Consumers love giving and receiving gift cards during the holiday season. In fact, the average holiday shopper spent $155+ on gift cards last year*. However, 78% of people find themselves unable to use these thoughtful gifts because they’ve left them behind when they need them most*. PayPal and Blackhawk Network, a leading prepaid payment network that supports the distribution of gift cards issued by top brands, are now working to solve that problem and enhance the gift card experience in general by bringing gift card services to the digital wallet.
This collaboration will provide an easy way for consumers to both purchase gift cards and use them right from within the PayPal app – beginning in the first half of 2014. Consumers will also be able to reload gift cards from the app, check balances and, of course, be able to keep all of their gift cards in one handy place.
This is yet another example of PayPal working with industry leaders to help bring merchants and consumers together in a way that makes life easier for the consumer and helps to increase sales and loyalty for the merchant.
In addition to collaborating on gift cards, PayPal and Blackhawk will also work together in other areas:
- Distribution for the PayPal reloadable debit cards across a broad network of physical retail locations
- Integration of Blackhawk Network’s ReLoadIt network with PayPal’s prepaid debit and reloadable solutions, delivering convenient cash-in and account top-up solutions to PayPal consumers at tens of thousands of Blackhawk network retailer location
Gift and Prepaid products are going through exciting changes to give consumers and merchants more utilities. Stay tuned for more innovation from PayPal in the coming months.
*Source: BHN research