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Everything You Need to Know About Shopify Gift Cards in 2023

by Mia Nguyen
Feb, 2025
in Platform Tutorials

If you're running an eCommerce business on Shopify, you've likely heard of the tremendous value that Shopify Gift Cards can bring. In this article, we'll walk you through everything you need to know about Shopify Gift Cards. Whether you're just starting or looking to optimize your Shopify gift card strategy, we've covered you with valuable insights and tips to make the most of this powerful sales tool.

We – the LitExtension team, will guide you through the essential points:

  • Introduction to Shopify Gift Cards
  • How to add Shopify Gift Cards in five steps
  • Tips for promoting and marketing your Shopify Gift Cards

Let's dive in and unlock the potential of Shopify Gift Cards for your business!


Introduction to Shopify Gift Cards

Every customer nowadays wants a seamless shopping experience and refers to shops that provide a wide range of payment options. One such payment method that has gained immense popularity is using Gift Cards.

Shopify Gift cards are an excellent choice for customers seeking a flexible and convenient payment option for their desired products or services. If you're a Shopify merchant looking to enhance your customer experience and boost sales, it's time to explore the world of Shopify Gift Cards.

What Are Shopify Gift Cards?

Shopify Gift Cards are digital vouchers or pre-paid cards that customers can purchase and use as an alternative payment method on your Shopify store. Customers can redeem the value of each gift card by entering its unique code during checkout.

Tentree Gift Cards
Gift Cards example from Tentree Store

Whether for birthdays, holidays, or special occasions, a gift card provides the perfect gift for shoppers looking to treat their loved ones. However, the physical Shopify Gift Cards similar to those found on Amazon, Google Play, or any other online store gift card cannot currently be used.

Where to Use Shopify Gift Cards?

Shopify Gift Cards can be used exclusively on your Shopify store. For those wondering which stores accept Shopify Gift Cards, Shopify Gift Cards are accepted on any store built and hosted on the Shopify platform.

Shopify store customers can redeem gift cards by entering the code at checkout. The Shopify Gift Cards balance will be applied towards their purchase, allowing them to enjoy a seamless and hassle-free shopping experience.

This feature allows your customers to enjoy the flexibility of choosing products or services they desire while giving your store an added advantage of increased sales and customer satisfaction.

Why Offer Gift Cards on Your Shopify Store?

Integrating gift cards into your Shopify store offers many benefits that can significantly impact your business. Here are some compelling reasons why offering gift cards is a wise investment:

  • Expand your customer base: Gift cards act as mini advertisements for your business, extending your reach to new potential customers who may have yet to discover your store. When recipients redeem gift cards, they can explore your products, become loyal customers, and spread the word about their positive experiences.
  • Boost sales and revenue: Gift cards have been proven to drive incremental business sales and revenue. When customers order Gift Cards, they are essentially pre-paying for products or services, ensuring future purchases in your store. Additionally, recipients of gift cards often spend more than the card's value, leading to higher average order values and increased profitability.
  • Enhance customer loyalty: By offering Gift Cards, you provide a valuable incentive for customers to return to your store. Gift card recipients often become repeat customers. This fosters long-term customer relationships, increases customer retention, and generates positive word-of-mouth referrals.
  • Drive brand awareness and visibility: Your brand is showcased each time customers use Gift Cards. This reinforces brand awareness and serves as free advertising when customers share their gift card experiences with others. As a result, your store gains valuable exposure, attracting potential customers and building a solid brand presence in the market.

You are a newbie who wants to find out more Shopify features? Let’s check out the articles below:

  • Everything You Need to Know About Shopify One Page Checkout
  • Shopify Metafields Explained: Customize Your Store Like a Pro
  • Top Tips for Effective Shopify Inventory Management
  • Get the Right Shopify Product Image Size for a Polished Storefront

How to Add Shopify Gift Cards In Five Steps?

Follow these five steps to generate Gift Cards for your Shopify store.

Step 1: Log in to Shopify Store

First, log in to your Shopify account, and access your Shopify store Admin Dashboard.

Shopify Login Dashboard
Shopify Login Dashboard

Step 2: Add Shopify Gift Card Product

#1 From the left-side menu, click on “Products”> “Gift cards”.

