Gift card sales in the United States were projected to amount to almost *** billion U.S. dollars in 2023. This signifies an upward growth trend over the past number of years, as gift card sales were approximately ** billion U.S. dollars in 2010. Gift card usage A gift card is a prepaid payment card that contains a specific amount of money available for use either online or in-store. Gift cards may be closed loop, only redeemable with a single retailer, or open loop, redeemable from any merchant which accepts payment through the gift card in question. According to a survey, approximately half of consumers in the United States purchased gift cards as presents to others due to their convenience. U.S. retail Total retail sales in the United States amounted to just over ***** trillion U.S. dollars in 2023, up from around *** trillion U.S. dollars in 2022. Retail establishments come in many forms such as grocery stores, restaurants, and bookstores. There are around **** million retail establishments in the United States. Walmart, Amazon, The Kroger Co., Costco, and Target are a selection of the leading retailers in the United States.

The statistic shows the value of the global gift cards market from 2017 to 2025. In 2017, the global gift cards market was valued at approximately *** billion U.S. dollars and was forecast to reach a value of *** billion U.S. dollars by 2025.

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Gift Card Market Size 2025-2029

The gift card market size is forecast to increase by USD 1331.3 billion, at a CAGR of 15.4% between 2024 and 2029.

The market is experiencing significant growth, driven primarily by the expanding e-commerce sector. With more consumers turning to online shopping, the convenience and flexibility of digital gift cards have become increasingly popular. Open-loop gift cards, which can be used across multiple merchants, are gaining traction due to their versatility and wide acceptance. However, the market also faces challenges. The additional loss of money in using gift cards, due to fees and expiration dates, can deter some consumers. Retailers must navigate these obstacles by offering transparent fee structures and extended expiration dates to maintain competitiveness. Companies seeking to capitalize on market opportunities should focus on enhancing the digital gift card experience, ensuring seamless integration with e-commerce platforms and providing value-added services to attract and retain customers.

What will be the Size of the Gift Card Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe market continues to evolve, with dynamic market dynamics shaping its various applications across numerous sectors. Gift card redemption processes are streamlined through advanced technologies such as barcode scanning and QR code scanning, enabling seamless transactions for both physical and digital gift cards. Simultaneously, gift card design is increasingly focused on enhancing brand identity and customer engagement, with data analytics playing a crucial role in understanding customer segmentation and preferences. Loyalty gift cards, a significant segment of the market, are leveraged to foster long-term customer relationships. Cardholder agreements are continually updated to address emerging concerns, such as gift card liability and PCI DSS compliance. The integration of EMV technology and contactless payment systems further bolsters gift card security. In the realm of gift card processing and distribution, reloadable and closed-loop gift cards are gaining popularity. Open-loop gift cards, which can be used like debit or credit cards, offer greater flexibility. Meanwhile, targeted promotions and incentive gift cards are employed to boost sales, with mobile gift cards providing added convenience. As the market unfolds, entities must remain vigilant against fraud and ensure compliance with regulations, such as PCI DSS. Gift card accounting and activation systems are continually refined to optimize operational efficiency. The gift card platform market is witnessing rapid growth, offering a range of services from API integration to e-gift card solutions. In summary, the market is characterized by continuous evolution, with entities adapting to emerging trends and technologies to meet the evolving needs of consumers and businesses.

How is this Gift Card Industry segmented?

The gift card industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. TypeE-gifts cardsPhysical gift cardsDistribution ChannelOfflineOnlineCard TypeClosed-loop CardOpen-loop CardClosed-loop CardOpen-loop CardEnd-UserIndividualsCorporatesApplicationRetailDiningEntertainmentGeographyNorth AmericaUSCanadaEuropeFranceGermanyItalySpainUKMiddle East and AfricaUAEAPACChinaIndiaJapanSouth KoreaSouth AmericaBrazilRest of World (ROW)

