Bartering
Gift Certificates
By Bob Meyer
Gift
certificates are a wonderful trading vehicle for you because
not only are they lightweight, small and easily transported,
but their value varies widely�from small amounts upwards to
thousands of dollars. And there is an enormous market
already in place.
(Of U.S. shoppers, 74% buy at
least one gift card or gift certificate annually...their
yearly usage has been growing 11% to 15% since 1993. In
effect, few things are more popular, especially during the
holidays, than a gift certificate--unless it's from a store
you don't like.)
When you
receive a card or certificate you�re not enthused about, why
not trade it for another one you would rather have? There�s
a growing secondary gift/certificate market which you can
access to make such a trade, offline or online. And, for the
creative trader, the possibilities of obtaining favorable
ratios when trading gift certificates, for dissimilar
products or services, would only be limited by one�s
imagination and follow through.*
Because gift
certificates, after all, are one type of currency whose
value will fluctuate depending on the holders acquisition
cost, and mindset. There are opportunities galore for the
informed and aware trader. In the U.S. alone the use of gift
certificates and gift cards is a $55-billion-a-year
industry.
Contacts for Trading Gift
Certificates
In our
research we found online services that can easily be used
for trading gift cards and certificates. At
www.cardavenue.com
you will find a special section on
the right side of their home page which offers a list of
cards/certificates available on barter.
We also investigated
www.swapagift.com launched by Mary Jane and Michael
Kelly in 2003 to provide a way to redeem or trade gift cards
in an open market.
These sites
offer the consumer an inexpensive, effective means of
bartering unwanted cards for other preferred ones. The
Swapagift site makes use of a proprietary matching mechanism
that automatically identifies matching gift cards,
facilitating the barter process for its 20,000 users.
Ms. Kelly shared how some
people use the site:
1) Contractors obtain their
supplies by acquiring Home Depot and Lowe's gift cards.
2) A man stuck with an
engagement ring after a broken engagement returned the ring
and put the resulting Zale's gift card on the site.
3) A woman who owns a
kennel and dog rescue service acquires the PetSmart gift
cards.
4) Sales people who are
awarded gift cards either exchange them or cash out at 70
cents on the dollar--the price at which Swapagift will
purchase cards.
The largest single deal
ever made on the site was a $10,000 Best Buy gift card, won
in a cigarette sweepstakes. With a balance of $6,500 on the
card, after several purchases, the owner cashed in the card.
The above
examples are an indication that we can expect the
inter-trading of gift certificates/cards to expand
dramatically.
Other gift certificate sites include:
www.certificateswap.com
www.giftcertificates.com
www.giftvouchers.com
www.gifttracker.com
www.giftincard.com
* Ratio trading
strategies and techniques are covered in the BarterNews
�FastStart Program,� as well 22 different types of
currencies used in the barter marketplace.
For more articles on how to barter see
www.barternews.com. A free weekly newsletter, the
�Tuesday Barter Report,� provides timely information on the
subject as well. (See our web site for a free signup of the
newsletter.) |