Gift Cards section from the Shopify Admin dashboard
Go to the Gift Cards section from the Shopify Admin dashboard

#2 Next, you can choose whether the customers can buy Gift Cards as a product or directly get gift card codes. Let’s click “Add gift card product” to create one for customers to purchase.

Add Gift Cards as Products on the Shopify store
Add Gift Cards as Products on the Shopify store

Step 3: Customize Gift Card Settings

#1 Fill in the necessary details for your gift card, such as the product title, description, and images. You can see in the screenshot down below, I created a Birthday Gift Card as an example.

Customize Gift Cards product
Customize Gift Cards product

#2 Scroll down to the “Denominations” section and set the gift card's price.

Each denomination is saved as a variant for the customers to choose from. Click “Add denomination” to create a new option.

Set up Gift Cards pricing
Set up Gift Cards pricing

#3 You can also choose to personalize the preview of your search engine listing or keep it as it is.

Step 4: Update Gift Card Product Status and Collection (If Needed)

Below are some additional steps to customize your Gift Cards, you can skip them if you want to.

#1 In the “Publishing” section, you can choose whether to make the gift card available for sale immediately or set a future start date.

Set up Gift Cards publishing schedule
Set up Gift Cards publishing schedule

#2 If you have created specific collections for your gift cards, assign the product to the relevant group. You can also add the related keywords tags to make the gift card product easier to find.

Assign Gift Cards to Product collection and tags
Assign Gift Cards to Product collection and tags

Step 5: Save Your Changes

Once you have finished customizing the gift card settings, click “Save” to apply the changes, and you have successfully added the Gift Cards to your store.


How to Manage Your Shopify Gift Cards?

Once you have successfully created and launched Gift Cards for your online store, the next thing is managing these cards effectively. Here's a step-by-step guide on how to manage your Shopify Gift Cards:

Step 1: Access Shopify Gift Card Sales Information

From your Shopify admin dashboard, go to the “Orders” section.

Check Gift Cards orders
Check Gift Cards orders

Here you can find all Shopify Gift card orders and other orders placed in your store.

Step 2: Understand the Gift Card Sales Report

Go to “Reports“> Filter Categories “Finances” and click “Gift card sales” to access the Report.

The gift card sales report provides valuable information about your Gift Cards transactions, such as:

  • The date the gift card was sold
  • The order number
  • Customer name
  • Gift card value
  • Applied discounts
  • Total sales

This report helps you track and analyze your Gift Cards sales performance.

Check and review Shopify Gift Cards Sales and Balance Report
Check and review Shopify Gift Cards Sales and Balance Report

Step 3: Review the Shopify Gift Cards Balance Report

Similar to accessing the Gift Cards Balance Report. This report gives you a comprehensive overview of the daily Gift Cards balance. It includes valuable information, such as:

  • Opening balance
  • Issued value
  • Sold value
  • Disabled value
  • redeemed value
  • Refunded value
  • Adjustment value (for Shopify Plus users)
  • Closing balance
  • Net change

Step 4: Manage Active Shopify Gift Cards

To view a complete list of your active gift cards, go to “Products”> “Gift cards”.

Manage active Shopify Gift Cards
Manage active Shopify Gift Cards

Here, you can see each gift card's details, including customer information, current balance, and purchase date. This helps you keep track of individual gift cards and their usage.

Remember to regularly review your gift card reports and monitor the Shopify Gift Cards balance to stay informed about your gift card program's performance. Use these insights to improve your business with gift cards in your Shopify store.


Tips for Promoting and Marketing Your Shopify Gift Cards

Now that you know how to create and manage Shopify Gift cards, here are some practical tips to help you successfully promote and market your gift cards:

#1. Display Gift Card Options on Your Storefront

  • Make your gift cards visible and accessible on your website's homepage or navigation menu.
  • Use eye-catching graphics and compelling call-to-action buttons to encourage customers to explore and purchase gift cards.
  • Communicate the value and benefits of your gift cards to attract potential buyers.

