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Home /  LATEST NEWS /  Consumers encouraged to spend local gift cards to support businesses reopening
BY MICONEX ON 29/04/2021

Consumers encouraged to spend local gift cards to support businesses reopening

Miconex has launched a new Spend It campaign across its 60 plus Town and City Gift Card programmes in the UK and Ireland, encouraging consumers to get out and spend local gift cards to support businesses reopening after the latest lockdown.

The campaign asks consumers to share where they have spent their local gift card, tagging, liking and following Town and City Gift Cards on Twitter, Facebook or Instagram and using the hashtag #townandcitygiftcards to enter the prize draw. One winner will receive a £100 Town and City Gift Card for their chosen place for sharing their spend story.

Overall retail footfall in the UK in the week to 10th April 2021 was 44% that of the equivalent week in 2019 reports ONS. Footfall was highest in the West Midlands and the East of England, both at 46%, with footfall in Scotland at 44%, an increase of 5%. Retail footfall in Wales was 43% and weakest in Northern Ireland at 35%.

UK seated diner reservations on Monday 12th April were 79% that of the equivalent Monday in 2019, 47% in London and 153% in Manchester. Meanwhile, the NHBF found that 10% of hair, beauty and barbering businesses have closed their doors for good during the pandemic, with an average loss of 45% of 2019 turnover.

Over 47,000 Town and City Gift Cards were purchased in 2020. Each gift card can be spent with a variety of businesses in a particular town or city- from retail and leisure to hospitality and services- and are designed to make it easy for customers to shop local, keeping money locked into an area and supporting businesses.

A business that has seen spend through its local Town and City Gift Cards scheme following the reopening of non-essential retail in England on the 12th April is 80s Casual Classics in Barnsley. Store manager Jamie Pursley said the gift card has helped them to reach new customers:

“We sell Retro and Original men’s clothing and footwear. We took the opportunity to join Barnsley Gift Card when it launched in December, and thought it was a really good idea to keep money local. Taking payment by gift card is so simple and easy, it’s just the same as any other card transaction. The customer can check their balance using the QR code, or we can check it for them. We’ve had quite a few sales since we reopened through the gift card with both new and existing customers taking advantage of it. Our new customers found us by looking online to see which retailers were taking part and decided to check us out. We have found the card not only allows people to use it at their favourite participating shops but encourages people to try new businesses too, with many using the gift card towards purchasing something special. Being part of the gift card scheme has already been positive for us as a business and can be great for Barnsley.”

The popularity of Town and City Gift Cards is attributed to the rise in popularity of multi-store gift cards and local shopping. The Gift Card and Voucher Association found that retail spend fell by 3.6% in 2020, the biggest drop in 50 years. Gift cards, however, remain popular. 76.3% have purchased a gift card in the last three years and uncertainty in UK retail has increased the popularity of multi-store gift cards, at 39.4% of gift cards in March 2021 vs. 32.4% in December 2020.

Another business that has seen spend through their local gift card is Javelin Retail in Bury St Edmunds. Jess Simms-Baalham said: “The gift card has been a success in-store thus far with a lot of customers eager to shop in a family run, local business after months of lockdown. As lockdown drove all non-essential retail online it seemed to signal the death of the high street. Instead the opposite is happening now! It seems shoppers are keen to get back to their local indies and support real-life people. Spending the gift card with us keeps the community spirit alive!”

Self-gifting of gift cards is on the rise, with 31.8% purchasing a gift card for self-use over the past three years. 17.1% of gift card purchasers said supporting local businesses or the high street was a reason for them buying a gift card for themselves, increasing to 25.2% for 25-44 year olds. 19 new Town and City Gift Card programmes launched across the UK and Ireland between August and December 2020, as places sought to make local shopping easier, tapping into the desire to support local.

The new Spend It campaign from Miconex is part of its client success programme, helping places to maximise success for their programmes with multi-channel marketing campaigns. Over 400 towns and cities took part in Miconex’s Great Town and City Christmas Quiz in December 2020 to find the brainiest place in Britain and encourage people to spend locally. The competition attracted over 5000 entries with Camberley in Surrey taking the top spot followed by Scottish town Elgin.

Retailer The Lighting Company is part of the Town and City Gift Cards programme through the Minehead Gift Card. Glenn Ross is from The Lighting Company:

“This latest lockdown has been a challenge. We’ve taken the time to refresh our store, train staff and develop new lighting ranges. We have an online store but having that presence on the high street is vital. Customers want the opportunity to see the products in person before they buy, guided by an experienced member of staff. It’s fantastic to have customers back in store again, the support from locals has been brilliant. We’re local employers with 20 staff members from the area. Money spent locally stays local, which benefits residents and businesses alike.”

Colin Munro is the managing director of Miconex and commented: “Customers have taken the first step and purchased a local gift card, now is the time to spend it. A Town and City Gift Card is a piece of potential. The potential to support a small, independent business who has struggled through the last year. The potential to keep money locked into where you live and the potential to safeguard jobs, livelihoods and the vibrancy of where you live.

“Your local gift card can stay in your bag, wallet or in a drawer at home, or it can be turned into drinks with friends at your local, fish and chips on the seafront, a new outfit for the warmer weather to come or a long awaited haircut. Now is the time to get out and spend locally.”

https://www.mi-cnx.com/

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