What exactly is branded currency? According to Investopedia, currency is a generally accepted form of money, usually issued by a government and circulated within an economy and to be used as a medium of exchange for goods and services. Branded currency, also known as gift cards, is virtually the same, with the distinction that it is often only exchangeable at one or several brands, and is often used for gifting, promotions, prizes, rewards, and incentives.
When it comes to corporate rewards and incentives, how do branded currency and gift cards fit in? The answer is that they’re the undisputed most popular forms of incentive! Think of it – have you liked, without exception, all the gifts you’ve ever received? Probably not. Now think, have you liked all the gifts you ever chose for yourself? That’s much more likely. People are generally more satisfied when they’re able to shop for themselves. Unless you really know the person, it can be difficult to find a specific gift that he or she will really like and enjoy, so instead of assuming the person will like the gift or risking that he or she doesn’t, let the beneficiary get what he or she really wants. Gift cards are great to receive and choosing one from among our large selection of retailers adds a touch of personalization, while still making sure the gift will please your employees or customers.
Gift cards are also more effective incentives than cash or merchandise. Sure, every employee or customer would be happy to receive a cash bonus. However, that bonus might feel like more of a compensation than a gift and might be spent to pay bills instead of being spent to treat themselves to a nice dinner or with a nice new top that they deserve. Also, there is no personalization in offering a cash bonus.
If you spend money on a reward or incentive, you may as well make it more memorable and enjoyable – offer a gift card!