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Low denomination gift cards are perfect for any company looking to reward quick actions like filling out a survey or sharing a link. These small-value cards, often worth just a dollar or two, offer a cost-effective way to incentivize participation.

Despite their benefits, it’s still challenging to find a gift card provider that offers gift cards in smaller denominations. Most will only let you offer gift cards in denominations of $25 or more.

In this article, we’ll explore the unique advantages of low denomination gift cards, along with why you want the ability to send gift cards in a range of denominations. We’ll also explain how easy it can be to start offering rewards and payouts under $5, under $1, and even as low as $0.01.

Gift card denominations: how much do you need to give?

When deciding on what gift card denominations you need to give your recipients, think about matching the reward value to the action you’re incentivizing.

Larger incentives work best for significant achievements or high-value actions.

For example, in the telecom industry, customers are often rewarded with higher denomination gift cards for switching carriers or subscribing to new services. Even incentives as high as $100.00 USD (or more) are common.

These larger telecom incentive strategies encourage users to make major commitments which involve some time and effort.

“We've helped telecommunications customers do really successful promotions where they are using prepaid cards as a way of incentivizing provider switching,” says Matt Brossard, Giftbit Director of Business Development. “There's usually a finite population of customers for telecommunications companies, so they need to find interesting ways to compel them to consider switching between the number of providers available in their area."

Smaller denominations, on the other hand, are perfect for rewarding quick, simple actions.

Small-value gift cards are effective in encouraging participation in micro-tasks, keeping users engaged without requiring significant payouts. These could include filling out a brief survey, sharing a link on social media, or completing a small task in a gamified app.

Lower denomination rewards are especially valuable in ongoing programs, where you want to offer consistent, smaller rewards that accumulate over time.

Ultimately, by tailoring your gift card denominations to the specific actions you want to incentivize, you can create a more engaging and effective reward program.

Unfortunately, most gift card companies focus on higher-value cards, typically while excluding smaller denominations. These types of limits are better for their bottom line, but can impact the success of your program.

So if you want the flexibility to reward every action appropriately, be sure to find a gift card provider that lets you send rewards in multiple denominations, even and including those under $5.

Digital gift cards are flexible gift cards

One of the best ways to ensure you can offer your recipients gift cards in a wide range of denominations is to go with a digital-first provider. Digital rewards and payouts dramatically increase the denomination range you can offer. 

Think about it: if you only have the option to send plastic gift cards by mail, it’s not going to be worth your time to use $1-5 denomination cards. There are costs to pack and mail a card. Then the recipient has to wait days or even weeks to receive it. So you’re paying more for a reward that will ultimately have very little impact. 

Instead, when you can send digital rewards instantly in real-time, you eliminate any extra financial burdens while also heightening the emotional impact of even just a few dollars. 

We’ll explore exactly how to set up this type of real-time delivery further below. 

graphic - 3 recipients with multiple gift card brands

Use cases for $1 gift card rewards and incentives

Rewards valued at under $1 might seem insignificant, but they play a crucial role in micro-reward systems. These tiny incentives are ideal for tasks that require minimal effort but would still benefit from a reward that keeps users engaged and motivated.

One common use case is in online surveys. When you're asking users to complete a two-minute survey, a small denomination gift card—often $5 or less—can be the perfect incentive. It’s enough to encourage participation without overspending on rewards.

Low-value cards also shine in affiliate marketing programs. For example, a user might earn a few cents for clicking on a link or sharing a product on social media. Over time, these micro-rewards can add up, offering tangible value without requiring large digital payouts upfront.

Gamified loyalty programs also benefit from small denomination gift cards. Participants might earn points for completing small tasks, like watching a video or installing an extension on their browser. These points can be cashed out as small-value gift cards, providing immediate feedback and keeping users engaged.

In fact, some programs even allow users to cash out for as little as a penny, making it easy to reward each and every action, no matter how small.

Gamified apps and programs that offer low denomination gift cards have become increasingly popular—online communities like Reddit’s r/beermoney are filled with users looking for easy ways to make a quick buck (aren’t we all?).

Over time, these micro-rewards can accumulate into meaningful payouts, making them a hit for anyone who wants to earn a bit of extra cash with minimal effort .

How to send low denomination gift cards—with or without an API

Using low denomination gift cards for your rewards and payouts can be incredibly easy—assuming you’ve partnered with the right gift card distributor.

Whether you're running a large-scale rewards program or just starting out, be sure to stick with a distributor who offers the functionality to send gift cards in all the denominations you need.

