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January 20, 2026

Gift Cards Done Right: A Revenue Stream You're Ignoring

Gift cards aren't just a holiday thing. Done right, they're cash flow, marketing, and client acquisition rolled into one.

SM

Sarah Mitchell

Content strategist with a passion for helping businesses grow.

Elegant gift cards and voucher display at salon reception

Someone walks into your shop.

"Do you sell gift cards?"

If your answer is a shrug and a handwritten IOU, you're leaving money on the table.


Why gift cards are underrated

Gift cards aren't just a nice-to-have. They're a strategic tool.

1. Immediate cash flow

You get paid now. The service happens later (or sometimes never—more on that).

2. New client acquisition

When someone gives a gift card, they're essentially doing your marketing for you. The recipient might never have found your shop otherwise.

3. Breakage

Industry data shows 10-20% of gift cards are never redeemed. That's pure profit.

4. Upselling opportunity

People often spend more than the gift card value. A $50 card on a $75 service means $25 extra.


The gift card setup

Digital vs. physical

Digital gift cards:

  • Instant delivery via email/text
  • No inventory to manage
  • Easy to purchase 24/7 from your website
  • Can include personalized messages

Physical gift cards:

  • Tangible gift experience
  • Great for impulse purchases at checkout
  • Can be beautifully branded
  • Feels more "giftable" for some people

Best approach: Offer both. Digital for convenience, physical for presence.

Pricing tiers

Don't just offer arbitrary amounts. Tie them to your actual services.

  • $35 – Men's haircut
  • $50 – Haircut + beard trim
  • $75 – Premium experience
  • $100 – Best value (maybe a slight bonus included)
  • Custom amount

When values match services, buyers know exactly what they're giving.

The bonus play

Want to boost gift card sales? Offer a bonus.

"Buy a $100 gift card, get a $15 bonus card free."

The buyer feels like they're getting a deal. You're still getting $100 cash today for services that cost you maybe $30-40 to deliver.


Marketing gift cards year-round

Beyond Christmas

Most shops only push gift cards in December. Mistake.

Gift-worthy occasions throughout the year:

  • Valentine's Day (couples packages)
  • Mother's Day / Father's Day
  • Graduations
  • Birthdays (every month has them)
  • "Thank you" gifts
  • New job celebrations
  • Wedding party prep

How to promote

In-shop:

  • Display at checkout (physical cards)
  • Signage near the mirror: "Know someone who needs a fresh cut?"
  • Mention during checkout: "We also do gift cards if you ever need a last-minute gift."

Online:

  • Prominent link on your booking page
  • Social media posts before gift-giving holidays
  • Email to your client list: "Father's Day is coming—gift cards available"

Make it easy:

  • One-click purchase on your website
  • Instant email delivery option
  • Apple Wallet / Google Pay compatibility if possible

The redemption experience

When someone walks in with a gift card, treat them like gold.

Why? Because they're probably a new client. Someone else vouched for you by giving them that card. This is your chance to convert them into a regular.

Redemption best practices:

  • Make the process smooth (don't fumble with systems)
  • Don't make them feel like a second-class client
  • Offer to book their next appointment before they leave
  • If they spend more than the card, handle payment gracefully
  • If there's a balance remaining, tell them and make it easy to use later

Tracking and management

The danger of paper systems

Handwritten gift cards and honor systems lead to:

  • Fraud (fake cards)
  • Lost tracking (how much was used?)
  • Accounting headaches

Better systems

Most modern booking software includes gift card functionality:

  • Unique codes for each card
  • Balance tracking
  • Expiration dates (where legal)
  • Sales reporting

If your current system doesn't support gift cards, consider Square, Vagaro, or a dedicated gift card platform.


Legal considerations

Gift card laws vary by location. Common rules:

  • Expiration: Many places prohibit expiration dates, or require minimum validity periods (e.g., 5 years)
  • Fees: Monthly maintenance fees are often illegal
  • Disclosure: Terms must be clearly stated

Check your local regulations. When in doubt, err on the side of generosity—no expiration, no fees.


Real numbers from a real shop

Carlos owns a barbershop in Miami. He started taking gift cards seriously 2 years ago.

Year 1 results:

  • Sold $8,400 in gift cards
  • 85% redemption rate
  • 40% of redeemers were new clients
  • 25% of those became regulars

Year 2 (with better marketing):

  • Sold $14,200 in gift cards
  • Added a "Buy $100, get $15 free" promotion
  • Gift cards now represent 8% of total revenue

The kicker? Gift card buyers are often his existing regulars. They're not just buying for others—they're essentially pre-paying and marketing for him.


Start simple

You don't need a fancy system to start.

  1. Order some branded physical cards (Vistaprint, Canva + local printer)
  2. Set up digital cards through your booking software or Square
  3. Create 3-4 price tiers tied to your services
  4. Put a sign at checkout
  5. Mention them before gift-giving holidays

That's it. You're in the gift card business.


Cash today, clients tomorrow

Gift cards are one of the few things that improve your cash flow and bring in new clients.

Don't treat them as an afterthought. Treat them as a revenue stream.

👉 Vinci 26 helps barbershops manage appointments, clients, and growth without marketplace fees or lock-in.

Build something that's truly yours—and give your clients a way to share it.

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Gift Cards for Salons: A Revenue Strategy Guide | Vinci 26