Switzerland Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Q2 2024 Update

The gift card industry in the region is expected to grow by 7.2% on annual basis to reach US$1.7 billion in 2024.

The gift card industry in Switzerland will continue to grow over the forecast period and is expected to record a CAGR of 0.0% during 2024-2028. Gift card market in the country will increase from US$1.6 billion in 2023 to reach US$2.2 billion by 2028.

The Swiss gift card market is evolving with innovations like Bitcoin gift cards, driven by partnerships and regulatory frameworks. Local initiatives may further influence the sector, focusing on community spending and consumer protection.

Key Developments in the Gift Card Sector in Switzerland

Several significant product launches and trends have emerged in the gift card sector in Switzerland, reflecting the evolving landscape of consumer preferences and technological advancements.

Product Launches and Innovations: Bitcoin Gift Cards: Major retailers in Switzerland, including Manor and Valora, have begun selling Bitcoin gift cards. These cards allow consumers to purchase Bitcoin directly, leveraging the growing interest in cryptocurrency. This initiative is expected to enhance the gift card market by attracting tech-savvy consumers and those interested in digital currencies.

Local Gift Card Programs: Inspired by successful models in other European markets, local governments in Switzerland are likely to explore gift card programs aimed at boosting economic activity in their communities. These initiatives are designed to encourage spending at local businesses and may lead to new product launches tailored to regional markets.

Strategic Partnerships

Valora and Vardex: Similar to Manor, Valora has also collaborated with Vardex to provide Bitcoin gift cards at its kiosks throughout Switzerland. This partnership aims to enhance consumer access to cryptocurrency, further diversifying the gift card offerings available in the market.

Regulatory Changes

Consumer Protection Regulations: The Swiss government continues to enforce consumer protection laws that affect gift card sales, ensuring transparency in terms of fees, expiration dates, and usage conditions. These regulations are designed to protect consumers from potential abuses in the gift card market.

Gift card market in 2023 was driven a wide range of factors, which supported growth across retail and corporate segments. The primary factors included growth of ecommerce, increased adoption to incentivize employees working remotely, digital gifting, and initiatives undertaken by government, hospitality, and travel industries to revive growth. Though the gift card market was impacted due to COVID-19, the market is expected to bounce back in the coming quarters, especially in H1 2023.

Gift card industry in Switzerland has done well to withstand the impact of economic slowdown along with negative business and consumer sentiment due to disruption caused by COVID-19 outbreak.

Despite near-term challenges in 2023, medium to long term growth story of gift cards in Switzerland remains strong. The gift card industry in Switzerland is expected to grow steadily in H1 2023 and record a strong growth in H2 2023. The gift card market in the country will reach US$ 2.42 billion by 2028.

This report provides a detailed data centric analysis of gift card market, covering market opportunities and risks across a range of retail categories. With over 75 KPIs at country level, this report provides a comprehensive understanding of gift card market dynamics, market size and forecast.

Scope

Total Spend on Gifts in Switzerland

• 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 in Switzerland

• 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 in Switzerland

• Retail Consumer
• Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)

Digital Gift Card Market Size in Switzerland

• By Retail Consumer
• By Retail Purchase Occasion
• By Corporate Consumer
• By Corporate Purchase Occasion
• By Company Size

Gift Card Market Size by Retail Consumer in Switzerland

• By Functional Attribute
• By Occasion
• Festivals & Special Celebration Days
• Milestone Celebration
• Self-Use
• Other
• Value by Purchase Channel

Gift Card Spend by Consumer Behavior and Demographics in Switzerland

• 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 in Switzerland

• By Functional Attribute
• By Occasion
• Employee Incentive
• Sales Incentive
• Consumer Incentive
• By Scale of Business

Gift Spend by Product Categories (Split by Retail and Corporate Consumers) in Switzerland

• 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) in Switzerland

• 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) in Switzerland

• 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:

• Migros Genossenschaftsbund eG
• Coop Genossenschaft
• Maus Frères SA
• Aldi Group
• fenaco-LANDI Gruppu
• Inter Ikea Systems BV

Reasons to buy

• Comprehensive understanding of the dynamics of the gift card and incentive card markets: Recognise the opportunities in the market, the main drivers and trends, and the five-year projection for gift and incentive cards in Switzerland.
• Create strategies tailored to the market: To create your gift card strategy, identify growth categories and target particular opportunities across consumer segments and occasions; evaluate important trends and risks unique to your market.
• Learn about the attitudes and behaviours of consumers in Switzerland: Increase ROI by understanding how consumer attitudes and behaviours are evolving. With gift cards, you may obtain comprehensive information about retail spending for both corporate and retail customers.
• Six key performance indicators (KPIs) provide a comprehensive view: the quantity of cards in circulation, load value, unused value, average purchase value, average value per transaction, and transaction value.
• Distribution channel insights: Recognise the differences in gift card sales across online and offline channels as well as between first-party and third-party sales.