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Gift cards market size to exceed USD 3.81 trillion by 2034

Friday, August 29, 2025 — 16:17:44 (UTC)

Ottawa, Aug. 29, 2025 (GLOBE NEWSWIRE) -- The global gift cards market size surpassed USD 1,100 billion in 2024 and is projected to rise from USD 1,240 billion in 2025 to nearly USD 3,810 billion by 2034, expanding at a double-digit CAGR of 13.24% from 2025 to 2034. The gift cards market is driven by the rising adoption of digital payments, increasing e-commerce penetration, and growing demand for personalized gifting solutions.

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Gift Cards Market Highlights

The global gift cards market is projected to reach over USD 1.42 trillion in 2026. The market is growing at a notable CAGR of 13.24% from 2025 to 2034. North America accounted for the largest market share of 46.71% in 2024. By type, the closed-loop gift cards segment held the major market share of 39.54% in 2024. By type, the e-gift cards segment is expanding at a solid CAGR of 16.23% from 2025 to 2034. By application, the closed-loop gift cards segment generated the highest market share of 27.88% in 2024. By application, the e-gift cards segment registering a notable CAGR of 15.42% between 2025 and 2034. By type of consumer, the individuals (B2C) segment captured a major market share of 59.10% in 2024. By type of consumer, the businesses/corporate (B2B) segment is expected to grow at a strong CAGR of 14.61% from 2025 to 2034. By distribution channel, the online sales segment held the largest market share of 61.35% in 2024. By distribution channel, the offline sales segment is growing at a CAGR of 9.18% from 2025 to 2034. Gift Cards Market Size Analysis by Segments - (USD Billion) 2022 to 2024

Gift Cards Market Size (USD Billion) by Application 2022 to 2024

Application 2022 2023 2024 Consumer Gifting 237.56 270.04 306.69 Corporate Gifting & Incentives 183.87 217.66 258.39 Online Shopping & E-Commerce 148.70 176.41 209.88 Travel & Hospitality 69.06 80.96 95.19 Food & Beverages 55.79 65.67 77.52 Entertainment & Media 53.34 62.20 72.76 Healthcare & Wellness 33.44 39.98 47.98 Others (Charity & Donation, etc.) 22.78 26.82 31.59

Gift Cards Market Size (USD Billion) by Consumer Type 2022 to 2024

Type of Consumer 2022 2023 2024 Individuals (B2C) 484.01 560.35 650.08 Businesses/Corporate (B2B) 284.50 336.96 399.86 Institutional/Non-Profit Organizations 36.03 42.42 50.06

Gift Cards Market Size (USD Billion) by Distribution Channel 2022 to 2024

Distribution Channel 2022 2023 2024 Online Sales 476.94 568.67 674.87 Offline Sales 327.59 371.06 425.13

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Gift Cards Market Overview

Gift cards are used as a form of prepaid product that gives freedom of choice to people on the gifts they want, thus their great popularity as personal presents or corporate giveaways. With the rise of digital transactions and preference for convenient and flexible gifting options globally, the gift cards market has become a fast-growing part of the global payments and retail ecosystem.

The increasing popularity of online stores, along with the rise in cashless transactions, has substantially contributed to the growth in the consumption of both physical and electronic gift cards. The technological innovations like mobile wallets, gifting via apps, and linking with a loyalty program are driving consumer experiences in a way that makes gift cards a multipurpose financial tool with a continuing market growth.

Latest Trends in Gift Cards Market:

1. Digital-First: Virtual Gift Cards Lead: Instant and eco-friendly, digital and e-gift cards now command nearly half of the overall market.

2. Mobile Wallet Integration: Consumers increasingly store and redeem gift cards via mobile wallets like Apple Pay and Google Wallet, enhancing convenience and security.

3. Hyper-Personalization via AI: AI-driven platforms deliver tailored gift card designs, messages, and suggestions based on recipient behavior and preferences.

