Pulse April 2020 | Page 70

MONEY MATTERS BY G U Y W E I S M A N T E L , S V P M A R K E T I N G , Z E N OT I Ways to Turn Gift Card Users into Repeat Customers With the holiday crush of presents in the rearview mirror, you’ve got the presence of mind to start thinking ahead to how you’ll convert gift card users into repeat customers. After all, customers are great, but repeat customers are even better! IT’S NOT UNUSUAL FOR AMERICANS TO GIVE GIFT CARDS. According to personal finance website Wallethub, the gift card was the most popular gift for the 13th consecu- tive year in 2019, and spas in particular rely heavily on gift cards. According to the 2019 ISPA U.S. Spa Industry Study, 91 percent of spas offer gift cards; among those spas, the average spa receives 10 percent of their annual revenue from gift cards. Gift card sales at day 54 PULSE ■ APRIL 2020 spas alone total US$1.36 billion, nearly 9 percent of total spa revenue. Many of the people using gift cards in your spa or salon in any given month are walking in for the first time, based on a recommendation, referral or thoughtful gift from a friend or family member. As a spa operator, you want to do everything you can to give them a positive experience so that they become regular spa-goers.