By Type Insights

The e-gifts cards segment is estimated to witness significant growth during the forecast period.Gift cards have experienced significant advancements, with e-gift cards, or digital cards, gaining popularity in the retail sector. These cards, which are delivered via email with a confirmation to the purchaser, offer enhanced versatility and flexibility. E-gift cards eliminate logistical barriers, ensuring instant delivery to recipients. Open-loop and closed-loop gift cards, both physical and digital, continue to dominate the market. Open-loop cards, compatible with multiple merchants, are processed using EMV technology and offer reloadable features. Closed-loop cards, on the other hand, are branded to specific retailers and can be used for loyalty programs, customer segmentation, and targeted promotions. Gift card sales have been driven by various factors, including customer preferences, ease of use, and the convenience of online purchasing and redemption. Processing and distribution have become more streamlined through the use of PCI DSS compliance, contactless payment, and QR code scanning. Design, liability, and data analytics play crucial roles in the marketing and sales, with cardholder agreements out

The global gift card market is a thriving sector, exhibiting robust growth driven by increasing consumer spending, the convenience of digital gifting, and the expanding adoption of gift cards across diverse retail segments. The market's segmentation reveals significant opportunities within various application areas, including restaurants, department stores, coffee shops, and entertainment venues. Open-loop gift cards, offering greater flexibility to consumers, represent a substantial portion of the market, while closed-loop cards maintain relevance for specific retailers, fostering brand loyalty and driving repeat business. E-gifting, fueled by the rise of digital platforms and mobile commerce, is a rapidly expanding segment, contributing significantly to the overall market growth. Geographic variations exist, with North America and Europe currently dominating the market share, although emerging markets in Asia-Pacific are poised for significant expansion due to rising disposable incomes and increasing internet penetration. While the market faces restraints like fraud and security concerns, technological advancements, coupled with improved security measures and innovative marketing strategies are mitigating these challenges. The forecast period (2025-2033) predicts continued strong growth, fueled by evolving consumer preferences and the seamless integration of gift cards into various online and offline shopping experiences. The competitive landscape is characterized by a mix of large multinational corporations and specialized gift card providers. Major players like Amazon, iTunes, Walmart, and Starbucks leverage their extensive customer base and established e-commerce platforms to drive gift card sales. Regional players, catering to specific markets and consumer preferences, also contribute significantly. Strategic partnerships between retailers and payment processors are shaping the market, facilitating smoother transactions and enhanced security. Future growth will likely be propelled by the integration of loyalty programs with gift cards, personalized gifting options, and the development of more sustainable and eco-friendly gift card solutions. The continued evolution of digital technologies will be crucial in shaping the market's future trajectory, driving innovation and expansion into new markets and customer segments. Competition will remain intense, with players focusing on delivering innovative products, enhancing customer experience, and adapting to the ever-changing digital landscape.

The global gift card market, valued at $6.21 billion in 2025, is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) of 9.6% from 2025 to 2033. This expansion is fueled by several key factors. The increasing preference for convenient and readily available gifting options drives demand for both physical and e-gift cards. The rise of e-commerce and digital payment systems further accelerates market growth, particularly for e-gift cards. Furthermore, innovative marketing strategies by companies like Amazon, Apple, and Square, offering integrated gift card programs within their existing ecosystems, significantly contribute to market penetration. The market segmentation, encompassing physical and e-gift cards distributed through online and offline channels, reflects the diverse consumer preferences and purchasing behaviors. Competitive strategies among key players focus on enhancing user experience, offering diverse card designs and denominations, and leveraging strategic partnerships to broaden reach and appeal. While regulatory hurdles and potential security concerns related to online gift cards represent challenges, the overall market trajectory indicates a positive outlook driven by sustained consumer demand and technological advancements. The market's regional distribution likely mirrors global e-commerce trends, with North America and Europe holding significant market shares. Italy, specifically, contributes to the European market, benefiting from its robust retail sector and growing online shopping habits. However, differences in consumer spending patterns and technological adoption across regions will influence the distribution of market share. The forecast period of 2025-2033 suggests continued growth, driven by increasing consumer disposable income, evolving gifting trends, and the expansion of digital payment systems globally. Companies in the gift card market are likely to increasingly focus on personalization, loyalty programs, and strategic alliances to maintain their competitive edge and capture a larger market share in the coming years.

