An overwhelming majority of gift card buyers prefer network-branded ones, but a majority of Americans have never heard of network-branded gift cards, according to a survey report by the Network Branded Prepaid Card Association.
The report found that 93% of consumers are satisfied with gift cards that can be used on the Visa Inc., MasterCard Inc., American Express Co., or Discover Financial Services networks. The report, from a survey of about 1,800 people, estimated that 28% of consumers plan to buy a gift card this holiday season, double last year's percentage.
Fifty-two percent of respondents said they preferred network gift cards over traditional, stored-value ones. However, about 58% said they had not seen or heard of network-branded cards and 69% of the 759 respondents in this category said they had never bought a card that could be accepted on one of the four major networks. Sixty-nine percent of those who were unaware of branded gift cards were women.
The survey was conducted by Dan Horne, a professor at Providence College. The report came out Nov. 8.
