Tuesday, October 8, 2013

Gift cards in China: a new strategy from supermarkets in China.

Once I told you about supermarkets strategy in China.
Here is another strategy that matches well the Chinese environment: gift cards.
The supermarket provides some gift card with some sum of money you can use.



The university offered us this shopping card from RT Mart, a Chinese supermarket.


Supermarkets gift cards are a win win situation:

For the employees or civil servants it is a plus
They would rather receive cash instead of for instance some moon cakes or any other present.

For the companies and administrations
They will save some money as they probably benefit from some special discount offer from the shopping centers. For instance they only pay 150 rmb but the card value is 200rmb.
The head of HR might gets some benefit for himself while deciding to buy these present cards.

For the supermarkets
  • Supermarkets will attract new customers who might come back and will probably spend more than the money on their gift card
  • Supermarket can also receive the money in advance and use it or save it with some interest. It is an advance in supermarkets treasury.
  • It is also some networking, guanxi strategy. Supermarkets management and sales team try to create and use their network with companies and administrations.
  • There are many festivals in China and occasions for gifts. Supermarkets found another way to benefit from these customs.

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