Gift Cards for employees: cost or investment?

Gift Cards for employees: cost or investment?

Gift cards for employees: cost for the company or investment in its competitiveness on the market?

 

The quick answer is: both. Technically and in terms of accounting, gift cards are a cost to an enterprise, while from a modern and wise human resources perspective, gift cards are an investment in the future of our company.

Gift cards are one of many direct instruments of modern incentive policy for companies, taking care of employee well-being, employee motivation and attitude to the workplace, while indirectly affecting the competitiveness of companies on the labor market and their image as an employer.

This criterion has become equally important with others, because of the so-called employee market development – once employment was associated with employee submission to the company and unequal relations, while nowadays in healthy and mature organizations there should be a balance in mutual relationship: the company employs an employee because it values his competences, skills and personality, while the employee decides to choose a given company because, apart from competitive remuneration, it also values the employer’s reputation, work environment, atmosphere and people. An important element complementing the whole are non-wage benefits offered to employees, such as gift cards for well-known brands.

Gift cards are usually bought by enterprises as comprehensive packages, so-called cafeteria systems – remuneration systems that allow employees to choose from a range of benefits offered within a certain financial limit. An example of a cafeteria offer: tickets to the gym, swimming pool, fitness, prepaid cards, tickets for sporting and cultural events or just gift cards and vouchers for stores of known chains and brands.

In order to motivate companies to use this solution and its popularization and to facilitate financial settlements, the fiscal system of many countries, including Poland, has provided tax and social security (ZUS) incentives related to the use of this solution. Specific categories and type of gift cards aimed at employee development can be even exempted from taxation. In Poland, this limit amounts to PLN 1000 per employee per year and is regulated by the company social benefits system (ZFŚŚ).

There are many employee benefit agencies on the market (B2B channel) which, apart from an attractive substantive offer (interesting brands in portfolio) also offer comprehensive support in the settlement of gift card costs – they know which cards fall within the scope of benefits covered by the social benefits fund, how to qualify them as costs and bill them.

Amilon also offers a wide range of gift cards in its portfolio – around 200 partner brands around the world – which are used to reward and motivate employees. Gift cards are available in various denominations and conditions of use. We help in choosing them for your company and employees. We remain at your disposal for the contact and consultancy.

 

Article written by Karol Ziółkowski, Business Development Manager Poland @  Amilon Warsaw

Shopping in the time of Covid: who won and who will win?

Shopping in the time of Covid: who won and who will win?

Shopping in the time of Covid:

who won and who will win?

In just three months, in many ways, we have jumped ahead ten years: I think there has been a disruptive change in the way we shop. Not being able to go out, we all found ourselves shopping from home and even buying anything online. It was a primary need, not a luxury. It was a necessity to try it out.

Many people did this for the first time, discovering a new and fascinating world. But who profited from it? All for the benefit of online shopping leaders like Amazon? I don’t think so. I think instead that the Pandemic has created some problems for Amazon, if not in the short term, then in a few months. Because it awoke the traditional Retail, the sleeping giant, who was waiting to invest heavily in online shopping.

Given the problems that Amazon had during the lock down, with deliveries for some products moved to a month when we were used to having our orders at home in a few hours, we were forced to look elsewhere. We visited and discovered much more specialized sites, where we realized that the offering can be more comprehensive and you can pay a few euros more for a new shopping experience and surprisingly good service.

Companies that didn’t engage in the e-commerce business seriously, had to equip themselves. Traditional retail realized that without a 24-hour online channel, and with closed stores, they were in danger of extinction. As the emergency partially subsided, once you could return to stores, both retailer and customer realized that the shopping experience had changed dramatically. You have to queue outside the store, you can’t be slow because there are people outside waiting, the dressing rooms have to be sanitized after each step, often with distrust and prudence on the part of the customer.