The global gift card market is experiencing robust growth, driven by increasing consumer spending, the rise of e-commerce, and the convenience and versatility of gift cards as presents. The market's diverse application across restaurants, retail, entertainment, and coffee shops, coupled with various card types (open-loop, closed-loop, e-gifting), fuels this expansion. While precise figures for market size and CAGR are not provided, considering the presence of major players like Amazon, Walmart, and Starbucks, a reasonable estimation places the 2025 market size at approximately $150 billion USD, with a projected CAGR of 7-8% between 2025 and 2033. This growth is fueled by several factors: the shift towards digital gift cards and e-gifting platforms, increasing preference for experiential gifts (restaurant and entertainment gift cards), and the strategic partnerships between retailers and financial institutions to enhance card usability. The market’s segmentation is vital; understanding the varying growth rates of open-loop vs. closed-loop systems is crucial for investment decisions. North America and Europe currently hold significant market share, but regions like Asia-Pacific are experiencing rapid growth, presenting lucrative opportunities for market expansion. While challenges exist, such as increasing regulations and security concerns related to fraud, the overall outlook for the gift card market remains positive, with considerable potential for continued growth in the coming years. The key restraining factors include the potential for unused gift cards and the associated revenue loss for issuers, as well as the complexities of managing and processing a high volume of transactions. However, these challenges are being actively addressed through innovations in technology and improved card design. The adoption of mobile wallets and integrated loyalty programs are enhancing convenience and engagement. The increasing preference for digitally delivered gift cards will drive further growth and efficiency. Major players are continuously investing in enhancing their platforms and offerings to improve user experience and address security concerns. This trend suggests a strong future for the gift card industry, with even greater penetration across both established and emerging markets worldwide.

Gift Card Market was valued at $884.76 million in 2021, and is predicted to reach $2097.13 million by 2030, with a CAGR of 8.3%% from 2022 to 2030.

The global gift cards market size was around USD 1.15 trillion in 2024 and is likely to expand at a CAGR of more than 17.5%, surpassing USD 9.36 trillion revenue by 2037. Closed-loop segment is projected to dominate 64% share by 2037, attributed to impact of closed-loop gift cards on brand recognition, ensuring recipients return to business to use them.

The Report Covers Incentives Market in Canada and it is segmented based on the Card Type (E-Gift card, Physical card), by Consumer Type (Retail Consumer, Corporate Consumer) and by Distribution Channel (Online, Offline). The report offers market size and forecasts for Canada Gift Card and Incentive Market in value (USD Million) for all the above segments.

This statistic presents the gift card consumption market share worldwide in 2017, broken down by region. In 2017, North America was the largest consumer of gift cards, with a consumption market share amounting to ***** percent.

This statistic shows the annual growth in sales of gift cards and vouchers by members of the UK Gift Card and Voucher Association from 2009 to 2021. In the second half of 2021, sales grew by **** percent in the UK.

The US gift card and incentive card market is experiencing robust growth, driven by the increasing popularity of e-gift cards, the rise of corporate gifting programs, and the expanding online retail sector. The market's convenience, versatility, and ease of use contribute significantly to its appeal across diverse consumer segments, from individual retail consumers seeking personalized presents to corporations utilizing them for employee rewards and client appreciation. The shift towards digital gift cards reflects broader trends in digitalization and the increasing preference for contactless transactions. While physical gift cards maintain their market share, their growth is likely slower than that of their digital counterparts. This is further fueled by the integration of gift cards into numerous online platforms and mobile wallets, expanding their accessibility and usage. Competition among major players like Visa, American Express, and Blackhawk Network is intensifying, driving innovation in card design, functionality, and distribution channels. Growth is further expected from the increasing adoption of personalized and branded gift cards, enhancing their value proposition beyond simple monetary transactions. However, several factors could restrain market expansion. Concerns around card inactivity and expiration lead to lost revenue for issuers. Furthermore, stringent regulatory compliance requirements and the increasing prevalence of fraud necessitate ongoing investment in robust security measures. The market's future growth trajectory will heavily depend on continued technological advancements, such as enhanced personalization options, improved security protocols, and the development of innovative incentive programs. This will cater to the evolving needs of both consumers and businesses, fostering continued market expansion throughout the forecast period. The ongoing integration with loyalty programs and other rewards schemes also presents a significant growth opportunity. Predicting specific market sizes requires detailed financial data; however, based on the provided CAGR of 8% and the current market dynamics, significant expansion is expected in the coming years. Recent developments include: In September 2021, Factor4, one of the largest producers of gift card and loyalty solutions in the United States, said that the firm had engaged in a strategic agreement with SavorConnect, a leading cloud-based integration platform. Factor4 will create omnichannel gift cards on Shopify as part of this strategic relationship, which consumers can spend online, in-store, and on mobile devices., In May 2022, New Seasons Market and New Leaf Community Markets on the West Coast have expanded their cooperation with worldwide branded payments provider Blackhawk Network to improve the online gift card programs for their community groceries.. Notable trends are: Digital or E-Gift Cards is accelerating due to E-Commerce Development.

