Shopify Gift Card Strategy: Drive Revenue and New Customers

Why Gift Cards Are Underused by Shopify Stores

Gift cards are one of the simplest revenue opportunities for Shopify stores — native to the platform, zero inventory risk, immediate revenue recognition, and a proven acquisition channel. Yet many stores either don’t offer them or bury them where customers can’t find them.

Gift cards have three distinct revenue dynamics that make them particularly valuable: the purchase price is paid upfront (improving cash flow), approximately 10–20% of gift card value goes unredeemed (pure profit), and gift card recipients are often new customers who wouldn’t have discovered your store otherwise.

Setting Up Shopify Gift Cards

Shopify offers native digital gift cards on all paid plans. Setup:

• Go to Products > Gift Cards > Create gift card product
• Set denominations (£10, £25, £50, £100 are typical starting points)
• Enable the product and set it to “active” so it appears in your store
• Customise the gift card email — add your logo, brand colours, and a personalised message field
• Add the gift card product to your navigation and ensure it’s discoverable on your homepage during gifting periods

When to Promote Gift Cards

Gifting Seasons (Highest Priority)

• Christmas: Promote from 1 December. Especially push digital gift cards from 20 December when physical products can no longer arrive before Christmas.
• Valentine’s Day: 2–3 weeks before 14 Feb. Gift cards solve the “I don’t know what to get them” buyer problem.
• Mother’s Day / Father’s Day: 2–3 weeks before each date.
• Birthdays: “Not sure what they’d like? A [Brand] gift card lets them choose.” Year-round evergreen messaging.

Last-Minute Window

Digital gift cards are the ultimate last-minute gift — purchasable and deliverable in seconds. Run specific “last-minute gifting” campaigns in the final 2–3 days before any gifting occasion: “Christmas is tomorrow. Sorted in 60 seconds — shop digital gift cards.”

Gift Card Value Design

Shopify allows you to customise the visual design of the gift card email. This matters more than it sounds — a premium-looking gift card email makes the recipient feel like they’ve received a genuine gift, not a last-minute fallback. Include:

• Your brand logo and colour palette
• A gift card code displayed clearly
• The sender’s personal message (if you’ve enabled this)
• Expiry date (if applicable — UK law requires gift cards to be valid for a minimum of two years for most retail)
• A direct link to your store with the code pre-applied

Gift Cards as a Customer Acquisition Tool

Gift card recipients are often new customers. When someone receives a gift card from a friend who already loves your brand, they arrive with built-in social proof and no acquisition cost on your side. Their first order is effectively free to acquire.

To convert gift card recipients into repeat customers:

• When a gift card is redeemed, capture the recipient’s email (they create an account or provide email at checkout)
• Follow up post-purchase with a welcome series — they’ve now experienced your products and are primed to buy again
• A “gift card redemption” segment in Klaviyo targets these new customers with a second-purchase incentive within 30 days of redemption

Corporate and Bulk Gift Cards

Some Shopify stores can tap into a B2B gift card market: companies buying gift cards in bulk for staff rewards, client gifts, or event prizes. If your brand fits this use case (premium position, UK-based company gifts), create a dedicated “Corporate Gifting” page with information on bulk ordering and contact form for custom orders.

Corporate gift card orders often come in at £500–£5,000 per order — significantly higher than typical retail AOV. A single corporate relationship can represent meaningful annual revenue.