Then maybe it’s better to buy online and discover that there’s not only Amazon in the wonderful world of online shopping. Many have overcome the laziness of opening a new account, re-entering credit cards, trusting a new player: Amazon is too convenient, from desire to purchase in less than 5 minutes. And in just a few hours, the product is delivered. Now that we’ve broken the ice, we’ve all discovered that there are many other stores on the net … and many have great products and amazing service.

For those who still do not trust buying online, there are also alternative ways: Yamamay, for example, invites customers to call, buying with the help of a personal shopper, ordering and receiving everything at home, without going to the store. If what you ordered doesn’t fit, you can return it.

Large-scale retail started some time ago with click & collect, but the pandemic has also given an incredible boost to this formula. You shop online and pick it up from the store, a McDrive of shopping, with the advantage of finding everything ready and not being forced to walk between one mask and another through the shelves.

The Pandemic has provided great opportunities for large food delivery companies such as Glovo and Deliveroo, who have worked in the cities like never before, delivering anything at home. The demand was extremely high and they equipped themselves accordingly: home deliveries of food from restaurants, stationary, packages and clothes deliveries… with a bike courier that you can follow on your smartphone. They started with food but now they deliver anything to support the stores. All this will create intense competition for Amazon, because people will come to appreciate the specialized offer of local stores and this will offer them a huge chance to take revenge.

Amazon has shown the world the way, the Pandemic has forced everyone, even my greengrocer, to follow its example and it may be that something has changed …

 

Article written by Andrea Verri, CEO & Founder of Amilon

 

 

Gift cards: the opportunity for Retailers to increase sales and brand awareness

Gift cards: The opportunity for retailers to increase sales and brand awareness

Gift cards: The opportunity for retailers to

increase sales and brand awareness

Gift cards and vouchers are valuable marketing tools. Customers can be specifically stimulated to buy with you. There are also many other advantages for traders. We will tell you why you should offer gift cards.

 

Advantages for Retailers in using Gift Cards

Gift cards and vouchers can be used flexibly and address all types of target groups worldwide: young or old, male or female. They are a popular gift and thus contribute to this since they are more personal than cash, but still give the recipient the freedom to choose. In addition, you contribute to the visibility of the brand as a recommendation tool, as loyal regular customers in particular continue to give away gift cards.

Acquiring new customers, strengthening customer loyalty and increasing sales

Gift cards and vouchers are the most cost-effective way to attract new customers and increase customer visits to the branches. Owners of a gift card often advertise e.g. other family members and friends.

In addition, customers typically spend more than just the amount of the gift card. Studies show that 69% of gift card holders spend more than the value of the gift card. This effect is known as the “uplift” and represents pure profit for the trader.

Customers who have high-quality gift cards do not spend the full amount of the card on a visit, but instead visit the retailer repeatedly. This strengthens customer loyalty and brand loyalty.

Positive cash flow

Revenue is generated before the customer redeems the gift card. A small percentage of customers let expire the gift card and do not redeem it. This generates pure profit for the brand.

Advantages of digital gift cards compared to physical cards

Digital vouchers and gift cards have the advantage that they can be used completely flexibly. In contrast to physical vouchers, the digital or electronic version in the form of an e-code eliminates the complete logistics of a physical warehouse and the dispatch of the cards. Digital gift cards are available around the clock in real time. An electronic code can be easily accessed via e.g. Email, SMS or similar to be dispatched. The electronic vouchers can be designed individually and sent to end users in a targeted manner. With the digital vouchers you save time, administrative effort, costs and enable a far more extensive use than you would ever achieve with physical cards.

The switch to digital gift cards enables an omnichannel solution that vouchers can be redeemed both at the POS and in the brand’s e-commerce.

Switch to digital gift cards now and use the full potential of gift cards.
Contact us!

 

Article by Katharina Meyer, Business Developement Manager DACH, for Amilon

We are hiring! Apply now and join Amilon

Amilon is hiring for international business developement

Amilon is hiring!

