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Gift Card Market to Grow by USD 1.33 Trillion (2025-2029), Boosted by E-commerce Growth, AI Driving Market Transformation – Technavio

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NEW YORK, Feb. 7, 2025 /PRNewswire/ — Report with the AI impact on market trends – The global gift card market size is estimated to grow by USD 1.33 trillion from 2025-2029, according to Technavio. The market is estimated to grow at a CAGR of over 15.4% during the forecast period. Growth of e-commerce sector is driving market growth, with a trend towards rise of open-loop gift cards. However, additional loss of money in using gift cards poses a challenge. Key market players include Alighieri, Blackhawk Network Holdings Inc., Card USA Inc, Duracard Plastic Cards, Fidelity National Information Services Inc., Fiserv Inc., FleetCor Technologies Inc., Givex Corp., Hennes and Mauritz AB, InComm Payments, JIFITI PRODUCTS, Kindcard Inc., PineLabs Pvt. Ltd., Plastek Card Solutions Inc., Runa Network Ltd., Square Inc., Tele Pak Inc., TransGate Solutions, Village Roadshow Ltd., and Yiftee Inc..

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Gift Card Market Scope

Report Coverage

Details

Base year

2024

Historic period

2019 – 2023

Forecast period

2025-2029

Growth momentum & CAGR

Accelerate at a CAGR of 15.4%

Market growth 2025-2029

USD 1331.3 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

12.1

Regional analysis

North America, Europe, APAC, Middle East and Africa, and South America

Performing market contribution

North America at 40%

Key countries

US, UK, Germany, Australia, France, Japan, Canada, China, Saudi Arabia, and Brazil

Key companies profiled

Alighieri, Blackhawk Network Holdings Inc., Card USA Inc, Duracard Plastic Cards, Fidelity National Information Services Inc., Fiserv Inc., FleetCor Technologies Inc., Givex Corp., Hennes and Mauritz AB, InComm Payments, JIFITI PRODUCTS, Kindcard Inc., PineLabs Pvt. Ltd., Plastek Card Solutions Inc., Runa Network Ltd., Square Inc., Tele Pak Inc., TransGate Solutions, Village Roadshow Ltd., and Yiftee Inc.

Market Driver

Gift cards have become a popular trend in both physical and digital retail spaces. Prepaid cards loaded with a specific amount of money have revolutionized payment methods for various stores, websites, restaurants, and businesses. Consumers prefer the convenience of gifting digital options for birthdays, holidays, and special occasions. The younger generations, including Millennials and Gen Z, favor digital gifting over tangible gifts. Impacting factors like cashless transactions, loyalty programs, and customer behavior have boosted the use of gift cards. Brands and retailers offer digital gifting options as marketing tools and rewards & incentives for customer loyalty. Other businesses, including travel companies, OTT platforms, and content platforms, also use digital gift cards to enhance customer experiences. Market participants like FinTechs, PayTechs, and mobile wallets have entered the scene, offering digital platforms for seamless gifting experiences. Demonetization, E-commerce activities, and the Digital India initiative have further fueled the growth of digital gift cards. Strategic alliances between brands and businesses, tax-advantage cards, and E gifting have also contributed to the market’s expansion. In conclusion, gift cards have become a practical, customizable, and environmentally friendly gifting solution for consumers, businesses, and individual users alike. The market is expected to continue growing, impacted by factors such as mobile payments, internet accessibility, and the increasing popularity of online shopping. 

An increasing trend among vendors is the launch of open-loop gift cards over closed-loop ones. Open-loop cards, branded with payment card processors like Visa, MasterCard, and American Express, offer wider acceptance as they are not limited to a specific business. This preference among customers is driving the development of new open-loop gift card products. For instance, InComm, a UK-based prepaid product and payments technology company, introduced Vanilla Go, a global open-loop gift card brand, over five years ago. Open-loop Mastercard gift cards provide a personalized gifting experience. 

