As per the current market research conducted by the CMI Team, the North America Digital Gift Card Market size is expected to record a CAGR of 14.7% from 2023 to 2032. In 2023, the market size is projected to reach a valuation of USD 151.1 Million. By 2032, the valuation is anticipated to reach USD 518 Million.
North America Digital Gift Card Market: Growth Factors and Dynamics
- Increasing E-commerce and Online Shopping: The North America digital gift card market is experiencing significant growth due to the rising trend of e-commerce and online shopping. As consumers increasingly prefer digital transactions and online shopping experiences, digital gift cards provide a convenient and efficient way to make purchases or gift items without the need for physical cards.
- Shift Towards Contactless Payments: The ongoing shift towards contactless payments is a major driver for the digital gift card market in North America. With the proliferation of mobile devices and digital wallets, consumers are becoming more accustomed to making transactions without physical cash or cards. Digital gift cards align with this trend, offering a seamless and contactless gifting and payment experience.
- Personalization and Customization: The digital gift card market benefits from the growing demand for personalized and customized gifting options. Consumers appreciate the ability to tailor their gift cards with personalized messages, and designs, and even choose specific brands or products. This customization enhances the overall gifting experience, making digital gift cards a popular choice for various occasions.
- Rise of Mobile Apps and Wallets: The increasing adoption of mobile apps and digital wallets contributes to the growth of the digital gift card market in North America. Many retailers and businesses offer their own mobile apps and integrated digital wallet systems, making it convenient for consumers to store and use digital gift cards directly from their smartphones. This integration streamlines the redemption process and enhances user engagement.
- Expanding Marketplaces and Partnerships: The digital gift card market is expanding through partnerships and collaborations between retailers, businesses, and digital platforms. Many businesses are forming strategic alliances to offer their digital gift cards across multiple platforms and marketplaces, reaching a broader audience. These partnerships contribute to the overall growth of the digital gift card market in North America.
- Tech-Savvy Consumer Demographics: The tech-savvy nature of North American consumers plays a crucial role in the growth of the digital gift card market. As the region has a high penetration of smartphones, internet users, and digital literacy, consumers are more inclined to adopt digital solutions for various aspects of their lives, including gifting. This favorable demographic landscape propels the digital gift card market forward, with consumers embracing the convenience and flexibility offered by digital gifting solutions.
List of the prominent players in the North America Digital Gift Card Market:
- Amazon com Inc.
- Walmart Inc.
- Apple Inc.
- Google LLC
- eBay Inc.
- Starbucks Corporation
- Target Corporation
- Home Depot Inc.
- Best Buy Co. Inc.
- PayPal Holdings Inc.
- Visa Inc.
- Mastercard Incorporated
- American Express Company
- Sephora USA Inc.
- Netflix Inc.
- Others
The North America Digital Gift Card Market is segmented as follows:
- Consumer Goods
- Health and Wellness
- Restaurants and Bars
- Travel and Tourism
- Media and Entertainment
- Others
- Retail Establishments
- Corporate Institutions