We started in 2007 in Italy digitalizing gift cards and vouchers, and we are now leaders in the distribution of gift cards all over Europe. We collaborate both with companies and agencies all over the world, that implement gift cards in their corporative programs or resell them to other companies to incentivize employees and customers or creating effective loyalty programs. Moreover, we are the first technological partner and unique processor of digital codes for over 170 international and local brands, retailers and merchants all over the world, that chose us to develope and enact effetive Branded Money strategies aimed to increment drive to store and engagement through gift cards, vouchers and recharges.

Now we are present in more than 20 countries all over the world, including: Spain, Portugal, Germany, Holland, Belgium, DACH, Switzerland, France, Denmark, Austria, South Africa, United Kingdom, Turkey, Malesia, Poland, Sweden, Mexico, Brazil, Argentina, Chile, Norway and Canada.

If you like the challenge, you speak French or Polish and German just apply!

Only 7 years ago we were a very small company with ambitions and desire to innovate the market. Now we are almost 70 people with an international team full of energy!

We would like to collaborate with smart sales people, autonomous digital nomads eager to work in a French, Polish or German co-working space or from our offices in Milan and/or Madrid.

What we look for:

  • Polish mother tongue + German and English
  • German mother tongue + Polish and English
  • French mother tongue + English
  • Challenges lovers, no comfort zone devotees, people looking forward to generate business
  • Sales driven attitude
  • Italian is a plus

Send us an email to sales@amilon.eu and start a new adventure with us!

New options for European incentive programs: YOOX, Rumbo, Wonderbox and WeekendjeWeg digital gift cards

Yoox, Rumbo, Wonderbox, WeekendjeWeg digital gift cards available for Europe

This May brings along great news: four brand new digital gift cards are now available in Amilon’s catalogue to incentivize and reward employees and customers in many European countries.

In fact, companies in Spain, France, Germany, Belgium and the Netherlands now have new options for their incentive programmes that will assure them their employees’ satisfaction.

Let’s start with the most exciting news:  YOOX digital gift card is now available for Spain, France and Germany and gives all the gift cards’ recipients the opportunity to shop online on the leading lifestyle store in the world. Fashion and style for women, men and children are just few clicks away!

Customers need to activate their YOOX reservation code before six months to receive the effective YOOX Gift Card and start shopping on the web site.

YOOX digital gift cards cannot be combined with other YOOXCODEs or with other temporary offers on the web site. The gift cards cannot be used to purchase products from the following departments or brands: Art, Clearance, Kids, Design, Sport, Kartell, items marked with the NEW label, sunglasses, Artemide, Flos, Aurélie Bidermann, Montblanc, Polo Ralph Lauren and Dodo.

Another interesting addition to our catalogue is WeekendjeWeg for the Netherlands and Belgium. This digital gift card is the smartest solution to offer those who deserve it the most the opportunity to book short breaks in more than 2000 hotels and 550 bungalow parks in Benelux, France, Germany and popular city destinations such as Paris and Berlin. Any leftovers can be used for future bookings and the Weekendjeweg.nl digital gift card can be used on the following sites: Weekendjeweg.nl, Weekendjeweg.be and Bungalows.nl.

Moreover, Belgian employees and customers can now also be incentivized and rewarded with Wonderbox gift card: a great choice of more than 80 gift boxes to live unique experiences such as dream holidays in unusual locations, gourmet weekends, beauty care treatments, workshops and much more… all the interesting options available can be easily found on wonderbox.be

Last, but not least, here the news for Spain: Rumbo digital gift card is now available and Mango digital gift cards can now be used both for online and in-store shopping.

Rumbo digital gift card is the perfect business gift to give recipients the opportunity to book flights, hotels and flight + hotel packages and enjoy their travels and holidays.

Request a bulk of digital codes and get the smartest and most original rewards for your employees and customers!

Get in contact with us by writing to orders@amilon.eu