First Data Spend Trend Closed Loop Report - August 2012
SpendTrend® Closed Loop Prepaid Cards is a monthly indicator of prepaid card load, usage and spending, categorized by industry and prepaid card type. Key insights can be utilized to assist with forecasting, stimulating sales or tactical deployment of marketing during key promotional seasons.
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Activation Growth At QSRs Leaped In August. In August, QSRs saw a spike in gift card activation growth. Although QSR gift card activation and redemption growth has performed well in 2012, the uptick in QSR gift card activations in August was noteworthy. Both QSR activation dollar volume and activation transaction growth hit twelve month highs at 45.8% and 58.3% as this segment aggressively engaged in gift card promotional activity in August. QSRs have continued to be attractive to consumers because they represent more value for their dollar.
Gift Card Activation and Redemption Average Ticket Growth Continued To Decline. Overall average ticket growth slowed for activations and redemptions compared to July. The overall average ticket growth of activations and redemptions was -9.4% and -12.1%, both twelve month lows. The cautious consumer sentiment kept overall average ticket growth sluggish.
The SpendTrend Closed Loop Prepaid Cards is part of First Data’s suite of SpendTrend analytics tools. For more information on First Data SpendTrend, visit www.firstdata.com/infoanalytics or call SpendTrend Customer Care at (800) 430-0169.