4. Corporate Gifting & Loyalty Integration: Brands and employers are leveraging gift cards within loyalty and incentive programs to drive engagement and retention.

5. Self-Use for Budgeting: A growing number of consumers buy gift cards for themselves as a means to manage spending and enforce personal budgets.

6. Sustainability Push: Demand for eco-conscious gifting has surged, prompting brands to shift toward digital cards and biodegradable physical options.

7. Omnichannel Redemption: Consumers expect seamless gift card usability across online stores, mobile apps, and physical locations.

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Gift Cards Market Opportunity

Rising Integration of Digital Technology:

The pace of digital technology adoption and the transition to online research have provided a great chance to develop e-gift cards in the international market. This immediate availability makes the customers feel more convenient and also provides them with a smooth experience of the givers and receivers.

E-Gift cards offer cost-saving benefits to a retailer as it does not require printing, packing, and shipping fees. Additionally, they are digital, thus contributing to sustainability, as they use less plastic and paper as the world keenly concentrates on environmentally friendly practices.

Gift Cards Market Challenge

Lack of Consumer Acceptance:

Although gift cards are experiencing an intensifying popularity, reliability in their use continues to impede consumer trust and usage. The fraud and theft, especially in weak security or activation mechanisms, is one of the major worries. Besides, the consumers are easy prey since cybercriminals usually take advantage of these loopholes and use them to exploit consumers to their benefit and financial gain without recourse or redress. This risk leads to a lack of confidence to purchase by the potential buyer, and it discourages repeated purchases. Thus, an absence of powerful security measures and user-friendly technical performance are the main drawbacks, which can hinder the expansion of the gift cards market in the long-term perspective.

Case Study: Houston Police Union vs. Kroger – The Hidden Dangers of Physical Gift Card Fraud

Gift cards are often considered convenient, trusted, and secure by both consumers and corporations. However, a recent case in the United States demonstrates how vulnerabilities in distribution and activation systems can undermine this trust.

The Incident:

In August 2023, the Houston Police Officers’ Union purchased four $100 Visa gift cards from a Kroger supermarket in Texas. The cards were intended as rewards for union members. When the cards were later redeemed, they were discovered to have only $2 remaining on each, suggesting that criminals had drained the balance before the cards were ever sold.

The union has since filed a lawsuit against Kroger, claiming the retailer failed to implement adequate security measures despite being aware of widespread fraud schemes targeting in-store gift cards. These scams often involve thieves tampering with cards on racks, recording their numbers, and then waiting until after activation to drain the funds.

Key Insights:

Retailer liability: The lawsuit underscores how retailers can be held accountable if they fail to safeguard gift cards. Consumer trust risk: Even organizations like a police union fell victim, highlighting how fraud erodes public confidence in physical cards. Security measures needed: Experts suggest retailers move cards behind counters, use tamper-proof packaging, and enhance real-time monitoring of activations. Industry Impact:

This case is a powerful reminder that while digital gift cards are gaining dominance, physical cards remain highly susceptible to fraud if retailers do not invest in security. For the global market, it raises the stakes around regulatory standards and fraud prevention technologies.

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Gift Cards Market Scope

Report Attributes Key Statistics Market Size in 2025 USD 1.24 Trillion Market Size in 2025 USD 1.42 Trillion Market Size in 2031 USD 2.61 Trillion Market Size by 2034 USD 3.81 Trillion Growth Rate 2025 to 2034 CAGR of 13.24% Leading Region in 2024 North America Fastest Growing Region Asia-Pacific Base Year 2024 Forecast Period 2025 to 2034 Segments Covered Type, Application, Consumer Type, Distribution Channel, and Region Regions Covered North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa Key Players InComm Payments LLC, Walmart Inc., Givex Corporation, American Express Company, Paytronix Systems, Inc., Qwikcilver Solutions Pvt Ltd., Amazon.com Inc., PayPal, Inc., Fiserv, Inc., Blackhawk Network and Others.

