Gift cards or gift vouchers have grown in recognition of late amongst employers as an enticement tool. The gift voucher market has developed radically of late. Employers usually give them out via motivation schemes, even though many employees now get vouchers through flexible advantages or voluntary benefits programmes.

At present, apart from paper vouchers, there are also e-vouchers, electronic gift cards, voucher codes, and even distributed via text messages voucher cheques. Pre-paid debit cards are another option. Here are few reasons as to why gift cards are better than cash:

• Trophy Value:

Gift cards are considered as being more unforgettable in creating a lasting reminder of an accomplishment.

• More Discrete: 

Society frequently finds it rude to talk about cash awards but conferring gift cards is seen to be more socially acceptable.

• Word of Mouth: 

Employees are prone to share this achievement with others and talk about what they will be redeeming the gift cards on.

• Not compensation:

Gift cards are not considered as compensation, which is typically recognized by cash rewards.

• More Discounts: 

A gift card benefits over cash as it increases the chances of saving more on a discount. For instance, you are planning to  buy flipkart gift card or you already have the card with you. In case you have received gift card worth Rs.500. Now, in case there is Christmas Day Sale you find your favourite speaker on sale. It costs Rs.800 only from an original of Rs.1300; you also have your free Amazon gift cards with you. So, the speaker which would have originally cost you like Rs.1300 just cost you Rs.1000 less.

• Advantageous For Guilt-Free Spending: 

No more shame while shopping. There have been times when you wanted a specific product from the store, but they are too expensive. But that free gift card that you earned helps you save a whooping amount of money. A gift card guarantees that you do not feel culpable every time you want to purchase a gift for yourself. So, there is ample of reasons to pamper yourself. This gift card gives you the chance to buy what you wanted without the need to rethink your investment.

Employees can also be offered gift cards if they meet an approved set of performance targets in one, two or three months. This is certainly an incredible tool to enhance motivation all through the year. 

Frequently, employees are offered only yearly targets which add up in the direction of their pay evaluation. This can indicate that workers are not specifically motivated to attain those objectives in the first half of the year.

If you use gift cards to motivate motivation amongst your employees, there will be rewards on both sides. Your employees will feel more highly valued for their contribution and their skills to your business and this will lead to enhanced efforts at work. Your business will be rewarded with enhanced productivity, a better-off workforce, and an improved staff retention rate.

Thus, now you know why we prefer gift cards more than cash or other types of gifts.