If your current gift card company is creating more problems than it solves, it might be time to consider switching to a better provider. Issues like poor customer support, security lapses, additional processing fees, and international funding complications are all signs that your current gift card company isn't meeting your needs.
In this article, we’ll explore the key reasons you might need to switch gift card providers, whether you use gift cards for business incentives, employee engagement, or survey payouts.
We’ll also discuss how to find a new and improved provider that will actually provide what you were likely looking for in the first place—ie, smoother and more effective gift card operations.
Why switch gift card companies?
In full disclosure, switching gift card providers isn’t a task to take lightly. Unplugging your current system and integrating a new one will take some time and effort.
But sticking with a provider that isn’t meeting your needs will cost you even more in the long run.
We all know that anytime you choose new software or a new partner for your business, there’s inherent risk involved. And issues often don’t become apparent until after you’ve started working with a new platform, making it all the more frustrating when they start to impact your operations.
Rather than struggling with ongoing problems, it may be more effective to switch to a company that has figured out these operational details. As a bonus, if you switch to more customer-centric gift card provider, they’ll help with the transition, support you through any unexpected hiccups, and ultimately be more invested in your program’s long-term success.
So, if your gift card platform is causing issues in any of the following areas, it’s probably time to start exploring other options.
Support
Support should be one of your most critical factors when evaluating a gift card provider.
Poor customer support can lead to downtime, frustrated end-users, and ultimately, lost revenue.
That’s why a reliable gift card company will offer comprehensive and ongoing assistance to both you and your recipients, ensuring that every aspect of your integration is smooth and effective.
In other words, the right provider will be proactive, not reactive.
To get started, they should offer a customer-centric approach, providing clear and accessible documentation, a simple and well-documented API, and responsive support during the entire integration process.
For example, this was Prime46 Project Manager Greg Augustine’s experience when he recently started using Giftbit to send Amazon gift cards that his company uses as market research incentives.
Greg says he really appreciated how Andrew Flaro, his CX and Self-Service Support Manager, kept checking in to make sure things were going well.
That said, Greg and his team didn’t need any serious support to get Giftbit up and running. In fact, their developer was able to get their Giftbit rewards program up and running in just two days.
"It wasn’t difficult for our developer to implement at all,” says Greg.
But anytime you’re dealing with software, especially around financial rewards and payouts, you never know when issues might rear their ugly heads.
That’s why ongoing support is essential, no matter what size your program is.
A good gift card distributor will make it their mission to prioritize your program's success, throughout the entire lifetime of your gift card program. And this support needs to be readily available for both you and your recipients.
There’s a reason Andrew and his team regularly enjoy average client satisfaction scores of 95% or higher.
This kind of support enables your business to focus on growth and customer satisfaction, without getting bogged down by technical or operational issues.
However, not all providers offer the same level of support to every customer. It’s important to find a partner that is genuinely invested in your program’s success, regardless of its size.
Specifically, some providers may only prioritize their top clients, leaving smaller or mid-sized businesses with long wait times and subpar service. This lack of responsiveness can seriously undermine the effectiveness of your gift card program.
To avoid this, choose a new provider that values every client equally. Look for dedicated account managers, responsive customer service, and resources tailored specifically for businesses like yours.
"Order as much or as little as you want from us, and we’ll demonstrate value to you by doing a good job," says Giftbit CCO Nat Salvione. “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."
Ultimately, a good provider will also ensure your integration is smooth, your operations run seamlessly, and your business can focus on growth without unnecessary setbacks.
“We've had incredible account management support and the team has been great getting us to where we need to be.”
—Jenna Adrian, Head of Operations — Zogo
See why Jenna calls Sofia Baltasar, her Giftbit Customer Service Representative, a ‘12 out of 10 Rockstar.’ 😍
Security
Next up, security needs to be front and center when choosing a gift card provider. Handling sensitive customer data requires robust measures, and any provider with outdated protocols or a history of breaches will put your business at serious risk.
