But Retailers Believe They Possess Immature Digital Gifting Capabilities, According to New RetailDive StudioID Pulse Survey
According to a new RetailDive studioID and GiftNow Pulse Survey, three out of four retailer decision makers (75%) view gifting as important to their e-commerce strategies and 45% know they need to increase their investment in this area before the end of the year.
The Retail Dive’s studioID survey, sponsored by GiftNow, found that respondents’ top gifting e-commerce strategies in 2021 are to:
- Generate more revenue through gifting (25%) and
- Improve conversion rates (36%).
But, About Their Digital Gifting Capabilities…
When it comes to e-commerce strategies, only two percent of retailer decision makers believe their current digital gifting capabilities are mature. The investment opportunity in digital gifting is ripe as retailers recognize they can take advantage of more gifting capabilities in the marketplace to elevate their omnichannel customer experience to improve e-commerce strategies. (Learn about the four pillars of retail gifting digital transformation here.)
Only two percent of retailer decision makers believe their current digital gifting capabilities are mature
Gifting’s popularity significantly increased during the pandemic, but retailers have a real opportunity now to ensure their brands and e-commerce websites become a thriving gifting destination moving forward. This requires smart investment and a willingness to make the gifting experience more memorable and meaningful for both the gifter and the recipient.
The Gifting Opportunity
Digital gifting can play a more consequential role in the omnichannel customer experience for the retailer when investment goes beyond gift card enhancement. Forty-five percent of retailer decision makers surveyed are making investments in gifting technology to improve the user experience for gift selection, while 29 percent are putting investment toward digital product gifting and 16% toward gifting centers, respectively.
45 percent of retailer decision makers surveyed are making investments in gifting technology to improve the user experience for gift selection
Retailers still need to optimize their traditional gift card operations as the gift card remains one of the most popular gifting items; however, leveraging more elements of the brand – more merchandise and services – as gifting options – puts retailers in a more optimal position to meet their business objectives of increasing revenue and improving conversion rates. And navigate growing opportunities in contactless and sustainable gifting.
Achieving Gifting Excellence in Your E-commerce Strategies
The second half of 2021 provides ample runway for retailers to make strategic investments in gifting and accelerate their journey to gifting excellence. At GiftNow, our merchant partners often ask us what specific things they can do to capitalize on this massive gifting economy. To aid in this process we published The Retailer’s Guide to Gifting Excellence. This guide provides a framework of seven areas for retailers to focus on to pursue gifting excellence and can serve as both a self-assessment and a forward-looking strategy guide. Click here to get your copy. To learn more about GiftNow, visit www.giftnow.com
The research findings are based on data analysis from an online survey conducted in May 2021 of 187 retailer decision makers with e-commerce responsibilities in the US.
Kevin Payne is Vice President of Corporate Marketing for GiftNow