Hotel gift card solutions are a powerful tool for driving hotel revenue growth and guest engagement. By offering flexible options like digital e-gifting, branded experiences, and corporate bundles, hotels can capture new revenue streams while enhancing loyalty.
NB: This is an article from Hospitality Solutions
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Gift cards not only deliver upfront cash flow but also encourage guests to spend beyond the card’s value, boosting per-stay profitability. With the right strategy, hotel gift cards turn into a growth engine that works year-round.
Why hotel gift cards work
- High market momentum: The global hotel gift card market was estimated at $1.5 billion in 2024, set to expand to $3.04 billion by 2033
- Overspending is common: 75% of gift card recipients tend to spend beyond the card’s value, amplifying per-guest revenue
- Upfront cash flow: When cards go unused, hotels keep 100% of that revenue with no cost of service
Together, these stats underscore that a robust gift card solution strategy is vital for sustainable hotel revenue growth.
Five best practices for maximizing growth
1. Seamless digital purchase and redemption experience
Ensure your gift card solution is user-friendly:
- Offer online, mobile-friendly purchasing with instant e-delivery
- Use branded cards to reinforce your identity
Hotels offering e-gifting and branded experiences score high
2. Promote ancillary spend opportunities
Design your hotel gift cards to encourage extras:
- Clearly showcase that they cover spa services, dining, and upgrades
- Frame promotion like: “Perfect for a romantic getaway – with spa add-ons”
Since 75% of recipients overspend, framing cards as gateways to extras is revenue-smart
3. Leverage gift cards during slow periods
Use cards as a buffer for off-peak occupancy:
- Run holiday promos: e.g., “Buy $100, get $120 value.”
- Include in loyalty or email campaigns targeting future stays
This positions your gift card solution as both a revenue generator and a marketing tool
4. Tap corporate gifting & loyalty bundles
Corporate purchases and loyalty tie-ins boost volume:
- Offer gift card bundles for businesses as an incentive or client rewards
- Pair cards with loyalty points or tier upgrades
Corporate gifting is a growing driver in the hotel gift card market, especially as experiential and flexible gift options gain traction
5. Track data and refine offers
Don’t let your gift card solution be set-and-forget:
- Monitor redemption rates, overspend patterns and inactive balances
- Use insights to adjust pricing, packaging and messaging strategically
Each unused card is pure profit – but insights come from understanding usage dynamics across the purchase-redemption lifecycle.