A reliable provider prioritizes security with advanced encryption, proactive monitoring, and compliance with standards like SOC 2. SOC 2 compliance means the provider meets strict criteria for data protection and privacy.
Easy funding for international programs
Given the realities of our connected world, more and more gift card program managers find themselves needing to send digital rewards and payouts to people who live in different countries from their own.
Maybe you need to send a birthday gift to a remote employee, or the vast majority of your corporate gifting recipients are overseas. Whatever the case, funding in multiple currencies and delivering your egift cards internationally should be just as easy as text messaging rewards to the company next door.
So if your current gift card company struggles with international transactions (or just makes your life harder in this area), it’s a sign that they might not be the right fit.
Some providers excel in one region but falter in others, creating challenges for businesses with a global reach. For example, a provider in the USA might find it difficult to manage funding in Canada or Australia, or in anything but USD.
A better provider allows seamless transactions around the world, letting you fund accounts from one source without the hassle of opening multiple bank accounts in different countries.
Pro-tip: The Giftbit USD Virtual Prepaid Mastercard® can be sent and redeemed anywhere in the world that Mastercard is accepted.
In short, look for a company that will support even your complex global rewards program, so you can focus on expanding your business without unnecessary friction.
Transparency
Transparency is key when managing your gift card program. Some providers will lock you into long-term contracts and burden you with hidden fees, like charging extra for every gift card activation. These unnecessary costs can quickly drain your budget and add layers of complexity to your program.
Instead, choose a provider with transparent pricing and straightforward agreements. Just as important, there should be no fees to use their service.
“We believe that when a company pays money for an incentive, all of that cost should go to the incentive itself,” says Nat. “The most effective incentives programs are ones where the entire budget goes to the reward.”
Pro-tip: Opting for a “pay-as-you-go” model ensures your entire budget goes directly to the rewards, not to administrative costs.
Undeliverable digital gift cards
Whether you’re sending digital or physical gift cards and prepaid cards (like Visa and Mastercard), there’s always the chance that some of those cards won’t make it to their intended recipients. Undelivered gift cards are simply a fact of life for any gift card program, no matter who your provider is.
But how your gift card provider handles undelivered gift cards can leave a lot to be desired, and it can have outsized impact the success of your program. This is especially true if you run a smaller program that gets less customized support.
For example, sometimes your recipients might never receive their rewards, thanks to email filters that will always block your emails. This is more likely to be the case if you’re sending rewards to business email addresses with more robust corporate email filters. This shouldn’t be an issue, because there’s an easy fix: you should be able to just manually send a direct link to those specific recipients, from an email address that is less likely to be flagged.
The only issue is that some of the larger gift card companies don’t allow their customers to manually distribute links. Whatever their reasons for doing so, the end result is that customers can end up feeling exploited, and they’re often unable to fulfill their program’s full potential.
That’s why choosing a provider that prioritizes delivery success is crucial. You’ll also want to look for one that offers tracking and reporting tools for undeliverable cards and allows you to resend or manually deliver them. This ensures that your recipients receive their rewards and that your budget is used effectively, rather than wasted on undelivered cards.
Find the right gift card company
Choosing the right gift card company is crucial for your business’s success. It’s not just about finding a provider with a wide selection of cards and the ability to give your recipients the gift of choice (although that’s critically important).
It’s also about finding a partner who aligns with your goals and supports your growth.
Specifically, your gift card company wishlist should include:
- Transparency
- Fair and simple pricing and account management
- A comprehensive and accurate rewards catalog
- Support for all types of cards, including low denomination gift cards, as well as open and closed loop cards
- Easy to use
- Easy to integrate
- Onboarding support, including for small and medium-sized programs
- Ongoing support, including for small and medium-sized programs
- Global options
Support during the transition
Finally, if you’re looking to transition to a new company, then be sure to put onboarding support at the top of your wishlist.
A provider that’s committed to your success will ensure the transition is smooth, minimizing any disruption to your operations. Their goal should be to make the switch as seamless as possible, so you can continue focusing on what matters most—running an effective and successful gift card program.
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