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Market Challenges

Gift cards have become a popular payment method for consumers during special occasions, birthdays, holidays, and as expressions of love, gratitude, and appreciation. Prepaid cards offer convenience for both givers and recipients, allowing them to use the amount of money stored on the card at various stores, websites, restaurants, and retail establishments. Businesses, including retailers or brands, other businesses, and corporate clients, issue gift cards as rewards & incentives, experiences, or tangible gifts. Digital gifting options have gained traction among younger generations such as Millennials and Gen Z, who prefer cashless transactions and mobile wallets. Impacting factors include consumer preferences, customer behavior, internet accessibility, and the growing E-commerce activities under the Digital India initiative. Gift cards serve as marketing tools for brand owners and customer loyalty programs, and can be used in various sectors like travel companies, OTT platforms, content platforms, and hospitality services. Market participants include FinTechs and PayTechs, offering digital platforms for online sales and redemption of gift cards. Strategic alliances between retailers and these platforms can impact cash flow and customer journeys, as physical retail spaces merge with online retail spaces. Tax-advantage cards, E gifting, M commerce, and E commerce are also part of this growing market. Virtual cards and mobile gift cards are increasingly popular, offering customizable and environmentally friendly alternatives.Gift cards offer an alternative way to give the gift of choice to recipients. However, they come with certain challenges. For instance, some gift cards have expiry dates, which may result in unused funds if not utilized within the specified period. Additionally, physical gift cards can be misplaced, leading to a loss of the funds loaded on them. Moreover, gift cards are available in various denominations, and any remaining balance after a purchase may go unused. These factors may result in additional spending or lost funds. To mitigate these issues, consider digital gift cards or setting reminders for expiry dates.

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Segment Overview 

This gift card market report extensively covers market segmentation by

TypeE-gifts CardsPhysical Gift CardsDistribution ChannelOfflineOnlineGeographyNorth AmericaEuropeAPACMiddle East And AfricaSouth AmericaCard TypeClosed-loop CardOpen-loop Card

1.1 E-gifts cards- E-gift cards have become a popular and convenient gifting solution in the retail sector. Their evolution has been rapid, with digitalization playing a significant role in their transformation. E-gift cards, also known as digital cards, are delivered electronically via email and offer enhanced versatility and flexibility. They are an ideal option for last-minute gifting and eliminate the risk of losing physical cards. In the corporate sector, e-gift cards have gained popularity as suitable gifting options for employees, clients, and stakeholders. Vendors benefit from their financial viability and ease of integration with core products and services. The elimination of logistical and management issues associated with physical cards increases operational efficiencies for businesses. These factors are expected to drive the growth of the e-gift card segment in the market during the forecast period.

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Research Analysis

Prepaid gift cards have revolutionized the way we express love, gratitude, and appreciation. These plastic or digital cards allow the recipient to receive a specific amount of money that can be used for payment at various stores, websites, restaurants, and retail establishments, both online and offline. The convenience of gift cards has made them a popular choice for consumers, especially younger generations, who prefer e-gifting, M commerce, and e-commerce. Brand owners use gift cards as a marketing tool to boost sales and customer loyalty. Strategic alliances between businesses have led to the acceptance of gift cards at an increasing number of outlets. Digital and virtual cards have added to the flexibility and convenience of gift cards, making them an essential component of modern consumer behavior. Gift cards offer a personal touch to gifting, allowing the customer to choose how and where to spend the money. They provide a sense of excitement and anticipation for the recipient, making them a thoughtful and practical gift. Whether it’s a special occasion or a simple gesture of appreciation, gift cards continue to be a popular choice for expressing love and gratitude.

Market Research Overview

Prepaid gift cards have revolutionized the way we give and receive amounts of money as presents. These cards, which can be used as a payment method in stores, websites, restaurants, and other businesses, have become increasingly popular for various occasions such as birthdays, holidays, and special occasions. The convenience of gift cards appeals to both the giver and the recipient, allowing for digital gifting options and instant gratification. Consumers, especially younger generations like Millennials and Gen Z, prefer cashless transactions and practical, customizable, and environmentally friendly gifts. Retail sectors, travel companies, OTT platforms, content platforms, and hospitality industries have embraced digital gift cards as a marketing tool and customer loyalty program. Impacting factors include loyalty programs, customer behavior, internet accessibility, online shoppers, and the growing popularity of mobile wallets and digital platforms. Market participants include retailer or brand-specific cards, tax-advantage cards, E gifting, M commerce, and E commerce platforms. Strategic alliances between FinTechs, PayTechs, and businesses have further expanded the reach and usage of gift cards. Virtual and mobile gift cards offer flexibility and convenience, making them a preferred choice for individual users and corporate clients alike. The impact of the Digital India initiative and demonetization has also accelerated the adoption of digital services and cashless transactions.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

