2024 is set to become the most ‘digital’ Christmas in history, with more gifts being given electronically than ever before. From digital gift cards to online experiences, UK shoppers are embracing the ease and flexibility of digital presents, making this Christmas one to remember for tech-savvy gift givers.
Gift cards, a popular choice for 33 percent of UK adults during the festive period, are now more likely to be digital than physical. In the first half of this year, digital gift card sales surpassed physical cards for the first time, with digital cards now representing 52 percent of the market.
Research* by the Gift Card and Voucher Association (GCVA) reveals that this trend goes beyond just gift cards. Around 30 percent of people now send digital presents to at least some of their friends and family, with the number rising to 41 percent for younger shoppers aged 34 or under. And recipients are thrilled – half of people (50 percent) say they are happy to receive a digital gift, with 22 percent saying they are very happy. Only 9 percent say they would be ‘very unhappy’ to receive a digital present.
The appeal of digital gifts is clear, with 68 percent of people who prefer them citing convenience and ease of use. The flexibility to choose what you want (59 percent) and the eco-friendly nature of digital gifts (22 percent) are also major reasons behind their growing popularity. Plus, with 30 percent of people mentioning the ability to buy and gift digital presents instantly, digital gifts are proving to be the perfect solution for last-minute shoppers.
The most popular digital gifts include online shopping gift cards (70 percent of UK adults love them) and digital tickets for events (55 percent). Digital subscriptions or games are particularly popular among 16- to 24-year-olds, with 20 percent naming them as their preferred digital gift.
However, even as digital gifting becomes the norm, many givers and recipients still want the special moment of gifting’, meaning physical gift cards remain very popular in the holiday period, or at special occasion, and new traditions are emerging to make these presents feel special and personal. Among the 30 percent of UK adults who send digital gifts, 43 percent create personalised cards, often featuring photos or custom messages. Over a quarter (26 percent) wrap up QR codes or certificates, while some even go as far as creating videos to ‘reveal’ their gifts. To make spending their gift cards easier for consumers, most gift cards can be spent in store or online, whether gifted physically or digitally, making gift cards an excellent choice.
Hannah Shimko, Managing Director of the GCVA, comments: “We’ve seen the popularity of digital gifts grow dramatically in recent years, driven both by technology and an evolution in our gift habits and rituals. As we shop online, it makes sense that many of us also now choose to gift online. At the same time, many recipients tell us that they are more than happy with receiving a digital gift.
However, what’s also clear is that we retain a desire for a moment of gifting in person. gift givers – especially at Christmas – are getting very creative in how they bring their present to life and create some theatre on Christmas Day = whether a physical or digital gift or giftcard. We see strong demand for physical gift cards that represent the true present – such a shopping trip, day out or other fun experience – which can be easily slipped into a card or gifted alongside other items.”
While digital gifts are rapidly becoming the norm, there’s still a generational divide. 83 percent of people aged 65 or over have never bought a digital gift, but older generations are still open to receiving them. In fact, 70 percent of over-65s say they’re happy to receive a digital gift, and only 10 percent insist on receiving only physical presents.
*Research conducted with a nationally representative sample of 2,000 UK adults.
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