#2. Create Gift Card Campaigns and Special Offers

  • Develop targeted marketing campaigns specifically promoting your gift cards.
  • Offer special promotions, such as discounts, bonus values, or bundled packages, to incentivize customers to purchase gift cards.
  • Highlight the versatility and convenience of gift cards as ideal presents for special occasions.

#3. Integrate Gift Cards into Email Marketing and Social Media

  • Leverage your email marketing campaigns to promote gift cards to your subscriber list.
  • Create custom messages promoting gift cards' convenience and versatility.
  • Use social media platforms to craft compelling content. Showcasing your gift cards and encouraging followers to share with their networks.

Continuously adapt your marketing efforts based on these insights to optimize gift card promotions and drive more sales. Good luck!


Frequently Asked Questions

Can You Buy a Gift Card on Shopify?

Yes, you can purchase Shopify Gift Cards on Shopify. Many online Shopify stores offer the option to buy Shopify Gift Cards for yourself or as a gift for someone else. These Shopify Gift Cards can be used to make purchases on the respective Shopify store.

How Does a Gift Card Work in Shopify?

Shopify Gift Cards work like pre-paid cards. It has a unique code that can be entered during the checkout process on a Shopify store. The value of the gift card is deducted from the total purchase amount. If there is any remaining Shopify Gift Cards balance, it can be used for future purchases until the total amount is utilized or the gift card expires.

Can I Use Shopify Gift Cards on Amazon?

No, Shopify Gift Cards can only be used on online stores powered by the Shopify platform. They cannot be used on Amazon or any other non-Shopify websites. Shopify Gift Cards are specific to the stores built on the Shopify platform.

Can You Sell Digital Gift Cards on Shopify?

Yes, you can sell digital Shopify Gift Cards. The platform offers features and integrations that allow store owners to create and sell digital gift cards. Customers can purchase these digital gift cards online and receive them via email or other digital delivery methods. They can then redeem the gift cards on the respective Shopify store.


Conclusion

With the step-by-step guide, you can confidently set up and manage Shopify Gift Cards, ensuring a seamless experience for you and your customers. By harnessing the power of Shopify Gift Cards, you can enhance your eCommerce strategy and drive growth for your business in 2023 and beyond.

To get more helpful advice for your online stores, visit our LitExtension blog and sign up for our eCommerce community. If you're considering switching to Shopify, LitExtension – the #1 Shopping Cart Migration Expert, is ready to assist you with the fastest and most affordable solution!

See more:

  • Shopify Flow: Automate Tasks and Focus on What Matters
  • Should You Use Shopify Payments? A Comprehensive Review
  • The Benefits of Joining the Shopify Partner Program
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Mia Nguyen

Mia Nguyen

Mia is a dedicated Wix enthusiast who stays updated with the latest trends to empower online businesses with state-of-the-art strategies.

Free Migration Resources
Table of Contents
  1. Introduction to Shopify Gift Cards
    1. What Are Shopify Gift Cards?
    2. Where to Use Shopify Gift Cards?
    3. Why Offer Gift Cards on Your Shopify Store?
  2. How to Add Shopify Gift Cards In Five Steps?
    1. Step 1: Log in to Shopify Store
    2. Step 2: Add Shopify Gift Card Product
    3. Step 3: Customize Gift Card Settings
    4. Step 4: Update Gift Card Product Status and Collection (If Needed)
    5. Step 5: Save Your Changes
  3. How to Manage Your Shopify Gift Cards?
    1. Step 1: Access Shopify Gift Card Sales Information
    2. Step 2: Understand the Gift Card Sales Report
    3. Step 3: Review the Shopify Gift Cards Balance Report
    4. Step 4: Manage Active Shopify Gift Cards
  4. Tips for Promoting and Marketing Your Shopify Gift Cards
    1. #1. Display Gift Card Options on Your Storefront
    2. #2. Create Gift Card Campaigns and Special Offers
    3. #3. Integrate Gift Cards into Email Marketing and Social Media
  5. Frequently Asked Questions
    1. Can You Buy a Gift Card on Shopify?
    2. How Does a Gift Card Work in Shopify?
    3. Can I Use Shopify Gift Cards on Amazon?
    4. Can You Sell Digital Gift Cards on Shopify?
  6. Conclusion

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