TypeE-gifts CardsPhysical Gift CardsDistribution ChannelOfflineOnlineGeographyNorth AmericaEuropeAPACMiddle East And AfricaSouth AmericaCard TypeClosed-loop CardOpen-loop Card

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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Government of Canada launches public consultation on AI transparency

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Public feedback will help shape next steps to advance safe, responsible and reliable AI in Canada

OTTAWA, ON, July 23, 2026 /CNW/ — Artificial intelligence (AI) systems are playing an increasingly important role in Canadians’ daily lives and in the operations of businesses across the country. As AI adoption accelerates, Canadians and businesses need clear, accessible information to understand when they are interacting with AI systems, assess the origin of online content and make informed decisions about the use and adoption of AI technologies. Strengthening transparency around AI systems is essential to building trust, supporting innovation and ensuring AI can be used safely and responsibly.

Today, the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario, announced a public consultation seeking views on how to strengthen transparency for AI systems and AI-generated outputs.

The public consultation supports the Government of Canada’s commitment to advancing AI transparency as outlined in Canada’s National Artificial Intelligence Strategy: AI for All and centres on:

detecting and identifying AI-generated contenthelping individuals know when they are interacting with an AI systemimproving access to consistent, understandable information about AI systems, including their development, capabilities and limitationsenabling the tracking of serious incidents related to AI systemsadvancing ways to better track the activities and interactions of AI agents

Canadians and residents of Canada are invited to read the discussion paper and to share their views on these topics and on actions the Government of Canada should consider to support greater transparency for AI systems and their outputs.

The consultation will run from July 23 to September 23, 2026. Anyone with an interest in shaping Canada’s AI future is encouraged to participate. Feedback will inform the government’s next steps to advance safe, responsible and reliable AI in Canada.

Quote

“AI adoption moves at the speed of trust. Canadians need to know when they are interacting with AI systems, when content has been generated or altered by AI, and what these systems can and cannot do. Through AI for All, we are building a Canadian approach that protects people, creates opportunity and strengthens our sovereign control over this defining technology. This consultation will help ensure Canadians have a voice in shaping practical and effective transparency measures.”

– The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario

Quick facts

On June 4, 2026, the Government of Canada launched Canada’s National Artificial Intelligence Strategy: AI for All. It sets out an ambitious plan to ensure that AI is adopted responsibly, in a way that truly serves all Canadians, by building trust, expanding opportunities and strengthening Canada’s digital sovereignty.To better protect Canadians in the digital age, the government introduced Bill C-36, the Protecting Privacy and Consumer Data Act, which aims to provide Canadians with stronger protections with respect to their personal information, and Bill C-34, the Safe Social Media Act, which proposes obligations for operators of social media services and some chatbots to protect children, increase platform accountability and address the spread of harmful content online.According to Statistics Canada, the share of Canadian businesses using AI to produce goods or deliver services continued to rise through the second quarter of 2026, reflecting the technology’s growing role across the economy.AI-generated content is increasingly present online across a wide range of contexts, making it more difficult for Canadians to distinguish synthetic content from authentic content.Many consumer-facing AI products now include agentic capabilities that allow AI systems to take actions on a user’s behalf, extending their role beyond providing information and advice.The government welcomes the perspectives of Canadians and Canadian residents, businesses, researchers, civil society organizations, First Nations, Inuit and Métis groups, and other stakeholders.

Related products

Have your say on advancing AI transparency in CanadaDiscussion paper: Enhancing trust in artificial intelligence through increased transparency

Associated links

Canada’s National Artificial Intelligence Strategy: AI for AllArtificial intelligence ecosystem

Stay connected

Find more services and information on the Innovation, Science and Economic Development Canada website.

Follow Innovation, Science and Economic Development Canada on social media.

X (Twitter): @ISED_CA | Facebook: Canadian Innovation | Instagram: @cdninnovation | LinkedIn: Innovation, Science and Economic Development Canada

For easy access to government programs for businesses, download the Canada Business app.

