New research from branded payments provider Blackhawk Network (BHN) reveals that American consumers intend to increase their gift card purchases in 2025, strategically utilizing them for financial management and engaging with digital purchasing channels. The study provides insights for retailers, restaurants, and brands, highlighting growth in digital gifting, increased adoption of AI-driven shopping, and rising trends in self-use and the influence of Generation Alpha.
According to the research, consumers plan to purchase 10% more gift cards in 2025 compared to 2024, signaling the resilience of gift cards amid ongoing inflation and cost-of-living concerns. Gift cards are viewed as a balanced solution for giving, offering recipients choice while allowing purchasers to control costs. Jay Jaffin, chief marketing officer at BHN, stated, “Gift cards have become valuable financial tools for consumers navigating economic uncertainty, offering flexibility, convenience, and value that other gifting options often can’t match.”
The study also noted significant year-over-year growth in digital gifting, particularly through messaging and social media applications. One-third of younger consumers have purchased gift cards via messaging platforms, with nearly 60% expressing interest in using this channel. Additionally, nearly half of consumers now leverage AI tools for personalized gift suggestions, finding deals, and comparing products. Adoption rates for AI among younger consumers are twice as high as older generations. The research further indicates that nearly one-third of consumers purchase gift cards for their own use.
Another key finding is the increased participation of younger consumers in loyalty programs and their redemption of loyalty points for gift cards. This trend presents opportunities for brands to integrate gift cards into loyalty initiatives to drive repeat visits and customer engagement. The full 2025 U.S. Gifting Research, which details U.S. consumer shopping and gift card behaviors, is available for download at BHN.com.
Blackhawk Network (BHN) provides branded payment solutions through its global platform. The company aims to help businesses grow revenue, increase loyalty, motivate teams, disburse funds, and engage consumers. Its offerings include the issuance and distribution of physical and digital gift cards, corporate payouts, and rewards, alongside the technology for seamless delivery. BHN’s network encompasses over 400,000 consumer touchpoints globally.
