift card providers in Mexico.
This report details the impact of economic slowdown along with change in business and consumer sentiment due to disruption caused by Covid-19 outbreak on gift card industry.
Though growth of gift card industry has been impacted due to pandemic, there are certain segments which will gain market share. There are interesting trends emerging across various segments, which are expected to fundamentally reshape gift card industry dynamics. Despite near-term challenges, medium to long term growth story of gift cards remains strong.
Scope
This bundled offering provides the following detailed gift card market opportunity at country level
Total Spend on Gifts
- By Consumer Segment (Retail and Corporate)
- By Product Categories (13 Segments)
- By Retail Sectors (7 Segments)
Gift Card Market Size by KPIs across Consumer Segments
- Gross Load Value
- Transaction Value
- Unused Value
- Average Value Per Transaction
- Transaction Volume
- Average Value of Card Purchased
- Number of Cards
Gift Card Market Size by Consumer Segment
- Retail Consumer
- Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)
Digital Gift Card Market Size
- By Retail Consumer
- By Retail Purchase Occasion
- By Corporate Consumer
- By Corporate Purchase Occasion
- By Company Size
Gift Card Market Size by Retail Consumer
- By Functional Attribute
- By Occasion
- Value by Purchase Channel
Gift Card Spend by Consumer Behavior and Demographics
- Consumer Purchase Behaviour
- Gift Card Buyer by Age Group
- Gift Card Buyer by Income Level
- Gift Card Buyer by Gender
Gift Card Market Size by Corporate Consumer
- By Functional Attribute
- By Occasion
1. Employee Incentive
2. Sales Incentive
3. Consumer Incentive
- By Scale of Business
- Budget Allocation Trend for 2021
Gift Spend by Product Categories (Split by Retail and Corporate Consumers)
- Food & Beverage
- Health, Wellness & Beauty
- Apparel, Footwear & Accessories
- Books & Media Products
- Consumer Electronics
- Restaurants & Bars
- Toys, Kids, and Babies
- Jewelry
- Sporting Goods
- Home & Kitchen Accessories & Appliances
- Travel
- Entertainment & Gaming
- Other
Gift Card Spend by Retail Sector (Split by Retail and Corporate Consumers)
- Ecommerce & Department Stores
- Restaurants & Bars
- Supermarket, Hypermarket, Convenience Store
- Entertainment & Gaming
- Specialty Stores
- Health & Wellness
- Travel
Gift Card Spend by Distribution Channel (Split by Retail and Corporate Consumers)
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
Closed Loop Gift Card Market Share by Key Retailers. Key Retailers Covered Include:
- Cencosud SA
- Carrefour SA
- Coto CICSA
- MercadoLibre Inc
- Importadora y Exportadora de la Patagonia SA
- Wal-Mart Stores Inc
- Garbarino SA
- Casino Guichard-Perrachon SA
- Natura Cosmeticos SA
- Lojas Americanas SA
- Adeo Groupe
- Magazine Luiza SA
- Falabella SACI
- SMU SA
- Feria Chilena del Libro SA
- PriceSmart Inc
- Inditex, Industria de Diseno Textil SA
- Confecciones Leonisa SA
- Organizacion Soriana SAB de CV
- Grupo Comercial Chedraui Sa de CV
- Controladora Comercial Mexicana SAB de CV
- Farmacias Similares SA de CV
- Corporativo Fragua Sa de CV
- Home Depot Inc, The
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