Gift Card Market Size & Share 2025 - 2034

Gift Card Market Size

The global gift card market size was valued at USD 744.1 billion in 2024 and is estimated to grow at CAGR of 12.5% to reach USD 2.39 trillion by 2034. The market is growing due to the rising consumer demand for convenient gifting options and increasing use of open looped gift cards by commercial sector to attract larger customer base.

The growing need for suitable gifting options on various occasions such as festive seasons, holiday seasons, special function and occasions between consumer is driving the gift card market. Moreover, consumer sought for personalize gifts with names, photos and message to make gifts more meaningful and unique, which is a strong selling point for these gifting option especially for special occasions like birthdays and anniversaries. According to statistics in 2024, 64% of the consumer purchase gifts card during holiday seasons like Christmas and New year also 43% of the consumer purchase gifts card for birthday presents.
 

The commercial sector especially the restaurants & bars, and hotels, uses gifts cards as a gifting option for their customers. Giving gift card to their customers not only enhances customer satisfaction but also increases brand loyalty among consumers. For instance, 51% of the customers would prefer to revisit the same store after receiving a gift card. Moreover, gifts card are increasingly used by corporate institutions as giving option for their employee during a corporate event like awards functions which fuels the market growth of gift cards.
 

The gift card market is also growing due to the rising partnership and collaboration between gift card manufacturers and corporate institutions. For instance, in 2024 Google announced its partnership with pine labs to manage gifts cards within Google Wallet app. Google recently launched its Google wallet app in India and with this collaboration the tech giant aims to use Pine labs expertise in brand gift cards along with Google’s technology to help manage gift cards. Similarly Raise, a prominent player in gift card market announced its partnership with Bilt to integrate gift cards into the Bilt Rewards program in 2025.
 

Gifts cards is gaining traction as the most convenient gifting options out of all other. Gift card manufacturers should focus on collaboration and partnership with leading corporate institution to gain and competitive edge over their competitors. Also, it is profitable for them to collaborate with leading e-commerce platforms such as Amazon and Flipkart for their product distribution to reach wider customer base.
 

A gift card is form of toke or prepaid card that contain specific amount of money which can be utilized by the customer for variety of purchases. Store gift cards are designed to be used at specific merchants or retailers, while general-use prepaid gift cards are not affiliated with any specific merchant and can also be used to withdraw cash.
 

Gift Card Market Trends

• Due to the rise of digital payment method like mobile wallet like PayPal and Phone Pe has led to an increase of digital gift card purchase. Digital gift card offer high flexibility as they can be instantly received by the consumer through message or email. For instance, out of all the gifts card delivered in 40% of them are delivered through mail or text.
   
• Rise of experiential gifts cards can be seen in the industry. Growing consumer desire for memorable experience over material experiences is driving the demand for experiential gifts cards in the marketplace. Experiential gifts cards like travel, dining, or spa voucher are appealing to the customers and enhance their overall experience.
   
• There has been a rise of data analytics in gift cards market. Business use data analytics to offer tailored gift card recommendations based on individual preferences. This is a form of extended marketing strategy used by the business to enhance overall shopping experience and increase customer loyalty by offering specific and personalized gift cards to their customer. For instance, according to statistics 71% of the business reported increase brand loyalty after offering personalized gifting solutions.
   

Gift Card Market Analysis

Based on type, the market is bifurcated into Closed-loop gift cards and Open-loop gift cards.
 

• The closed looped gift cards market was valued at 326.6 billion in 2024. The market in this segment is driven due to the increasing use of these gift cards by corporate institution as a token of appreciation for their employees. Moreover, these cards are used as a tool for promotion by business such as holiday sales, loyalty programs, and employee rewards. They are often bundled with discounts or additional credit, attracting customers to spend more.  
   
• The open-loop gift card market is growing at a decent pace and is anticipated to reach market size of USD 1,236.7 billion in 2034. The market in this segment is growing due to the wider acceptance of these gifts card at various marketplace.
   

Learn more about the key segments shaping this market

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Based on form, the gift card market is segmented into Virtual and Physical gift cards.
 

• The virtual gift card segment held a market share of 48.7% for the year 2024. The growing preference for convenience & flexible, instant, and environment-friendly gifting options is driving the growth of the digital gift card market. Moreover, rising contactless payment app is also catering to the growth in this segment of the market.
   
• The physical gift card industry is expected to grow at a CAGR of 10.5% for the forecast period. Attractive displays and packaging of physical gift cards coupled with consumer preference for tangible gifting experience is driving the market growth.
   

Based on distribution channel, the market is segmented into Online and Offline.
 

• The online gift card market was valued at USD 523.4 billion for the year 2024. The 24/7 availability of the product and convenience of shopping from any place at any time make the online distribution channel much more preferred by the consumer which is driving the market growth in the segment. Moreover, the growing penetration of smartphone devices and rising internet connectivity directly fuels the market for online distribution channels. For instance, according to Statista, there are 4.2 billion smartphone users around the world in 2024 and this number is expected to reach 6 billion by 2029.
   
• Moreover, the rise of e-commerce platforms like Amazon, Walmart, etc. directly contributed to the market segment growth as these platforms incorporate various market strategies like cashback and discounts which appeal to price-sensitive customers, which also fuels the market growth.
   