SOURCE Innovation, Science and Economic Development Canada

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Technology

Government of Canada launches public consultation on AI transparency

Published

on

By

Public feedback will help shape next steps to advance safe, responsible and reliable AI in Canada

OTTAWA, ON, July 23, 2026 /CNW/ — Artificial intelligence (AI) systems are playing an increasingly important role in Canadians’ daily lives and in the operations of businesses across the country. As AI adoption accelerates, Canadians and businesses need clear, accessible information to understand when they are interacting with AI systems, assess the origin of online content and make informed decisions about the use and adoption of AI technologies. Strengthening transparency around AI systems is essential to building trust, supporting innovation and ensuring AI can be used safely and responsibly.

Today, the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario, announced a public consultation seeking views on how to strengthen transparency for AI systems and AI-generated outputs.

The public consultation supports the Government of Canada’s commitment to advancing AI transparency as outlined in Canada’s National Artificial Intelligence Strategy: AI for All and centres on:

detecting and identifying AI-generated contenthelping individuals know when they are interacting with an AI systemimproving access to consistent, understandable information about AI systems, including their development, capabilities and limitationsenabling the tracking of serious incidents related to AI systemsadvancing ways to better track the activities and interactions of AI agents

Canadians and residents of Canada are invited to read the discussion paper and to share their views on these topics and on actions the Government of Canada should consider to support greater transparency for AI systems and their outputs.

The consultation will run from July 23 to September 23, 2026. Anyone with an interest in shaping Canada’s AI future is encouraged to participate. Feedback will inform the government’s next steps to advance safe, responsible and reliable AI in Canada.

Quote

“AI adoption moves at the speed of trust. Canadians need to know when they are interacting with AI systems, when content has been generated or altered by AI, and what these systems can and cannot do. Through AI for All, we are building a Canadian approach that protects people, creates opportunity and strengthens our sovereign control over this defining technology. This consultation will help ensure Canadians have a voice in shaping practical and effective transparency measures.”

– The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario

Quick facts

On June 4, 2026, the Government of Canada launched Canada’s National Artificial Intelligence Strategy: AI for All. It sets out an ambitious plan to ensure that AI is adopted responsibly, in a way that truly serves all Canadians, by building trust, expanding opportunities and strengthening Canada’s digital sovereignty.To better protect Canadians in the digital age, the government introduced Bill C-36, the Protecting Privacy and Consumer Data Act, which aims to provide Canadians with stronger protections with respect to their personal information, and Bill C-34, the Safe Social Media Act, which proposes obligations for operators of social media services and some chatbots to protect children, increase platform accountability and address the spread of harmful content online.According to Statistics Canada, the share of Canadian businesses using AI to produce goods or deliver services continued to rise through the second quarter of 2026, reflecting the technology’s growing role across the economy.AI-generated content is increasingly present online across a wide range of contexts, making it more difficult for Canadians to distinguish synthetic content from authentic content.Many consumer-facing AI products now include agentic capabilities that allow AI systems to take actions on a user’s behalf, extending their role beyond providing information and advice.The government welcomes the perspectives of Canadians and Canadian residents, businesses, researchers, civil society organizations, First Nations, Inuit and Métis groups, and other stakeholders.

Related products

Have your say on advancing AI transparency in CanadaDiscussion paper: Enhancing trust in artificial intelligence through increased transparency

Associated links

Canada’s National Artificial Intelligence Strategy: AI for AllArtificial intelligence ecosystem

Stay connected

Find more services and information on the Innovation, Science and Economic Development Canada website.

Follow Innovation, Science and Economic Development Canada on social media.

X (Twitter): @ISED_CA | Facebook: Canadian Innovation | Instagram: @cdninnovation | LinkedIn: Innovation, Science and Economic Development Canada

For easy access to government programs for businesses, download the Canada Business app.

SOURCE Innovation, Science and Economic Development Canada

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Minister of Transport and Leader of the Government in the House of Commons formalizes a Green Shipping Corridor Memorandum of Understanding with Spain

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Canada and Spain strengthen cooperation to advance cleaner shipping

MADRID, Spain, July 23, 2026 /CNW/ — Canada continues to work with international partners to advance the decarbonization of the marine sector and strengthen its sustainable supply chains.

