The "Brazil Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Market Size and Forecast - Q2 2023 Update" report has been added to ResearchAndMarkets.com's offering.

The gift card industry in Brazil is poised for substantial growth in the coming years, with a projected CAGR of 10.7% during the period from 2023 to 2027. In 2022, the gift card market in Brazil reached US$6.0 billion, and it is expected to surge to US$9.9 billion by 2027.

Over the past few years, the gift card market in Brazil has demonstrated impressive growth, recording a CAGR of 10.7% from 2018 to 2022. Looking ahead, the industry is set to expand further, with an anticipated annual growth rate of 11.6% in 2023, reaching US$6,419.2 million.

Several factors have contributed to the growth of the gift card market, including the rise of e-commerce, the use of gift cards to motivate remote employees, digital gifting, and initiatives by various industries, such as government, hospitality, and travel, to stimulate growth.

The Brazilian gift card market is becoming increasingly competitive, with various players, including payment providers, banking institutions, and online food delivery platforms, entering the market to capitalize on its popularity. Global gift card providers are also forming strategic partnerships with digital wallet providers to tap into the Brazilian market.

Additionally, leading brands are running promotional campaigns using gift cards to boost sales in Brazil, and these trends are expected to continue driving growth in the gift card segment over the next few years.

An increasing number of firms are entering the growing and competitive gift card landscape in Brazil

Ever since the global pandemic outbreak, the popularity of gift cards has surged among Brazilians. With the rising usage of gift cards, for both online and offline shopping, more and more players have entered the market.

In December 2022, Saque e Pague, a technology-based firm in Brazil, announced its foray into the gift card market as it seeks to drive increased revenue by targeting new sectors. At the point of sale, the firm is allowing Brazilians to buy and recharge their gift cards. The firm's foray into the segment comes after it entered into a strategic collaboration with E-Pay. Initially, Saque e Pague will sell gift cards that can be used at iFood, Rappi, Google, Uber, and Xbox Stores.

In November 2022, Banco Itau, the Brazilian banking institution, announced that the firm is foraying into the gift card segment amid the rising popularity of the payment method. Initially, the firm will be selling gift cards from Google Play, Airbnb, iFood, Spotify, Uber, Playstation, and Xbox. Brazilians will have access to these gift cards from Banco Itau mobile application, thereby offering more convenience to consumers in the country.

In August 2022, C6 Bank, another banking institution based in Brazil, announced a personalized gift-giving service for its customers in the country. The firm launched a gift card service that customers can use for online services and gaming platforms, including Uber, iFood, Spotify, Xbox, and others.

From the short to medium-term perspective, more players are expected to enter the gift card industry in Brazil, as the demand for the payment solution continues to rise among Brazilians. This will drive the competitive landscape in the country, thereby assisting market innovation and growth.

Global gift card providers are forging strategic alliances to launch digital gift card marketplaces in Brazil

To reach millions of potential customers and to further consolidate their position in the segment, global gift card providers are entering into collaboration with digital wallets in Brazil. For instance,

In October 2022, Givex, one of the leading gift card players in the Brazilian market, announced that the firm had entered into a strategic partnership with Cittamobi, the largest public transport app in the country, to launch a gift card marketplace inside the digital wallet service ran by Cittamobi. The collaboration will assist Givex and its clients, such as iFood, to sell gift cards to millions of transit users registered with Cittamobi.

These strategic collaborations are expected to further drive the adoption of gift cards among Brazilians from the short to medium-term perspective, thereby assisting the overall industry growth in the region.

Big brands are running promotional campaigns by leveraging gift cards popularity in Brazil

Many brands turn to gift card-powered promotional campaigns to drive their sales and the trends are no different in Brazil. Global brands are leveraging gift cards' popularity to drive their revenue. For instance,

In December 2022, Coca-Cola launched a Christmas promotional campaign to drive the sales of its product. Under the campaign, the firm offered BRL 40 worth of gift card when consumers buy the brand's product at iFood and manages to draw the bottle shape using the audio feature on WhatsApp. Consumers can use the gift card for future purchases at iFood.

The publisher expects more brands to run such promotional campaigns using gift cards to drive their revenue and sales. This will further assist the popularity of gift cards as a payment tool among Brazilians from the short to medium-term perspective.

Scope

Companies Mentioned

• Casino Guichard-Perrachon SA
• Natura Cosmeticos SA
• Wal-Mart Stores Inc
• Lojas Americanas SA
• Adeo Groupe
• Cencosud SA
• Magazine Luiza SA

Total Spend on Gifts in Brazil

• 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 Brazil

• 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 Brazil

• Retail Consumer
• Corporate Consumer (Small Scale, Mid-Tier, Large Enterprise)

Digital Gift Card Market Size in Brazil

• 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 Brazil

• By Functional Attribute
• By Occasion
• Festivals & Special Celebration Days
• Milestone Celebration
• Self-Use
• Other
• Value by Purchase Channel

Gift Card Spend by Consumer Behavior and Demographics in Brazil

• 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 Brazil

• By Functional Attribute
• By Occasion
• Employee Incentive
• Sales Incentive
• Consumer Incentive
• By Scale of Business

Gift Spend by Product Categories (Split by Retail and Corporate Consumers) in Brazil

• 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 Brazil

• 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 Brazil

• 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/7l9u9h

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