The global e-gift card market is experiencing robust growth, driven by the increasing adoption of digital payment methods, the convenience of online gifting, and the rising popularity of e-commerce. The market's expansion is fueled by several key factors. Firstly, the shift towards digitalization across various industries has made e-gift cards a preferred choice for both personal and corporate gifting. Consumers appreciate the ease and speed of purchasing and sending e-gift cards online, while businesses leverage them for efficient employee rewards and customer loyalty programs. Secondly, the market benefits from the ever-expanding reach of e-commerce. As more businesses establish online presences, the availability and acceptance of e-gift cards broaden, contributing to market growth. Finally, technological advancements, particularly in mobile payments and integrated gift card platforms, enhance user experience and drive adoption rates. While the market is expanding rapidly, there are certain challenges such as security concerns regarding fraudulent activities, and the need for seamless integration with various payment gateways. However, these challenges are being proactively addressed through enhanced security measures and technological advancements in the market. The market segmentation reveals strong growth in both corporate group buying and personal purchase applications. Food and beverage, clothing and shoes, are prominent segments within e-gift card types, demonstrating the diverse range of merchant offerings. Leading players such as Amazon, Starbucks, and other major retailers and brands contribute significantly to the market's growth, showcasing their widespread acceptance and influence. Geographic distribution indicates strong growth across North America and Europe, particularly in countries with high e-commerce penetration and digital literacy. Asia-Pacific also shows substantial potential, fueled by increasing internet and smartphone usage. Considering a hypothetical CAGR of 15% (a reasonable estimate given the industry trends) and a 2025 market size of $100 billion (estimated based on the presence of major players and market trends), we can project consistent growth through 2033, with evolving regional market shares reflecting digital penetration and economic development across the globe.

The global shopping eGift card market is experiencing robust growth, driven by the increasing preference for digital gifting, the convenience of online purchasing, and the rising adoption of mobile payment systems. The market size in 2025 is estimated at $150 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 12% from 2025 to 2033. This substantial growth is fueled by several key factors. Firstly, the shift towards digital interactions and a preference for instant gratification has made eGift cards a popular choice for various occasions. Secondly, the seamless integration of eGift cards into online marketplaces and mobile wallets enhances their accessibility and usability. Finally, the extensive marketing campaigns and promotions undertaken by both retailers and gift card providers have further boosted market penetration. The open-loop segment, offering greater flexibility to recipients, currently dominates the market share. However, closed-loop eGift cards, which can only be used at specific retailers, are gaining traction due to their targeted marketing capabilities and higher profit margins for businesses. Key players, including Amazon, Walmart, and other major retailers, leverage their extensive customer bases and robust e-commerce platforms to drive sales. Geographic expansion is another prominent trend. North America currently holds a significant market share due to high e-commerce penetration and a strong gifting culture. However, Asia-Pacific, particularly China and India, is poised for significant growth due to the burgeoning middle class and increasing smartphone penetration. Market challenges include security concerns related to online transactions, fraudulent activities, and the need for robust customer support and efficient redemption processes. Nevertheless, ongoing technological advancements and regulatory measures are continuously improving the security and reliability of the eGift card ecosystem, paving the way for continued expansion and market consolidation. The forecast for 2033 projects a market value exceeding $450 billion, signifying the immense potential for growth within this dynamic sector.

This statistic shows the annual growth in sales of gift cards and vouchers as reported by members of the UK Gift Card and Voucher Association in the second half of 2016 and the second half of 2018, by type. In the second half of 2017 the decline of paper voucher sales in the UK slowed, falling by **** percent compared to **** percent in the second half of 2016. as of the second half of 2018, paper vouchers kept up with digital again, showing a growth of about ** percent.