Gift Cards Market Regional Analysis:

How Big is the U.S. Gift Cards Market?

The U.S. gift cards market size accounted for USD 447.05 billion in 2025 and is expected to grow from USD 507.06 billion in 2026 to nearly USD 1,183.27 billion by 2034. The market is poised to grow at a strong CAGR of 11.42% from 2025 to 2034.

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How North America Dominated the Gift Cards Market?

North America dominated the gift cards market in 2024, attributable to its consumer-oriented society and the culture of exchange of gifts in the form of gift cards to celebrate weddings, graduations, birthdays, and holiday events. Increasing gift card use in the region is being actively encouraged by retailers and corporations who are employing loyalty programs, seasonal incentives, and promotional offers to make the use of gift cards even more popular.

The U.S. experiences a considerable growth rate and is an important growth driver in North America, where digital gift cards are rapidly increasing in popularity due to the popularity of mobile payments, online shopping, and purchases using an app. The development of integrated platforms enables and promotes the use of gift cards with digital wallets as well as e-commerce.

Asia Pacific Gift Cards Market Trends:

Asia Pacific experiences the fastest growth in the market during the forecast period due to the implementation of digitalization and changing consumer behavior. The gift cards are strongly appealing to the customers in this region because the gift cards offer flexibility and customization, giving recipients so many choices to make and obtain products or services.

Online retailing has also shifted the retailing landscape across the Asia Pacific region, and gift cards are a common aspect of promotional schemes on websites. Moreover, the cultural change to modern gift-giving activities, coupled with great festive and celebration traditions, is leading towards soaring growth in the market, with Asia-Pacific as the fastest-growing market in the gift card market.

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Gift Cards Market Segmentation Analysis:

Type Analysis

The closed-loop gift cards segment dominated the gift cards market in 2024, attributed to their extensive adoption by corporate institutions and retailers as a viable means to appreciate their employees, customers, and other promotional campaigns. Closed-loop 0cards are often used by businesses as a medium of creating holiday sales, loyalty programs, and rewards, and play a major role in influencing consumer spending in certain retail ecosystems. These cards will be extra benefits like savings, extra credit, or a whole package, rewards that encourage the consumer to spend more and come back to the retailer issuing the card, enhancing brand loyalty, and revenue.

The e-gift cards segment is the fastest-growing in the market during the forecast period, driven by the increase in demand for convenient, environmentally friendly, and immediately available gift distribution solutions.

E-gift cards can also positively affect the environment by being cheaper to produce, using less paper, and avoiding the packaging and shipping typically required with physical cards, a topic that has gained increased attention in the face of plastic waste. E-gift cards are fast becoming the most preferred gifting option, on account of their speed, flexibility, and sustainability, making them the driving force of the segment.

Application Analysis

The consumer gifting segment held the largest share in the gift cards market in 2024. Gift cards are a favored retail option among consumers since they develop personal relationships, build loyalty, and trust. Retailers and other companies can take the consumer gift plans as a method of improved interaction with their clients and maintain contact with them before, during, and after the holidays. Gift cards and their convenient properties to allow the recipient to choose a desired product or service have entrenched them as one of the most convenient and valued gifting mediums. This increasing trend has established consumer gifting as the major segment application section within the market.

The healthcare and wellness segment experiences the fastest growth in the market during the forecast period, owing to an upsurge in the concentration on healthy lifestyles and employee welfare programs. Wellness gift cards to cover memberships at the gym, spa experience, nutrition planning, or health products can be given to employees to offer them personal wellness choices that enhance their wellness. Health and wellness gifts appeal well to the rising trend in which consumers are focusing on self-control, fitness, and prevention of diseases. This increased interest in considering meaningful and healthy gift-giving options is shifting wellness-centered gift cards into a very appealing category.

