The gift card industry in Latin America will continue to grow over the forecast period and is expected to record a CAGR of 9.1% during 2024-2028. Gift card market in the region will increase from US$12.9 billion in 2023 to reach US$20.2 billion by 2028.
The gift card market is expected to record steady growth over the medium term in Latin America. The thriving e-commerce market, coupled with increased investment in digital payments infrastructure, will support the uptake of gift cards in the Latin American region in 2024. Gift card providers are also increasing their investment in the region to further strengthen their position. The industry will also receive growth support from gift card giveaway campaigns in Latin America. Overall, the publisher maintains a positive growth outlook for the industry over the next three to four years.
Gift card firms are experiencing strong growth through strategic collaborations and product launches in Latin America
Amid the increasing adoption of gift cards in the Brazilian market, providers are experiencing a strong growth period, and this trend is projected to continue further over the medium term in 2024. Firms like Givex Brasil have reported strong growth over the last 12 months. The firm, notably, entered into various strategic collaborations to launch new products and expand its distribution network.- Givex Brasil, for instance, partnered with leading jewelry brand Vivara to launch the brand’s e-gift solution in the GivexHub. Furthermore, the firm also entered into a collaboration with WeWork Brasil to develop its gift card program and distribute the digital gift cards in the GivexHub.
- The firm, in 2023, also secured a partnership with one of the leading hospitality chains. As a result, Givex Brasil has added more than 500 locations to its extensive network. As part of its collaboration with iFood, the firm has surpassed BRL 1.5 billion in gift card sales through GivexHub.
The uptake of alternate payment methods to support gift card industry growth in Latin America
Latin America's payment landscape is undergoing a significant transformation driven by shifting consumer behavior and regulatory initiatives. The increasing use of the internet and smartphones has fueled the rise of e-commerce, spurring the adoption of various payment methods like gift cards over the last few years. Regulatory frameworks such as CoDi in Mexico and Pix in Brazil have played a pivotal role in promoting faster, simpler, and more secure digital payments across the region.CoDi in Mexico has streamlined and enhanced instant payments, making them more accessible and convenient for both merchants and consumers. Similarly, Pix in Brazil has incentivized digital payments, challenging traditional methods and fostering the growth of alternate payment solutions. These initiatives, along with others like Transferencias 3.0 in Argentina, have significantly improved accessibility to digital payments, also supporting the growth of the gift card industry.
Global gift card providers have continued to increase their investment in the Brazilian market
With Brazil offering a promising growth opportunity, global gift card providers are increasing their investment in the Latin American market to further strengthen their position in the region.- InComm Payments, the US-based one of the leading gift card providers globally, announced further investment in the Brazilian market in 2023. The investment is part of the firm’s strategy to further strengthen its position in the fast-growing Brazilian gift card industry. The firm, notably, is developing an IT hub in Brazil. The hub will focus on software development and quality assurance automation, among other things.
- Brazil has emerged as one of the strong focus markets for InComm Payments over the last decade. The strong banking system, coupled with a robust middle-class group, InComm Payments is seeing a strong growth opportunity in the retail, financial services, and mobile payment space. The firm, in 2020, also acquired gift card payment processor Todo Cartões.
Gift card market in 2023 was driven a wide range of factors, which supported growth across retail and corporate segments. The primary factors included growth of ecommerce, increased adoption to incentivize employees working remotely, digital gifting, and initiatives undertaken by government, hospitality, and travel industries to revive growth.
This bundled report provides a detailed data centric analysis of gift card market, covering market opportunities and risks across a range of retail categories. With over 75 KPIs at each country level, this report provides a comprehensive understanding of gift card market dynamics, market size and forecast.