For example, Giftbit lets our clients send gift cards in denominations ranging from $1 to $2500 (these larger amounts are typically used for incentive travel packages).

Specifically, for programs based in the USA, Giftbit lets you send $1 rewards to several popular brands, including Amazon, Target, Benihana, and Smashburger.

graphic with amazon gift card api plus a mobile phone displaying an amazon gift card

Move up to $2 and you can include Apple and Dunkin’.

And move up to $5, and you’ve got dozens and dozens of great options, including Starbucks, Best Buy, Walmart, and Baskin-Robbins.

Programs based outside the US, of course, will have their own options in a range of denominations.

Regardless, simply signing up for a free Giftbit account gives you the ability to send all these rewards in all these denominations.

For those managing a high-volume rewards program, integrating with a digital gift card API is typically the most efficient way to distribute rewards in any denomination. An API lets you automate the process, so you can send out instant rewards in real-time, as users complete their necessary tasks or actions.

Similarly, a Zapier integration will also let you connect your rewards program to your existing workflows in thousands of apps (like Google Sheets, Typeform, HubSpot, and Qualtrics).

However, not every program needs an integration to be effective.

Namely, if you’re just getting started, or if you’re running a smaller campaign (often the case with employee rewards), you might just need a user-friendly gift card platform.

For example, Giftbit’s platform lets you send gift cards in bulk in varying denominations.

Give your recipients the gift of choice, letting them pick from the hundreds of brands in our global rewards catalog.

Or decide whether you want to give them a specific brand, perhaps to Amazon or Starbucks, or to a prepaid card like Visa or the Giftbit USD Virtual Prepaid Mastercard®.

It’s this type of flexible platform that will let you reward users without needing to set up complex systems.

Whether you choose to use an API or not, be sure to look for a gift card provider that will also let you send your rewards and incentives whichever way works best for your recipients—via text, direct SMS, QR code, email delivery, or as a physical gift card.

In other words, for a truly successful program, you’ll need flexibility in all areas, not just in denominations.

How much to reward?

Like we’ve covered, the ability to send low denomination gift cards, whether through an API or directly through a gift card platform, is crucial for any rewards program. It ensures that you can offer incentives that match the size of the actions you want to encourage, keeping participants engaged and your costs in check.

So, how much do you need to reward?

Deciding how much to reward can be tricky, especially when balancing the size of the incentive with the action you're encouraging. A good starting point is to consider the effort required and the value it brings to your program.

But there’s no one-size-fits-all answer.

Of course, with the right gift card partner, you don’t have to go it alone. Matt, Giftbit’s Director of Business Development, is happy to walk prospective clients through a quick demo and to discuss what types and amounts of rewards typically work best for which use cases.

And if you do decide to use Giftbit, you’ll have best-in-class support onboarding, along with as much support you need from Giftbit’s Head of Customer Success, Sofia Baltasar, and her team.

This is true whether you’re one of Giftbit’s biggest clients, or a small program just starting out.

"Order as much or as little as you want from us, and we’ll demonstrate value to you by doing a good job,” says Nat Salvione, Giftbit CCO. ”We believe that as your partner if we can provide transparency around your program and make it easy to send, you’ll keep using us."

Giftbit makes it easy to send multiple rewards in multiple denominations. Please reach out to our Sales team to see what rewards will work best for your program.


Gift card denomination FAQs

What denomination do Walmart gift cards come in?

Giftbit provides digital Walmart gift cards in denominations as low as $5.

What denominations can you get Visa prepaid cards?

Both the Giftbit Visa Incentive Virtual Card and the Virtual Prepaid Mastercard USD are available in denominations starting at $25. 

There are no extra fees to send Visa or Mastercard prepaid cards through Giftbit. It’s completely free to use the platform and send gift cards to any of the stores in our global catalog.

What is the maximum denomination available for an Amazon gift card?

Currently, Giftbit lets businesses send Amazon gift cards in denominations as high as $2000. If you need to send Amazon gift cards in higher denominations, please let us know.

Where can I order e-gift cards in bulk for our staff?

The fastest and easiest way to order gift cards in bulk for employee gifts and rewards is with a gift card platform like Giftbit. Giftbit lets you send gift cards and prepaid cards to employees, customers, and as corporate gifts and payouts for a variety of use cases. Quickly send as many e-cards as you like, picking from one of hundreds of popular gift card brands. Or consider sending the perfect gift—access to a global rewards catalog with hundreds of options.

 

Emily Byrne
Post by Emily Byrne
August 15, 2024
Giftbit Digital Marketing Specialist