Summary: In many corporate environments and social & family situations, cash is not the best choice for incentive. Vanilla visa gift card becomes an obvious choice in these cases.
Giving gifts is a great expression that you care. At the same time, choosing gifts is a big challenge. Cash seems like the easy way out, but a gift card is a much better choice than cash. There are many reasons that a vanilla visa gift card beat cash as a gift an any day.
Let us first look at how gift card is a better choice than cash in corporate environment.
For starters, cash once spent, is gone. There is nothing for the recipient to remember the occasion of receiving the gift by. The gift card is something that even if fully used, the card plastic remains with you. You can even order gift cards with custom message which the recipient will cherish forever. Especially in corporate environment, the gift cards also have a certain viral value, with employees discussing many aspects of card usage with each other.
In the corporate scenario, gift card is a more ‘gift like’ option. A cash incentive has the risk of creating a perception of alteration to compensation plan. Gift card instead continues to be looked at as a one-time gift option. Similarly, in some cases a cash incentive does not seem like the socially acceptable choice. Here a vanilla visa gift card becomes the best choice for both employer and employee.
Finally, in corporate scenario, gift cards also work as a brand promotion merchandize. Every time they swipe the gift card in public, the corporate brand gets extra publicity for free.
Let us now look at how gift card is a better choice than cash in a family or social environment.
Gift card is a guilt free spending method. All cash spends leave you with a twinge of letting something go in return to get something. Gift must be guilt free. Gift card does not create any such twinges. Further if you are helping a family member achieve some kind of financial goal, a straight cash gift might feel like a handout to them. This creates a feeling that you are challenging their dignity. A gift card has no such stigma attached to it. It’s a gift and can be used in any way they prefer.
Gift card can also be used to create a visible incentive for your children to study harder. This may seem unconventional, but it works. Get a prepaid card and show it to your children. Tell them that it is lying right in front of them and they can have it once they have achieved a personal or educational goal and see them work much harder to achieve it.
Basically, a gift card achieves much more than cash, without posing any of the challenges associated with cash handling.