5 gift card trends to watch in the Middle East

Introduction

When Blockbuster swapped paper vouchers for plastic gift cards in 1994, it set off a chain reaction that redefined consumer spending, retail loyalty, and even payments infrastructure.

By 1999, Neiman Marcus had rolled out the first digital gift card via email, removing barriers of distance and timing. What began as a simple upgrade in gifting soon became a major revenue stream.

Today, the scale is undeniable. The gift card market hit USD 744.1 billion in 2024 and is forecast to grow 12.5% annually through 2034, propelled by digital commerce.

Digital becomes the default

By 2024, nearly half of all gift cards sold were digital. That is not a passing trend but a structural reset.

During the pandemic, gift cards kept retailers afloat, acting as advance payments from loyal customers. Mobile wallets then supercharged adoption, integrating gift cards into everyday transactions and making them indispensable for younger shoppers.

The hidden data advantage

Gift cards are not just about gifting, they are about data. Every purchase touches two people: the buyer and the redeemer. That means richer insights, deeper engagement, and new customer acquisition opportunities.

Smart malls and retailers have realized this. Redemption patterns highlight preferences and timing in ways traditional sales data cannot, turning gift cards into marketing intelligence tools.

The next chapter: smarter, not just digital

The future is about personalization and intelligence. AI will soon tailor gift cards by recommending values, designs, or even occasions based on shopper behavior.

The digital gift card market grew from USD 323.31 billion in 2024 to USD 358.90 billion in 2025 and is set to hit USD 612.88 billion by 2030, with a CAGR of 11.24%. But the real story is in the underlying shifts.

1. Bridging online and in-mall journeys

Gift cards started as physical products bought at checkout counters, but today they operate as a bridge across multiple shopping channels. A customer might purchase online, store the card in their mobile wallet, and then redeem it in-store, seamlessly blending physical and digital interactions. For malls, this creates a vital connective tissue between e-commerce, mobile apps, and in-person visits, ensuring shoppers move easily between touchpoints.

Beyond convenience, this omnichannel role delivers real business impact. Gift cards allow mall operators to unify fragmented experiences, ensuring that the customer journey feels consistent across every channel. More importantly, every activation and redemption provides data that links digital behavior to in-mall activity. This helps operators track spending across categories, capture first-party data, and identify opportunities for deeper engagement that would otherwise remain invisible.

2. Loyalty that pays back

Traditional loyalty programs often revolved around abstract points, discounts, or vouchers that customers rarely valued. The new generation of programs is built around gift card credits, giving shoppers rewards that feel tangible and useful. When loyalty is expressed in a format that looks and behaves like real money, customers are far more motivated to participate and redeem.

This shift changes the perception of loyalty from a delayed promise to immediate value. A customer who earns €10 in gift card credit can spend it straight away, reinforcing positive behaviors and encouraging repeat visits. For malls, it transforms gift cards into the backbone of loyalty ecosystems, not just a side benefit. By aligning loyalty with currency, malls strengthen engagement, increase redemption rates, and make the entire experience more rewarding for the customer.

3. Corporate demand on the rise

Gift cards are no longer only for birthdays and holidays; they are becoming a key business tool. Companies of all sizes now use them for employee recognition, sales incentives, and client appreciation. Unlike traditional gifts, a gift card offers flexibility, neutrality, and universal appeal, which makes it ideal in corporate contexts.

For shopping centres, this presents a major B2B growth opportunity. Corporate gift card platforms are emerging as essential tools for HR, marketing, and even finance teams seeking efficient, tax-friendly ways to reward and incentivize. Yet, many malls are still underutilising this channel. Those that embrace corporate partnerships can capture significant new revenue, position themselves as attractive business partners, and diversify their gift card sales well beyond the consumer segment.

4. New paths to market

Gift cards are moving well beyond the guest services desk. Aggregated platforms, digital marketplaces, and API-driven distribution networks are opening up entirely new sales channels. Customers can now encounter mall gift cards not just at point-of-sale counters, but within loyalty apps, online shops, or even third-party fulfilment services.

For mall operators, this means distribution can scale far faster and reach audiences who might never have set foot inside the centre otherwise. By placing cards strategically in external ecosystems, malls extend their brand, drive incremental footfall, and turn gift cards into powerful acquisition tools. White-label integrations and digital-first partnerships are creating more touchpoints for discovery, ensuring that gift cards find new customers wherever they already shop online.

5. Turning transactions into insights

Every gift card interaction represents two customer journeys: the buyer and the recipient. This dual pathway creates an unusually rich stream of data. Unlike standard payment transactions, which only reveal how one customer spends, gift cards uncover patterns of purchase intent, gifting behavior, and redemption preferences across two connected audiences.

This intelligence is a goldmine for malls. It enables hyper-targeted campaigns, personalized experiences, and sharper customer segmentation. Operators can see not only where money is being spent but also how gifting introduces new shoppers to the centre and influences long-term loyalty. By turning simple transactions into actionable insights, malls can reposition gift cards as strategic marketing tools that reveal more about consumer behavior than almost any other payment method.

Conclusion

Partners like Giftify help transform gift cards from shelf-side novelties into powerful engines of loyalty, insight, and digital transformation.

For Middle East malls, the opportunity is clear. Embrace gift cards as strategic assets today, or risk being left behind tomorrow.

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