India Gift Card and Incentive Card Market - Growth, Trends, Covid-19 Impact, And Forecasts (2022 - 2027)

The India Gift Card and Incentive Card Market is segmented based on the Card Type (E-Gift card, Physical card), by Consumer Type (Retail Consumer, Corporate Consumer) and by Distribution Channel (Online, Offline).

Market Snapshot

Market Summary
Study Period: 2018-2027
Base Year: 2021
CAGR: >20 %

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Market Overview

The Indian gift card market has recorded a strong growth in the recent years across retail and corporate consumer segments. There is participation across various retail sectors and increased adoption has attracted travel companies, OTT and content platforms, as well as mobile payment providers.

The country has faced strict lockdown since March 2020 due to coronavirus outbreak. The socio-economic environment was negatively impacted due to COVID-19, which has led to fewer celebrations and gifting. However, the pandemic had a positive impact on e-commerce, a trend which is expected to remain the same over the coming quarters. This has also positively impacted the gift card market.

Amidst the pandemic, digital gift cards are gaining popularity in India as consumers are looking for safe and convenient gifting options. The sales of digital gift cards improved significantly in 2020, as compared to 2019 with gift cards from e-commerce ventures recording strong growth.

OTT and content platforms such as SonyLiv and Zee5 have been offering discount of about 50% & 25%, respectively, on gift cards. The trend is visible across OTT and content platforms. Moreover, travel companies such as Makemytrip, and Yatra are also strongly focusing on sale digital gift cards. Apart from gift cards, Cleartrip, Thomas Cook, and Ola are offering discounts of upto 10% for staycations, short trips, and workations. In the food and beverage space, to attract customers, Pizza Hut, Starbucks, Dominos, Chaayos, and KFC in metro cities are offering gift cards with attractive discounts.

Scope of the Report

A gift card is a prepaid debit card that is loaded with funds for future use, which can be used to make purchases and other financial transactions. The India Gift Card and Incentive Card Market is segmented based on the card type (E-Gift card, Physical card), by Consumer type (Retail Consumer, Corporate Consumer) and by distribution channel (Online, Offline).

By Card Type
E-Gift Card
Physical Card
By Consumer Type
Retail Consumer
Corporate Consumer
By Distribution Channel

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Key Market Trends

Strong Growth in the E-Commerce Market is Driving the Gift Card Industry

One of the major factors that are driving the growth of the gift card market in India is the robust growth of the e-commerce industry. The number of consumers who turned to online shopping increased significantly over the last four to eight quarters on the back of the prolonged lockdown restriction and rising internet and smartphone penetration rate in the country.

The online retail market will be largely driven by younger generation consumers in India, who prefer a mobile-first approach while shopping. Notably, this growth in the e-commerce industry will continue to support the growth of digital gift cards and the overall gift cards industry in India over the next four to eight quarters.

Digital gift cards are very popular in the hospitality and spa industry. Many restaurants offer gift cards to their loyal customers as an appreciation for their loyalty. As the effects of the pandemic recede, many small businesses have come forward with a plan to offer gift cards to their customers to get back on track and cover up the pending targets as much as possible. Also, digital gift cards bring in instant cash flow when offered to regular customers.

Much of the growth for the industry has been triggered by an increase in internet and smartphone penetration. The number of internet connections in 2021 increased significantly to 830 million, driven by the ‘Digital India’ programme. Out of the total internet connections, ~55% of connections were in urban areas, of which 97% connections were wireless.

Key Market Trends

Greater Adoption of E-Gift Cards

E-Gift Card category has shown tremendous growth in recent times, as enterprises and corporates are taking the e-gifting route to engage with their employees and partners to minimize contact in the wake of COVID-19.

Digital gift cards might be one of the most underutilized growth tools in eCommerce. Not only do they require minimal upfront risk, but they can also help boost your brand awareness, drive sales, and build customer loyalty.

Online gift cards are among the most popular choices for holiday shoppers. But the global pandemic has accelerated their sales even beyond seasonal periods.

Key Market Trends

Competitive Landscape

The India Gift Card and Incentive Card Market is moderately fragmented. New players are entering into the market as the market is lucrative. Market participants are aggressively growing their industry penetration in order to get a competitive advantage over others. Market participants are focusing on brand penetration through strong promotional techniques. Few competitors in the B2B sector promote their card offers as tax advantage cards. All the initiatives and actions by suppliers are likely to have a favourable influence on the growth of gift card sales in both the personal and business categories.

Recent Developments

November 2021: QwikCilver also entered into a strategic partnership with Airlink. Under the partnership, Airlink also launched gift cards for its customers that are redeemable against air tickets and several other services on its official website.

September 2021: QwikCilver, one of the leading gift card providers in India, entered into a strategic partnership with Vistara. Under the collaboration, Vistara is launching a Purple Ticket, a new gift card for travel on Vistara, which can be used by individual consumers as well as for corporate gifting in India. Customers can use the gift card solution either for booking their tickets or for additional services such as seat booking, excess baggage, and lounge access.

Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Overview

    2. 4.2 Market Drivers

    3. 4.3 Market Restraints

    4. 4.4 Value Chain / Supply Chain Analysis

    5. 4.5 Porter's Five Forces Analysis

      1. 4.5.1 Threat of New Entrants

      2. 4.5.2 Bargaining Power of Buyers/Consumers

      3. 4.5.3 Bargaining Power of Suppliers

      4. 4.5.4 Threat of Substitute Products

      5. 4.5.5 Intensity of Competitive Rivalry

    6. 4.6 PESTLE Analysis

    7. 4.7 Impact of COVID-19 on the Market


    1. 5.1 By Card Type

      1. 5.1.1 E-Gift Card

      2. 5.1.2 Physical Card

    2. 5.2 By Consumer Type

      1. 5.2.1 Retail Consumer

      2. 5.2.2 Corporate Consumer

    3. 5.3 By Distribution Channel

      1. 5.3.1 Online

      2. 5.3.2 Offline


    1. 6.1 Market Concentration Overview

    2. 6.2 Company Profiles

      1. 6.2.1 EbixCash

      2. 6.2.2 QwikCilver

      3. 6.2.3 LivQuik

      4. 6.2.4 IGP

      5. 6.2.5 eVoucher India Pvt Ltd

      6. 6.2.6 Woohoo

      7. 6.2.7 Zingoy

      8. 6.2.8 Giftstoindia24x7

      9. 6.2.9 GyFTR

      10. 6.2.10 You Got a Gift*

    3. *List Not Exhaustive


  9. 9. APPENDIX

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Frequently Asked Questions

The India Gift Card and Incentive Card Market market is studied from 2018 - 2027.

The India Gift Card and Incentive Card Market is growing at a CAGR of >20% over the next 5 years.

EbixCash, QwikCilver, LivQuik, igp, eVoucher India Pvt Ltd are the major companies operating in India Gift Card and Incentive Card Market.

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