The Honourable Steven MacKinnon, Minister of Transport and Leader of the Government in the House of Commons, was in Europe this week to sign a multi-port, multi-jurisdiction Green Shipping Corridors Memorandum of Understanding (MoU) with Spain. This agreement supports Canada’s efforts to strengthen international trade relationships, enhance competitiveness and promote more resilient supply chains through international collaboration.

Spain joins Canada and Germany as the third country part of this MoU supporting the development of the Atlantic Green Shipping Corridor, strengthening sustainable shipping connections between Canada, Europe, Asia and the Middle East. Supported by major ports, fuel producers, shippers and industry partners across Canada and Europe, the initiative brings together partners to advance green shipping corridors through collaboration on clean fuels, innovative technologies, and modern port infrastructure.

Green shipping corridors are a key pillar of the Government of Canada’s efforts to reduce emissions from the marine sector by accelerating the adoption of cleaner fuels and technology. They help strengthen supply chains, support clean fuel trade, and create new opportunities for Canadian workers and businesses, building one strong Canadian economy for all. 

Earlier in the week, Minister MacKinnon also participated in the Farnborough International Airshow in the United Kingdom. This global event provided an opportunity to showcase Canada’s expertise in aerospace and promote Canada’s world-leading aerospace industry.

Canada’s aviation expertise is a major driver of the economy. From releasing a blueprint for sustainable aviation fuels to ensuring the next generation of aircraft is safe, secure, accessible, and innovative, the Government of Canada works alongside industry to strengthen aviation safety and security while fostering innovation, sustainability, and economic growth. Through Transport Canada’s certification of new aircraft and technologies, Canada is helping bring innovative aviation solutions to market while maintaining the highest safety standards.

While in Europe, Minister MacKinnon also met with his counterparts from the United Kingdom and Spain to strengthen collaboration on shared transportation priorities such as high-speed rail, decarbonization, and private sector investments in airport infrastructure.

Quote

“The Atlantic Green Shipping Corridor MoU demonstrates what can be achieved through international collaboration. I welcome Spain as the newest signatory to this growing partnership, joining Canada and Germany in advancing cleaner shipping routes and sustainable trade. By working together to accelerate the adoption of clean fuels and clean technologies, we are helping reduce emissions while strengthening the supply chains that connect Canada to global markets.” 

The Honourable Steven MacKinnon
Minister of Transport and Leader of the Government in the House of Commons

Quick facts

Canada and Spain are partners and allies that enjoy a strong relationship based on shared values, strong people-to-people ties, and mutually beneficial commercial relations.In 2024, two-way goods and services trade between Canada and Spain totaled $7.9 billion. Mineral ores, cereals, and machinery rank among the top three products Canada exported to Spain that year.On December 16, 2024, the Minister of Transport signed the Atlantic Memorandum of Understanding on behalf of Canada. To date, Germany, and now Spain, has joined as signatories, and several Canadian stakeholders have joined as endorsers, including port authorities, terminal operators, and clean fuel suppliers.During the 2021 United Nations Climate Change Conference (COP26), Canada signed the Clydebank Declaration to support the establishment of zero-emission maritime routes between two or more ports, known as green shipping corridors.Canadian stakeholders have been leaders in this area by signing agreements to pursue green shipping corridors on routes including Montreal-Antwerp, Halifax-Hamburg, and Pacific Northwest-Alaska. Canada is also working with several partners to pursue additional green shipping corridors.As a major maritime nation and a growing leader in green hydrogen and renewable fuel production, Spain is well positioned to support cleaner maritime transportation and clean energy cooperation with Canada. Spain’s signature of the Atlantic MoU recognizes the strategic relationship between Canada and Spain and our shared interest in diversifying our trading partners, strengthening resilient supply chains and enhancing energy security, while advancing cleaner marine transportation. 

Associated links

Information on Canada/Spain relationGreen Shipping Corridor Program Sustainable Aviation Fuels Blueprint for Canada

Visit Transport Canada’s website.

Subscribe to e-news or follow us on X, Facebook, YouTube, Instagram and LinkedIn to keep up to date on the latest from Transport Canada.

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SOURCE Transport Canada

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