Gift Cards - the Gifts that Stop Giving

What's all the hype around giving gift cards? Of course it saves time (and thought). And receiving one can be a lot better than getting a hideous sweater from Aunt Nellie.

A spot on the news this morning defended, "Oh no, gift cards are NOT impersonal. But don't give cash anymore, because cash is impersonal."

Huh?? 

Gift cards, on the surface, seem harmless enough. But c'mon, it's a racket.

My 13 year-old son received a $40 gift card last December and he noted that the card's expiration date was a year away. He, unlike my other kids, likes to take his time deciding what to spend his money on.

So on a recent trip to the mall, he popped into the researched store of his choice to buy the researched item of choice and, low and behold, the store clerk informed him that his "gift" value had decreased by $12 due to the time elapsed since purchase.

Are you kidding me? I understand it dropping to zero on the expiration date, but depreciating its value during its valid period is lousy. Try cheering up a broken-hearted 13 year-old who cannot see how this is fair (hint: it isn't).

For family, cash is possibly still a better gift than a gift card with a squirrely policy.

Definitely, before sending your clients a gift card, check the policy!  Do you want them to have this sort of experience when they cash in your gift?

Maybe just send them a good old-fashioned bottle of wine or a great book, instead...

Comments

[Ed Kless]

I like getting gift cards, but agree that for clients they are a no-no. I like the book idea.

One other idea we did at my firm was to make a charitable donation in the name of our clients to our not for profit clients. Both really liked the idea.

[Ron Baker]

I've given gift books, but most people have a tendency not to read them...

[Mike Marn]

The "declining value" system is outrageous, and awfully hard to justify. Perhaps in restaurants we should pay less for our entree for each minute they don't bring it to us. (Leading to an increase in steaks ordered "well-done", I'd wager...)

The gift card ought to INCREASE in value to reflect the fact that the company has the money already (and is no doubt using it.)

My new policy will be to make a point of asking, and refusing to buy the card if it DOES decline.

You ought to build a nice little "human interest" story around your disappointed son and get it in the papers--not just to shame them into honoring it, but to discourage others from the practice.

[Mona Libhart]

The other day I witnessed an incident at a Macy's store where a couple was not allowed to use the balance of their gift card because it had "expired". I'm researching gift card practices in order to write a letter to the editor to a couple newspapers. This is outrageous. The manager on duty was cut and dry, and very unpleasant. I thought management personel could override these things to make customers happy.