Integrating gift cards into your Shopify store is one of the most effective ways to increase sales, enhance customer satisfaction, and promote brand loyalty. Shopify allows merchants to create, manage, and sell digital gift cards directly from their admin dashboard. Offering gift cards not only simplifies the buying process for customers but also opens up opportunities for store owners to attract new buyers and boost repeat purchases. Understanding how to buy and use Shopify gift cards for your online store is a crucial step toward optimizing your e-commerce business.
What Are Shopify Gift Cards?
Shopify gift cards are digital cards that customers can buy and redeem during checkout on your online store. They function similarly to traditional gift cards and can be used as a method of payment for any product. These cards can be made available in preset denominations or custom amounts based on your business preferences.
They are especially useful during holidays, sale seasons, or special events when consumers are looking for flexible gift options. The gift cards are delivered via email, making them an excellent last-minute gift solution for many customers.
Why Use Gift Cards in Your Shopify Store?
Introducing gift cards provides a multitude of advantages that can help elevate your business goals. Some of the key benefits include:
- Increased Revenue: Customers with gift cards often spend more than the card’s value.
- Attracting New Customers: Gift recipients get introduced to your store through a trusted recommendation.
- Customer Retention: They bring buyers back to your store and create additional engagement.
- Flexible Shopping: Offer recipients the ability to choose what they want, reducing the risk of returns.
Whether it’s for birthdays, holidays, or corporate gifts, gift cards are a simple yet powerful tool for increasing buyer convenience and driving more traffic to your site.
Setting Up Gift Cards in Shopify
Once you’ve decided to add gift cards to your store, the setup is quite straightforward. Shopify provides built-in features for merchants to create and manage gift cards from the admin panel without the need for third-party apps.
1. Enable Gift Cards
To begin offering gift cards:
- Go to your Shopify admin dashboard.
- Click on Products, then select Gift Cards.
- Click “Add Gift Card Product.”
- Enter product details like title, description, and image.
- Set the denominations you’d like to offer (e.g., $10, $25, $50, $100).
- Publish the product so it becomes live in your store.
2. Customize Design & Branding
To make your gift cards more appealing, customize the visuals to align with your store’s brand. Shopify allows you to upload images, modify descriptions, and tweak the style. A clean and branded look enhances the perceived value of your gift cards and reflects your overall storefront consistency.
3. Configure Gift Card Settings
Shopify lets you manage expiration policies and notification templates. You can set whether the cards expire or remain active indefinitely. For most jurisdictions, it’s advisable to ensure compliance with local gift card laws.
Buying Shopify Gift Cards
While merchants create and sell gift cards from their store, customers will be on the purchasing end. Here’s how the gift card purchasing process looks from their perspective:
- The customer visits your online store and selects a gift card product.
- They choose a denomination and provide the recipient’s email address.
- After purchase, the gift card is delivered instantly (or on a scheduled date) via email.
- The email contains a unique code that can be redeemed during checkout.
The gift card appears just like any digital product but offers the flexibility to be used later for physical or digital products within your store.
Redeeming Gift Cards
Customers can redeem the gift cards directly at checkout just like any other payment method.
- At checkout, enter the gift card code in the “Gift card or discount code” field.
- The gift card balance will be applied to the total order.
- If the balance on the gift card covers the full order, no additional payment is required.
- Any remaining value remains on the gift card for future use.
It’s important to communicate clearly to your customers how the redemption process works. Include step-by-step instructions on your product page or FAQ section.
Promoting Your Gift Card Offerings
Merely creating a gift card product won’t be enough. You need to actively market it. Here are a few strategic ways to drive awareness and sales:
- Homepage Banner: Add a banner during major shopping seasons.
- Email Campaigns: Notify your email subscribers about the new option.
- Social Media: Share posts highlighting the flexibility and use cases of your gift cards.
- Product Recommendations: Show gift cards as related items on your best-selling product pages.
Gift cards are especially effective during holidays and promotional events such as Black Friday, Cyber Monday, and Valentine’s Day.
Monitoring and Managing Gift Cards
Shopify also offers tools to help you track issued, purchased, and redeemed gift cards. From the Gift Cards section in your admin dashboard, you can:
- Issue free gift cards manually as promotions or goodwill gestures.
- View balances and expiration dates.
- Resend or disable gift cards if necessary.
This visibility into gift card activity helps ensure that you manage your finances and promotions effectively.
Best Practices for Using Shopify Gift Cards
To get the most from integrating gift cards into your Shopify store, consider the following best practices:
- Highlight Availability: Let buyers know that gift cards are an option across product pages and checkouts.
- Automate Reminders: If using email marketing, automatically remind customers about unused gift cards.
- Monitor Card Usage: Regularly check how many cards are used and follow up with customers if needed.
- Run Promotions: Offer bonuses like “receive a $10 gift card when you spend $100.”
Effective gift card marketing can lead to better revenue, improved customer engagement, and increased conversion rates.
Conclusion
Shopify gift cards offer an accessible way to boost customer experience and increase revenue. From setup to promotion and tracking, Shopify provides a full-featured system that makes gift card management seamless. As customer needs evolve, having flexible purchasing options like gift cards can differentiate your store in a competitive marketplace.
Frequently Asked Questions (FAQ)
Can customers use multiple gift cards on one order?
No, Shopify only allows one gift card code per order.
Do Shopify gift cards expire?
They do not expire by default, but merchants can set expiration dates if desired, depending on the compliance requirements of your location.
Can I refund a customer who paid with a Shopify gift card?
Yes, refunds can be applied back to the original gift card balance automatically.
Can I issue gift cards without charging the customer?
Yes, you can manually issue a free gift card through your Shopify admin dashboard for promotional or goodwill purposes.
Are gift card sales subject to taxes?
No, gift card sales are not taxed at the time of sale. Taxes are applied when the gift card is redeemed for products.
Can gift cards be used along with discount codes?
Yes, customers can use both a discount code and a gift card on a single order.