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BHN releases 9th annual study, highlights digital gift card opportunities

Wednesday, July 15, 2026 — 19:17:04 (UTC)

ew Benchmark Report Finds Opportunities for Retailers to Optimize AI Discovery and Purchase Engagement

Ninth annual study highlights opportunities to strengthen direct digital gift card discovery, delivery and purchase experiences, including AI search visibility and mobile-first design

PLEASANTON, Calif.--Blackhawk Network (BHN), a global leader in branded payments, today released its ninth annual Best Direct Digital Gift Cards Benchmark Report, developed in collaboration with NAPCO Research. The report assesses brands’ direct digital gift card programs, which offer gift cards directly through their own websites or apps and are often referred to as first-party or owned gift cards. New for 2026, the benchmark also evaluates AI search, group gifting, animated cards, delivery notifications and purchase-flow integrity.

The findings come as AI increasingly influences how consumers shop. AI-driven traffic to retail websites increased approximately 4,700% in 2025, according to Capital One Shopping, while Morgan Stanley projects that nearly half of online shoppers are expected to use AI shopping agents by 2030. At the same time, the global gift card market is projected to reach $1.7 trillion by 2030, creating significant opportunities for brands that optimize their gift card programs for AI-driven discovery, flexibility and customer experience.

“AI is increasingly the starting point for the consumer shopping journey, directing shoppers toward the brands and products they see first,” said Talbott Roche, CEO and president at BHN. “The strongest programs make gift cards easy to find, personalize, purchase and use across the digital channels consumers already rely on. That creates a flywheel: each gift card interaction can bring consumers back to the brand, create another reason to engage and keep more of that spending within the brand’s own ecosystem.”

The report evaluates the end-to-end direct digital gift card journey, from discovery and purchase through delivery and redemption. Key findings include:

AI Is Reshaping Gift Card Discovery and Decision-Making: BHN research finds that 33% of shoppers use AI to compare products and find the best prices when gift shopping. Yet only 61% of the 120 brands assessed met the report’s AI-search criteria, and just 5% offered AI-powered gifting recommendations. That leaves an opportunity to make gift card offers, use cases and promotions easier for AI tools to surface in search and gifting recommendations.

Flexibility and Personalization Improve the Gift Card Experience: Leading programs give consumers more choice in digital delivery channels and timing, as well as personalization and payment. While 66% of brands offer text delivery, only 48% offer scheduled delivery. Custom designs, messages, denominations and multi-recipient options can make gifting more personal and relevant.

Mobile-First Design Sets Leaders Apart: The three highest-performing industry verticals averaged 85% across the report’s mobile-experience criteria, compared with 41% for the three lowest-performing verticals. The gap shows the importance of intuitive mobile navigation and streamlined checkout.

Year-Round Marketing Is a Missed Opportunity: Across the benchmark, brands averaged 34% on the report’s marketing assessment, which evaluates gift card promotions across websites, apps, email, social media, search and sales promotions. Yet demand extends beyond the holiday season. Americans buy an average of nine gift cards annually for other occasions, including thank-yous (83%), Valentine’s Day (79%) and birthdays (77%). Nearly 40% say promotions or bonus cards make them more likely to purchase a gift card.

Omnichannel Programs Keep Customers Connected: Strong programs make gift cards easy to find, purchase, deliver, redeem and use across websites, apps and search. Recipient-facing features such as digital wallet access, balance checks and flexible redemption can keep gift card value in active use and extend engagement with the brand.

The 2026 benchmark evaluates direct digital gift card programs from 120 brands across the U.S. and Canada, spanning 19 industry verticals including online marketplaces, dining, entertainment, travel, home improvement, grocery, on-demand delivery and pet supplies. Across 147 criteria, the study examines purchaser and recipient experiences across desktop, mobile web and mobile apps.

The full 2026 Benchmark Report provides overall benchmark data, industry-category average scores and actionable insights to help brands assess the strengths and opportunities within their direct digital gift card programs and prioritize areas for investment.

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Source: Company press release.

Categories: Reports and research