Are vouchers and memberships good presents?

It’s the family members you’re not going to see over Christmas that are the biggest challenge. Do you arrange to meet them in the weeks in advance and arrange a gift swap (perhaps in a National Trust carpark: bags-for-life shuffled from boot to boot like contraband)? But what if you’ve not found the right thing yet? Should you post something, accepting that any bows and ribbons will be, as best, flattened in transit? Is there ever a time when the local post office is both open and doesn’t have a long queue? And what even is the final postal date?

An obvious — perhaps all-too-obvious — solution is some kind of gift voucher, or membership. Easily postable: even emailable. Voom: done. And available right to the last minute. Not that you’d ever do that. Not deliberately. You’re not that kind of person, it’s just that this time, it wasn’t your fault, but somehow…

And so, gift vouchers have this slight whiff of being a naff present. Too late, or too easy, or not original. An afterthought. And not just by the givers, perhaps sometimes for the organisations selling them. Theatres that would spend weeks on show campaigns, will tack a gift voucher offer to the end of the last mailing before Christmas. That stately home you had a nice day out at back in the summer emailing out of the blue with news of festive light displays, fireside Santas and, yes, at the bottom of the mail; “Why not buy a membership for that special someone…?”.

There’s an opportunity here: to be more confident and strategic about sales of gift vouchers and memberships and grow this income line. People think that gift vouchers and memberships are good presents, and we can prove it (specifically, we asked them and that’s what they told us):
 

You can boost the total who think that a membership of a heritage organisation is a good present from 53% to 73% if you focus on those who say that history and heritage is a main interest of theirs (25% strongly agree, 48% agree). Similarly, you can boost the proportion that think a gift voucher to a visitor attraction is a good present from 65% to 74% by focusing on those who have children (23% strongly agree, 51% agree) or 75% among 25-34 year olds (24% and 51% respectively). Given that only 7% of these groups disagree that they are good presents, gift vouchers and memberships are a remarkably safe bet if you want the recipient to like a present.

On a side note, yes people do prefer to receive cash (61% agree including 23% strongly) especially among those who are youngers and on lower incomes (75% including 34% strongly agreeing among 16-24s; 72% and 36% strongly agreeing among those who are unemployed or students). Tim Harford has written entertainingly in the FT about the economic efficiency of Christmas. But gift vouchers and memberships, where bought for those likely to appreciate them, offer a more meaningful and personal touch. Especially if accompanied with a note that reflects the recipient, or the giver’s relationship to them: “I saw there’s a new production of [x] coming up: perhaps you’d like to use this to go…?” or “We had such a lovely time visiting [x] with you this year, we thought you’d like to go back…”. Even better if there’s enough flexibility that they don’t have follow your suggestions.

We need to make the most of the opportunity afforded by supplementary income sources, like gift vouchers and memberships, because times are hard (as you’ll no doubt have noticed). But this fact itself accentuates the value of these gifts. 54% of people agree that the cost of living is putting them off attending cultural events (15% strongly agree). 60% agree that it means they will take fewer days out to visitor attractions (21% strongly agree). These gifts can restore some of the pleasures that people would otherwise have to forego.

Of course, the visits enabled by these gifts aren’t entirely free: there are many associated costs, from travel to food and drink and visits to the shop. This is similar to the c. 65% ‘overspend’ seen in retail gift card redemptions and one reason why 33% of people say that if there were given a voucher or membership to an arts, cultural or heritage organisation, or visitor attraction, ‘there is a good chance I wouldn’t use it’ (7% strongly agreeing). For example, more of the lower-income, urban Audience Spectrum group Frontline Families agree with this statement than disagree (41% compared to 37%). It’s a similar picture for those in ‘semi-routine, routine and service occupations’ (with only narrowly more disagreeing). All of these are also among those who are most likely to say that they prefer to receive cash as gifts.

Nonetheless, when well targeted, these gifts are well received and only growing in popularity. Just as seen in the other sectors, gift vouchers for arts, cultural, heritage organisations and visitor attractions are growing in popularity. 39% of people said they are more likely to give them that five years ago, compared to only 15% who said they were less likely (gift memberships, with a higher cost for the giver and level of commitment required for use by the receiver, have slipped back somewhat, with 21% more likely and 24% less).

Cultural gift vouchers are particularly popular to give and receive with younger, highly educated, highly engaged and family audiences. Concerted, including year-round, targeting of these groups, confident in the knowledge that they perceive them as ‘good presents’ has the potential to be useful additional income at a difficult time.