This title is a bundled offering, comprising 1 regional and 5 country reports:
1. Latin America Gift Card and Incentive Card Market Intelligence (Databook)2. Argentina Gift Card and Incentive Card Market Intelligence (Databook)
3. Brazil Gift Card and Incentive Card Market Intelligence (Databook)
4. Chile Gift Card and Incentive Card Market Intelligence (Databook)
5. Colombia Gift Card and Incentive Card Market Intelligence (Databook)
6. Mexico Gift Card and Incentive Card Market Intelligence (Databook)
Scope
This bundled offering provides the following detailed gift card market opportunity at country level
Total Spend on Gifts
- By Consumer Segment (Retail and Corporate)
- By Product Categories (13 Segments)
- By Retail Sectors (7 Segments)
Gift Card Market Size by KPIs across Consumer Segments
- Gross Load Value
- Transaction Value
- Unused Value
- Average Value Per Transaction
- Transaction Volume
- Average Value of Card Purchased
- Number of Cards
Gift Card Market Size by Consumer Segment
- Retail Consumer
- Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)
Digital Gift Card Market Size
- By Retail Consumer
- By Retail Purchase Occasion
- By Corporate Consumer
- By Corporate Purchase Occasion
- By Company Size
Gift Card Market Size by Retail Consumer
- By Functional Attribute
- By Occasion
2. Milestone Celebration
3. Self-Use
4. Other
- Value by Purchase Channel
Gift Card Spend by Consumer Behavior and Demographics
- Consumer Purchase Behaviour
- Gift Card Buyer by Age Group
- Gift Card Buyer by Income Level
- Gift Card Buyer by Gender
Gift Card Market Size by Corporate Consumer
- By Functional Attribute
- By Occasion
2. Sales Incentive
3. Consumer Incentive
- By Scale of Business
- Food & Beverage
- Health, Wellness & Beauty
- Apparel, Footwear & Accessories
- Books & Media Products
- Consumer Electronics
- Restaurants & Bars
- Toys, Kids, and Babies
- Jewelry
- Sporting Goods
- Home & Kitchen Accessories & Appliances
- Travel
- Entertainment & Gaming
- Other
- Ecommerce & Department Stores
- Restaurants & Bars
- Supermarket, Hypermarket, Convenience Store
- Entertainment & Gaming
- Specialty Stores
- Health & Wellness
- Travel
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
Gift Card Sales Estimates by Key RetailersReasons to buy
- In-depth understanding of gift card and incentive card market dynamics: Understand market opportunity, key trends and drivers along with five-year forecast (2019-2028) for gift cards and incentive cards in Latin America.
- Develop market specific strategies: Identify growth segments and target specific opportunities across consumer segments and occasions to formulate your gift cards strategy; assess market specific key trends and risks.
- Get insights into consumer attitude and behaviour in Latin America: Understand changing consumer attitude and behaviour and boost ROI. Get detailed insights into retail spend through gift cards for both retail and corporate consumers.
- Get complete perspective through six essential KPIs: number of cards in circulation, load value, unused value, average purchase value, average value per transaction, and value of transactions.
- Distribution channel insights: Understand gift cards sales dynamics by channels - online vs offline and by 1st party vs 3rd party sales.
Table of Contents
Companies Mentioned
- Alkosto
- Ara
- Carrefour Hypermarket
- Carrefour Market
- Carulla supermarkets
- Changomas
- Coto Supermercado
- Cruz Verde
- DIA
- Disco
- Easy Cencosud
- Éxito hypermarkets
- Falabella
- Jumbo Cencosud
- K-Tronix
- La Anónima
- Lider Express
- Lider Hiper
- MercadoLibre
- Olimpica
- Paris Cencosud
- Ripley
- Santa Isabel Cencosud
- Sodimac
- Sodimac Homecenter
- Superbodega Acuenta
- Unimarc
- Vea
Table Information
Report Attribute | Details |
---|---|
No. of Pages | 1608 |
Published | February 2024 |
Forecast Period | 2024 - 2028 |
Estimated Market Value ( USD | $ 14.3 Billion |
Forecasted Market Value ( USD | $ 20.2 Billion |
Compound Annual Growth Rate | 9.1% |
Regions Covered | Latin America |
No. of Companies Mentioned | 28 |