• The offline gift card market held a market share of 29.7% in 2024. Customers who prefer physical gifts and tangible gifting experiences generally opt for offline distribution channels which propel the growth of the segment. The market is also driven by increasing promotional activities by supermarket operators who offer gift cards as a token for the purchase of a certain amount of groceries.
   

Based on end-user, the gift card market is divided into Individual and Commercial.
 

• The individual end-user segment of the market is growing at the fastest CAGR of 13.5% for the forecast period. Rising demand for personalized gift card for various occasion such as birthdays, function, and festive season is driving the market for this segment.
   
• The corporate end-user segment held the largest market share of 76.8% in 2024. Rising demand from the corporate sector for viable gifting & rewarding option to their employee is fueling the market growth.
   

• The U.S. gift card market was valued at USD 223 billion for the year 2024. The market in this region is growing due to the presence of major gift card manufacturers like Blackhawk Network, Inc. and Taylor Corporation. Moreover, growing partnerships and collaboration between corporations and gift card manufacturers in the region is expected to further boost the market growth. For instance, in 2023 Blackhawk Network (BHN) is expanding its relationship with European branded payments company Recharge.com to distribute gift cards digitally through BHN’s vast network in the US and Canada.
   
• The U.K. gift card industry held a market share of 23.5% in Europe and is growing at a significant rate for the forecast period. The growing use of digital payments app and the growth of e-commerce platform is expected to drive the market of gift cards in the country.
   
• The German gift card market is expected to reach a market size of USD 135.9 billion in 2034. The increasing prevalence of online shopping, coupled with the incorporation of gift cards by the corporate sector in their employee incentive program are the major factors driving the market.
   
• The gift market in China held the largest share in Asia-Pacific region and was valued at 46.6 billion in 2024. The market is driven by the rising internet and growth in e-commerce platform.
   
• The India gift card industry is growing at a significant rate and is expected to reach market size of USD 59.3 billion in 2034. The market is propelled due to the rapid digital transformation and widespread adoption of digital payment technology such as digital wallets and UPI.
   
• The Japan gift card market is growing at the fastest CAGR of 13.6% for the period 2025-2034 in the Asia-Pacific region. The major factor responsible for the growth of the market in the country is the growing preference for personalized gift cards and rising e-commerce platform in the country.
   

Gift Card Market Share

The gift card industry is fairly fragmented due to the presence of a large number of both multinational operators and strong regional players. Amazon.com Inc., Blackhawk Network, Pine Labs Pvt, Walmart Inc., and Lowe's Companies, Inc. are the top 5 companies accounting for 40%-45% of the market.
 

The players in this market compete with one another through differentiated offering, sponsorship, collaboration, and geographical expansion. For instance, in October 2024 Blackhawk Network announced its collaboration with the DoorDash to expand the food delivery platform’s US and Canadian gift card programs. DoorDash is also leveraging BHN’s SaaS-based B2B gift card program to offer gift cards in bulk to businesses looking to incentivize customers, reward employees, fundraise and drive brand engagement.
 

Gift Card Market Companies

Some of the eminent market participants operating in the gift card industry include:

• Amazon.com Inc.
• Blackhawk Network
• Pine Labs Pvt.
• Walmart Inc.
• Lowe's Companies, Inc.
• Premier Gourmet
• Visa Inc.
• Mastercard Incorporated
   

As the demand for personalized gift card is growing due to the increasing growth of e-commerce website Blackhawk Network increasingly collaborating with such platform to increase its market presence and strengthen its distribution network. For instance, in 2024 Blackhawk Network announced its collaboration with Instant Commerce platform Gopuff to enables customers to order physical gift cards from a variety of leading brands for instant delivery along with other items.
 

 Gift Card Industry News:

• In May 2024, Pine Labs Pvt. announced its partnership with the tech giant Google for seamless integration of its gift card product with Google wallet platform which was recently launched in India.
   
• In December 2024, global branded payments provider Blackhawk Network (BHN) has partnered with messaging app Snapchat to offer physical gift cards for their Snapchat+ subscription tier. Snapchat+ gift cards are available now online and in-store at select major retailers nationwide via BHN’s expansive distribution network.
   

The gift card market research report includes an in-depth coverage of the industry with estimates and forecast in terms of revenue in USD Billion from 2021 – 2034 for the following segments:

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Market, By Type

• Closed-loop gift cards
• Open-loop gift cards

Market, By Form

• Virtual
• Physical

Market, By Distribution Channel

• Online
  • E-Commerce
  • Company Website
• Offline
  • Supermarket
  • Specialty Stores

Market, By End Use

• Individual
• Commercial
  • Corporate Institution
  • Fashion & Lifestyle
  • Gaming & Entertainment
  • Online Streaming
  • Hospitality & Travel
    • Dining & Restaurant
    • Travel & Hotel
    • Spa & Wellness
  • Education
  • Non-Profit & Charity
  • Others

The above information is provided for the following regions and countries:

• North America 
  • U.S.
  • Canada
• Europe 
  • Germany
  • UK
  • France
  • Spain
  • Italy
  • Netherlands
• Asia Pacific 
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America 
  • Brazil
  • Mexico
  • Argentina
• Middle East and Africa 
  • Saudi Arabia
  • U.A.E.
  • South Africa