Type of Consumer Analysis

The individuals (b2c) segment dominated the gift cards market in 2024, motivated by the growing popularity of the convenient and personalized methods of gifting. Gift cards are gaining popularity as birthday, wedding, and festival gift ideas since they give the beneficiaries free will to determine the right products or services that can meet their demands. Online shopping and mobile wallets added further fuel to the popularity of gift cards, making them one of the most popular options when it comes to treating someone to a gift. Consequently, the B2C segment is dominant in the market with increased consumer demand for flexibility, convenience, and individualization of gifting solutions.

The businesses/corporate (b2b) segment is the fastest-growing in the market during the forecast period, due to the growing importance of gift cards as a tool to reward staff members, clients, as well as business partners. Gift cards are becoming part and parcel of organizations' reward and recognition programs to increase the morale of their employees, cultivate employee productivity, and improve relations at the workplace. Likewise, businesses give gift cards to their clients and partners as a sign of appreciation to strengthen the business relationships with them and lead to their long-term collaboration. Besides, usage of e-gift cards by companies is also on the increase as they are easier to distribute and track.

Distribution Channel Analysis

The online segment held the largest share in the gift cards market in 2024, demonstrated by the high-velocity growth in e-commerce and the increasing interest in digital forms of payment. Online programs have the added benefit of exceptional flexibility and convenience in that consumers can buy, mail, and apply gift cards by using mobile applications, emails, or internet stores. Online gift cards are also compatible with the shift towards cashless transactions and engage more in using smartphones; therefore, gift cards are quite conveniently available to digitally savvy customers.

The offline segment experiences the fastest growth in the market during the forecast period, as consumers prefer to have tangible and personalized gifting experiences. There is a significant role to play by supermarkets, departmental stores, and retail chains, which provide gift cards as gifts as part of promotional offers, through discounts, bundled offers, or other incentives in case of purchases that exceed a specific amount. Physical gift cards can also be effective marketing tools because they are highly promoted at retail stores that attract those buying gift cards on impulse.

Gift Cards Market Leading Companies

Amazon.com, Inc. Walmart Starbucks Coffee Company McDonald's Corporation Target Corporation Netflix Inc. Spotify AB Microsoft Sony Corporation Marriott International, Inc. Airbnb, Inc. Zalando Walgreens Co. H&M Group InComm Payments American Express Company Blackhawk Network Other Recent Developments:

In April 2025, Starbucks Japan released two new Mother's Day collections of pink coloration to match warm colors and flower-like patterns. The exclusive merchandise is available both in-store and online, allowing customers to find exclusive merchandise during the season. In August 2024, Shift4 acquired the Givex Corp., a provider of global gift card, loyalty, and POS solutions, to prop up its market share in the markets in Turkey and the US in the hospitality industry and the retail industry. The transaction broadens Shift4's omnichannel commerce functionality to over 122,000 points of sale locations in over 100 countries. In January 2024, Roblox collaborated with Blackhawk Network (BHN) to introduce local currency value digital gift cards in EUR, CHF, and BRL. Gift card customers can now buy Roblox gift cards in their local currencies at Roblox.com/giftcards. Gift Cards Market Segments Covered in the Report

By Type

Closed-Loop Gift Cards Open-Loop Gift Cards E-Gift Cards Physical Gift Cards Promotional & Loyalty Gift Cards Others (Cryptocurrency Gift Cards, etc.) By Application

Consumer Gifting Corporate Gifting & Incentives Online Shopping & E-Commerce Travel & Hospitality Food & Beverages Entertainment & Media Healthcare & Wellness Others (Charity & Donation, etc.) By Type of Consumer

Individuals (B2C) Businesses/Corporate (B2B) Institutional/Non-Profit Organizations By Distribution Channel

Online E-Commerce Company Website Offline Supermarket Specialty Stores By Region

North America Asia Pacific Europe Latin America Middle East & Africa Thank you for reading. You can also get individual chapter-wise sections or region-wise report versions, such as North America, Europe, or Asia Pacific.

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