The bottom line is, consumers love prepaid cards. But the question that keeps most wondering is, why? Could it be the simplicity they offer or that these easy to use cards are universally accepted? In this post, we are going to review why prepaid cards have become so popular when it comes to engaging a consumer.
Today marketers everywhere innovate towards ease. The easier it is for a consumer to redeem a reward the better engagement a company receives. The important detail to remember to assure that this simple process is just that, simple. There are too many “simple” reward programs out there and they are far from. The more personal information they are required to provide, hoops they have to jump through to activate, and wait on a customer service hold for 20 minutes, the less inclined they are to redeem or use their reward. So long story short, as long as the process to redeem isn’t difficult, then you are on track to a successful program!
- Prepaid cards offer a smaller opportunity for customers to get into debt. This, along with many other great benefits, is one of the top reasons consumers opt for prepaid cards. Not saying that it is impossible to get into debt, but the cards are marketed as a helpful piece to the puzzle, and actually lives up to the promise.
- Limited fees are associated with prepaid cards in most cases. As these rewards become more popular, most carriers have little to no fees for these cards. Prepaid card carriers are shifting their fees to reflect a traditional checking account (monthly fee schedule, if any).
- They offer quick and easy options to get paid. Fund can be loaded virtually/electronically, how’s that for a little simplicity?
To wrap up why consumers love prepaid cards, the final take away is the simplicity of this incentive. Easy to redeem, easy to use, or even easy to give!
“Branded gift cards are more memorable than cash when they are aimed at what the recipient wants rather than needs. A gift card for a new golf club has to be spent on a golf club, so it’s guilt free. The cash can be spent on groceries, and probably will be.”
– Bob Dawson, President, i-Myth
Simple as that.
– As of 2015, nearly 93% of American consumers surveyed have either given or sent a gift card. (Gift Card Trend, Source)
– 74% of 18 to 24 year old consumers are interested in keeping gift cards on their phones. (Digital Trends, Source)
– 50.4% of consumers purchase gift cards so the recipient can choose their own gift. (Holiday Trends, Source)
Prepaid card products are incredibly easy and can be more desirable to use in certain incentive promotions. This is the reason they continue to be a leading incentive reward choice when forming a incentive promotion that will keep your participants engaged in today’s changing market. All Digital Rewards has an extensive offering of prepaid reward products, such as; custom branded prepaid reward cards, VISA physical and Virtual Reward Cards, top name brand gift cards, merchandise, digital rewards and travel for incentive and reward programs that can meet your company’s stakeholders incentive payout goals when searching for a prepaid reward card provider. Give the prepaid card experts a call at 866-415-7703 or click the “Schedule a Demo” button below!