The US Digital Gift Card Market Size Was Worth USD 367.20 Billion in 2023 and Is Expected To Reach USD 1,887.96 Billion by 2032, CAGR of 17.80%.

Gift Card Market Outlook 2032

The global gift card market size was USD 983 Billion in 2023 and is likely to reach USD 4101.1 Trillion by 2032, expanding at a CAGR of 17.2% during 2024–2032. The market growth is attributed to the high adoption rates during festive seasons and the growing internet and smartphone penetration rate worldwide.



Growing demand for personalized and customizable gift cards is expected to boost the market. Consumers are increasingly seeking unique and personalized gifts, a trend that extends to gift cards. Businesses that offer customizable gift cards, allowing the buyer to select the design, message, or even the card's value, differentiate themselves from other competitors. This trend is particularly prevalent among younger consumers, who value personalization and uniqueness.

Rising corporate demand for gift card is likely to fuel the market. Businesses are increasingly using gift cards as part of their employee rewards and customer loyalty programs. Gift cards are seen as a cost-effective and efficient way to incentivize and recognize employees, while driving customer engagement and repeat business. This trend is particularly prevalent in sectors such as retail, hospitality, and e-commerce.

Impact of Artificial Intelligence (AI) in Gift Card Market

Artificial Intelligence (AI) is expected to boost the revenue of the market players present in the gift card market. AI's ability to analyze vast amounts of data and derive actionable insights is crucial for personalizing the customer experience. AI algorithms predict consumer behavior and preferences, enabling businesses to offer tailored gift card options that resonate with individual customers. This personalization enhances the customer experience and drives customer loyalty and repeat business. Moreover, AI-powered chatbots and virtual assistants streamline the gift card purchasing process. These technologies interact with customers in real-time, guiding them through the purchase process, answering queries, and even suggesting suitable gift card options based on the recipient's profile.</span

The Indian Gift Card and Incentive Card Market Report is Segmented Based On the Card Type (e-Gift Card, Physical Card), Consumer Type (retail Consumer, Corporate Consumer), and Distribution Channel (online, Offline). The Market Sizes and Forecasts are Provided in Terms of Value (USD Million) for all the Above Segments.

Global Digital Gift Card market size is expected to reach $1089.41 billion by 2029 at 16.9%, segmented as by functional attribute, open loop gift card, closed loop gift card

The global digital gift card and prepaid card market, valued at $371.66 million in 2025, is projected to experience robust growth, driven by the increasing preference for cashless transactions, the rising popularity of e-commerce, and the convenience offered by digital gifting solutions. The market's Compound Annual Growth Rate (CAGR) of 9.1% from 2019 to 2024 suggests a continued upward trajectory, with substantial market expansion anticipated through 2033. Key market segments include corporate gifting (a significant portion, estimated at 30% of the market in 2025, driven by employee incentives and client engagement programs), retail (another substantial segment, approximately 25% in 2025, leveraging digital platforms for enhanced customer loyalty), government initiatives (around 10% in 2025, possibly including social welfare programs), and others (the remaining 35%, encompassing individual gifting and niche applications). Within product types, digital gift cards are witnessing faster growth than physical prepaid cards due to their instant accessibility and ease of sharing, representing an estimated 60% market share in 2025. Major players like Amazon, iTunes, Walmart, and Starbucks, along with regional leaders in various markets, are leveraging technological advancements to enhance user experience and broaden market reach. Growth is further fueled by increasing smartphone penetration and improved internet infrastructure, particularly in developing economies. This growth is, however, subject to certain constraints. Security concerns surrounding online transactions and the potential for fraud remain significant challenges. Regulations governing prepaid card usage and data privacy also impact market dynamics. To mitigate these concerns, industry players are investing in robust security measures and compliance frameworks. The future market expansion will depend largely on addressing these security and regulatory hurdles, fostering greater consumer trust, and continuously innovating to provide a seamless and secure user experience across diverse platforms. The continued integration of digital gift cards into loyalty programs and broader e-commerce ecosystems further promises sustained growth in the coming years. Geographic expansion, particularly in regions with growing digital adoption rates, will also contribute significantly to the overall market expansion.