How to Create and Sell Gift Cards for Your Grooming Business

Gift cards are simple, powerful revenue tools.

Clients pay upfront for services they — or someone else — will use later. Some gift cards never get redeemed, which increases overall profitability.

Beyond immediate cash flow, gift cards introduce new clients to your business. When someone gives a grooming gift card, the recipient becomes a potential long-term customer.

Here’s how to set up a gift card program that works.

Why Gift Cards Work for Groomers

Revenue Upfront

You collect payment when the card is purchased — not when the service is provided.

This improves cash flow, especially during slower seasons.

New Client Acquisition

Gift card recipients who’ve never visited your salon now have a reason to try you.

If you deliver a great experience, you gain a new regular.

Breakage

Industry average: 10–20% of gift cards are never redeemed.

That’s revenue without service cost.

Higher Spending

Clients often spend more than the card value and pay the difference.

Average redemption amounts frequently exceed the original gift card value.

Holiday Revenue Boost

Peak gift-buying seasons (Christmas, Mother’s Day, etc.) generate gift card sales — even if they don’t generate grooming appointments.

Gift Card Options

Physical Cards

Tangible plastic or paper cards clients can give as gifts.

Pros

• Feels like a real gift
• No technology required to redeem

Cons

• Inventory cost
• Requires tracking system
• Can be lost

Digital Gift Cards

Delivered via email or text.

Pros

• Instant delivery
• No inventory cost
• Easy tracking
• Environmentally friendly

Cons

• Less tangible
• Requires recipient email or phone

Printable Certificates

PDF certificates customers can print.

Pros

• Free to produce
• Immediate delivery
• Customizable

Cons

• Easier to duplicate (fraud risk)
• Less professional feel

Hybrid Approach

Most grooming businesses offer both physical and digital options.

Let clients choose what works best for them.

Setting Up Physical Gift Cards

Card Design

Include:

• Your logo and branding
• Space for amount or balance
• Unique card number
• Redemption instructions (phone, website, etc.)
• Expiration policy (if applicable — check local laws)

Where to Order

Print providers such as:

• VistaPrint
• Canva Print
• Specialty gift card suppliers

Typical cost: $0.50–$2 per card, depending on quantity and quality.

Tracking System

Every card needs a unique identifier.

When sold, record:

• Card number
• Amount loaded
• Date sold
• Purchaser (optional)

When redeemed, record:

• Date
• Amount used
• Remaining balance

A spreadsheet works at low volume. Grooming software is better at scale.

Display and Selling

• Keep gift cards visible at checkout
• Display them attractively
• Mention them regularly

Example:

“Would this make a great gift? We offer gift cards if you’d like to share the love.”

Setting Up Digital Gift Cards

DIY Option

Manually emailing certificates works at low volume — but lacks professionalism and proper tracking.

Platform Options

• Square Gift Cards (if you use Square payments)
• Grooming software with built-in gift card features
• Dedicated gift card services

How Digital Gift Cards Work

1. Client purchases online or in-store
2. System generates a unique code
3. Code is emailed or texted to recipient
4. Recipient presents code
5. System tracks remaining balance automatically

Pricing and Denominations

Standard Amounts

Offer preset options:

• $25
• $50
• $75
• $100

Preset amounts simplify decision-making.

Custom Amounts

Allow custom values above a minimum amount.

Some buyers want to cover the exact cost of a specific service.

Avoid Discounting Gift Cards

Gift cards should be sold at face value.

Discounting trains customers to wait for promotions.

Exception:
“Buy $100, get a $10 bonus card” can boost slow-season sales.

Legal Requirements

Gift card laws vary by location.

Common requirements include:

No Expiration

Many states prohibit expiration or require long minimum validity (often 5+ years).

Fee Restrictions

Limits on inactivity or maintenance fees.

Cash-Out Rules

Some states require cashing out low balances (often under $10).

Disclosure

Terms must be clearly disclosed at purchase or on the card.

Always research your local regulations before implementation.

Selling Strategies

At Checkout

Suggest gift cards during payment:

“These make great gifts for other dog owners.”

Seasonal Campaigns

Promote before:

• Christmas
• Mother’s Day
• Valentine’s Day
• Pet holidays

Use email and social media.

Website Visibility

• Dedicated gift card page
• Clear navigation link
• Easy online purchase

Local Partnerships

Sell through:

• Local pet stores
• Cafés
• Boutiques

Use commission or consignment models.

Social Media Promotion

Post regularly during gift-giving seasons:

• Show physical cards
• Explain how digital cards work
• Highlight convenience

Tracking and Accounting

Track Every Card

Maintain records of:

• Sale date
• Original amount
• Unique ID
• Redemption history
• Current balance

Accounting Treatment

Gift card sales are typically recorded as liability (deferred revenue) until redeemed.

Once redeemed, they convert to actual revenue.

Consult your accountant for proper accounting treatment.

Breakage Recognition

Unredeemed balances may be recognized as revenue after a certain period, depending on regulations and accounting standards.

Reconciliation

Regularly confirm:

• Outstanding balances
• Total gift card liability
• Tracking accuracy

Your records should match your actual liability.

Redemption Process

Keep It Simple

Redemption should be fast and easy.

Client presents card or code → balance applies to service.

Allow Partial Use

Clients should be able to:

• Use part of the balance
• Keep the remaining amount

Combining Payments

If service cost exceeds balance → client pays difference.
If service cost is lower → remaining balance stays on card.

Lost Cards Policy

Establish a clear policy.

If you track card numbers, you may verify and reissue.
Without tracking, replacement becomes difficult.

Promoting Gift Cards

Email Marketing

Send targeted campaigns before major holidays.
Include direct purchase links.

In-Salon Signage

Display signage explaining:

• How gift cards work
• Available denominations

Social Media

Consistent seasonal reminders.
Clear, simple explanations.

Website

Dedicated landing page with easy purchasing instructions.

Referral Angle

“Give the gift of grooming.”

This messaging resonates strongly with pet owners.

Common Mistakes

No Tracking System

Leads to:

• Fraud risk
• Accounting issues
• Balance disputes

Complicated Redemption

If using the card feels difficult, customers won’t buy them.

Ignoring Legal Requirements

Non-compliance can create serious legal risk.

Not Promoting

Gift cards hidden behind the counter won’t sell.

Forgetting the Liability

Every sold gift card represents an obligation.
Track and account for them properly.

Frequently Asked Questions

How much does it cost to implement gift cards?

Physical cards: $50–$200 initial inventory.
Digital cards: Often free through payment processors or grooming software.

Do gift cards cannibalize regular sales?

Occasionally. But new client acquisition and breakage typically offset any loss.

What about counterfeiting?

Unique identifiers and solid tracking reduce fraud risk.
Digital cards are harder to counterfeit than physical ones.

Should gift cards expire?

Check your local laws. Many areas prohibit expiration.

Even where allowed, no-expiration policies are more customer-friendly.

What’s a reasonable breakage expectation?

Typically 10–20% of total gift card value goes unredeemed.

Don’t rely on it — but consider it a potential bonus.