Dublin, Aug. 26, 2022 (GLOBE NEWSWIRE) -- The "Singapore Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Q1 2022 Update" report has been added to ResearchAndMarkets.com's offering.
Gift card industry in Singapore is expected to grow by 11.7% on annual basis to reach US$1183.5 million in 2022. Despite near-term challenges in 2022, medium to long term growth story of gift cards in Singapore remains strong. The gift card industry in Singapore is expected to grow steadily in H1 2022 and record a strong growth in H2 2022.
The growth momentum is expected to continue to grow over the forecast period, recording a CAGR of 9.5% during 2022-2026. The gift card market in the country will increase from US$1059.9 million in 2021 to reach US$1700.1 million by 2026.
Increase in corporate incentives boosting sales of virtual gift cards in Singapore
In times of the global pandemic, businesses across industry verticals in Singapore are looking for ways to improve their employee engagement programs. This has led to increased spending on corporate incentives such as gift cards and meal coupons over the last four to eight quarters. The trend also supported the virtual gift cards market's growth in Singapore.
- According to Q3 2021 data from Deliveroo for Work (DfW), the corporate arm of Deliveroo, DfW has experienced an increase of 400% month-on-month in the sales of virtual gift cards, which allows firms to provide one-time-off incentives. According to the company, businesses from the tech and fintech sectors have purchased the most virtual gift cards for their employees in Singapore in Q3 2021. For individual meal allowances, DfW has experienced an increase of 135% compared to Q3 2020.
- The announcement and extension of the Stabilization Phase in Singapore have further set the tone for the growth of the corporate gift card segment. Consequently, virtual gift cards are projected to stay in demand for corporate firms in the next three to four quarters.
Gift card providers are focusing on launching digital platforms and merchant acquisition to gain market share in Singapore
With more and more consumers are adopting digital channels in the country, the majority of the gift card players are launching a fully digital platform to gain market share in Singapore.
- Several players, including Giftano and Mooments, have launched an online digital gifting platform, which allows both individuals as well as corporates in the country to buy gift cards seamlessly. Notably, this is helping gift card providers to reach more consumers efficiently, thereby increasing their market share.
- Some of the other strategies that are being pursued by gift card providers to increase their market share are having an extensive merchant network and market expansion. For instance, both Giftano and Mooments offer gift cards for well-known brands such as Lazada, Grab, and Zalora, among several others.
Projected growth in e-commerce is expected to drive the adoption of gift cards in Singapore
Despite being a small island nation, the e-commerce market in Singapore is one of the largest in Southeast Asia. The growth in the e-commerce sector has been accelerated ever since the start of the global pandemic.
Notably, e-commerce sales are projected to hit US$8.2 billion in 2021. This growth in the Singaporean e-commerce industry, along with the rising number of online shoppers, is driving the adoption of gift cards in the country.
Scope
Closed Loop Gift Card Market Share by Key Retailers. Key Retailers Covered Include:
- NTUC FairPrice Co-operative Pte Ltd
- Dairy Farm International Holdings Ltd
- Shen Siong Supermarket Pte Ltd
- Takashimaya Co Ltd
- Mustafa Holdings Pte Ltd
- Courts Asia Ltd
- Al Futtaim Group LLC
- Yamada Denki Co Ltd
Total Spend on Gifts in Singapore
- By Consumer Segment (Retail and Corporate)
- By Product Categories (13 Segments)
- By Retail Sectors (7 Segments)
Gift Card Market Size by KPIs across Consumer Segments in Singapore
- Gross Load Value
- Transaction Value
- Unused Value
- Average Value Per Transaction
- Transaction Volume
- Average Value of Card Purchased
- Number of Cards
Gift Card Market Size by Consumer Segment in Singapore
- Retail Consumer
- Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)
Digital Gift Card Market Size in Singapore
- By Retail Consumer
- By Retail Purchase Occasion
- By Corporate Consumer
- By Corporate Purchase Occasion
- By Company Size
Gift Card Market Size by Retail Consumer in Singapore
- By Functional Attribute
- By Occasion1. Festivals & Special Celebration Days
2. Milestone Celebration
3. Self-Use
4. Other - Value by Purchase Channel
Gift Card Spend by Consumer Behavior and Demographics in Singapore
- Consumer Purchase Behaviour
- Gift Card Buyer by Age Group
- Gift Card Buyer by Income Level
- Gift Card Buyer by Gender
Gift Card Market Size by Corporate Consumer in Singapore
- By Functional Attribute
- By Occasion1. Employee Incentive
2. Sales Incentive
3. Consumer Incentive - By Scale of Business
Gift Spend by Product Categories (Split by Retail and Corporate Consumers) in Singapore
- Food & Beverage
- Health, Wellness & Beauty
- Apparel, Footwear & Accessories
- Books & Media Products
- Consumer Electronics
- Restaurants & Bars
- Toys, Kids, and Babies
- Jewelry
- Sporting Goods
- Home & Kitchen Accessories & Appliances
- Travel
- Entertainment & Gaming
- Other
Gift Card Spend by Retail Sector (Split by Retail and Corporate Consumers) in Singapore
- Ecommerce & Department Stores
- Restaurants & Bars
- Supermarket, Hypermarket, Convenience Store
- Entertainment & Gaming
- Specialty Stores
- Health & Wellness
- Travel
Gift Card Spend by Distribution Channel (Split by Retail and Corporate Consumers) in Singapore
- Gift Card Online Sales
- Gift Card Offline Sales
- 1st Party Sales
- 3rd Party Sales
- Sales Uplift
For more information about this report visit https://www.researchandmarkets.com/r/2u09fo
