Blackhawk Launches Virtual Gift Cards

Reacting to customer feedback on its Web site, GiftCardMall.com, Blackhawk Network Tuesday announced it is selling prepaid electronic gift cards from Bass Pro Shops, Sears Holding Corp. and J.C. Penney Co. Inc.
“When we relaunched the site last year we got a lot of feedback, and one of the suggestions was the flexibility to e-mail [gift cards],” Teri Llach, Blackhawk group vice president of, tells PaymentsSource.com.
Consumers who visit the Web site can load between $5 to $200 into an electronic card account and also include a personalized message. The cards are free.
Recipients receive an e-mail and can print out the card information to use for in-store purchases. They also can type in the card information to make purchases at the stores online, a service Llach claims differentiates Blackhawk’s card from CashStar Inc.’s.
Earlier this year, CashStar was the first company to introduce print-at-home gift cards. At the time, observers said CashStar had the potential to change the market. Since then, the Portland, Maine-based company has added The Home Depot Inc. and Papa John’s Pizza to its list of merchant clients.
Blackhawk decided to launch with just three merchants to solicit customer feedback about the product. “The consumer demand is there, and I think we have to find the right way to deliver [electronic gift cards],” Llach says.
Blackhawk is discussing the product with other retailers and expects to add more next year. “Any time you do something new and different, even if it’s been done somewhere else before, the retailer needs to figure out how something like this fits with their corporate initiative,” Llach says.