DUBLIN--(BUSINESS WIRE)--The "Egypt Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Market Size and Forecast (2015-2024) - Covid-19 Update Q2 2020" report has been added to ResearchAndMarkets.com's offering.
This report details the impact of economic slowdown along with change in business and consumer sentiment due to disruption caused by Covid-19 outbreak on gift card industry in Egypt.
Historically, the gift card market in Egypt has recorded a steady growth with a CAGR of 19.6% during 2015-2019. However, According to the Q2 2020 Global Gift Card Survey, gift card market in Egypt is expected to be impacted across retail and corporate segments due to disruption caused by Covid-19 outbreak.
Though growth of gift card industry will be impacted due to pandemic, there are certain segments such as self-use which will gain significant market share. Adoption of e-Gift cards is also expected to increase significantly over the next 4-6 quarters. There are interesting trends emerging across various segments, which are expected to fundamentally reshape gift card industry dynamics.
Despite near-term challenges, medium to long term growth story of gift cards in Egypt remains strong. The gift card industry in Egypt will continue to grow over the forecast period and is expected to record a CAGR of 15.1% during 2020-2024. The gift card market in the country will increase from US$ 409.9 million in 2019 to reach US$ 702.6 million by 2024.
According to the Global Gift Card Q2 2020 Survey, travel and hospitality are the worst affected sectors where demand for gift cards has gone down significantly due to pandemic.
Historically, growth in the gift card market can be attributed to increased adoption across retail and corporate consumer segments. High adoption of gift cards for e-commerce purchases is expected to drive adoption of digital gift cards in Egypt.
Another factor that is boosting the growth of the gift card industry in the country is the increased adoption during festivals and rise in demand for Christmas gifts in Egypt. The demand for gift cards during festivals increased by over 20% in 2019 as compared to that in 2018. The author expects this trend to continue over the forecast period.
Retailers and malls in Egypt have been launching gift cards to tap opportunities in this lucrative market segment. The Mall Gift Card in Egypt is gaining popularity, allowing consumers to make purchases in the mall and spend it at restaurants or shops. Corporate segment in Egypt has been using these gift cards to offer rewards and incentives.
Another emerging trend that will provide support for the growth of the gift card market is the ability to buy cryptocurrencies through gift cards. As only one-third of the population in Egypt has a formal bank account, consumers are looking for alternative methods to trade in cryptocurrencies. With the ability to trade in bitcoins and other altcoins using gift cards, the future for the market remains bright.
Below is a summary of country level trend analyses covered across gift card segments:
- Total gift market: This report provides detailed view of overall spend on gifts, broken down by retail and consumer segments. For both retail and consumer segments, this report provides a breakdown of spend on gifts by product categories (13 segments) and retail sectors (7 segments).
- Gift cards: Drawing from proprietary survey results, this report provides in-depth analysis of opportunities in both open loop and closed loop prepaid gift card categories. Assesses consumer behaviour by type of consumer (retail and corporate - SMB, Mid-Tier, Large Enterprise), gifting occasion, digital gift card (e-gift card), and market share by retail sectors.
- Details six essential KPIs: number of cards in circulation, load value, unused value, average purchase value, average value per transaction, and value of transactions.
- Corporate incentive & loyalty cards: This report provides detailed market dynamics of corporate incentive cards, broadly segmented in three categories - consumer incentive card, employee incentive card, and sales/partner incentive card. It details market size and forecast at category level, by functional attribute (open loop and closed loop), and by corporate consumer segments (small scale business, mid-size business, and enterprise business).
- Digital gift card (e-gift card) analysis: Provides market size and forecast for digital gift cards, broken down by retail and corporate buyers. It also includes gift card spend by occasion (retail - festivals & special celebration days, milestone celebration, self-use, other; Corporate incentive cards -consumer incentive card, employee incentive card, and sales/partner incentive card). The report also includes digital gift card adoption by company size.
- Open loop and closed loop: Provides market estimates and forecasts to assess opportunities in open loop and closed loop gift and incentive card segments across consumer segments.
- Consumer attitude and behaviour: Drawing from proprietary survey results, this report identifies and interprets key KPIs related to gift card dynamics including spend by age, gender, and income level.
- Retail spend: Breaks down retail spend across retail sectors (7 segments) to provide detailed insights on consumer behaviour and changing dynamics of gift card spend.
- Market share by retailer: Provides market share of closed loop gift cards by key retailers in Egypt.
- Distribution channel analysis: Provides market share by distribution channel - online vs offline sales and 1st party vs 3rd party sales (sales through outlet of other retailers).
For more information about this report visit https://www.researchandmarkets.com/r/i0c8pg
