After acquiring the Nordic leader on the market in terms of online gift cards, Egmont is now moving the business to physical gift boxes in more than 300 stores nationwide.
The market for gifts is undergoing tremendous changes. The growth on the market is happening as gift cards have become one of the most popular gifts to receive as opposed to CDs and DVDs. Gift cards for cafes, restaurants, concerts and cinemas are the most popular ones.
Only a few years ago gift cards were something that the local shop owner would write out by hand. Today the business for gift cards is growing rapidly with a great thanks to the digitalization. The gift card is accountable for 5 percent of the combined Danish gift market but is expected to grow to 10 percent or approximately 3 billion Danish crowns in 2019. Egmont / Nordisk Film became the market leader in the online gift card market with the acquiring of Gavekortet.dk, which has annual sales at around a quarter of a billion Danish crowns.
These days Egmont is entering the market of physical gift boxes in the shops. Gift boxes with the name “good times” will be available in more than 300 shops before Christmas. Among others it will be available at Bilka, Føtex, Kvickly, Fona, Bog&Idé, Illum, Salling and Arnold Busck.
“This is the next step in the overall effort to be highest in the Nordic region in gifts. We want to develop a total gift solution online ad through physical shops” Christian Folden Lund, Digital manager at Nordisk Film Direct, says.
“Research shows that gift cards are now the most popular gift, but there has been an obstacle for the givers of the gift cards box make it personal. We are working on a number of ways to personalize both the online and the physical gift card. For Christmas 2014 it will be possible to print your own front to the gift boxes and include a small message or a photo. It could be a photo of the receiver of the gift box,” Christian Folden Lund says.
Gift cards are one of the fastest growing items in both Føtex and Bilka. Gift boxes are an item that fits perfectly into the area of the check outs where the customer gets the idea for an easy gift. We wish to offer a large variety of gift cards,” says Rene Knudsen, category manager at Dansk Supermarked.
Christian Folden Lund believes that the consumers are asking for new ways to give gifts.
“If I ask people when they last gave someone a CD as a present, most can’t remember. We haven’t stopped giving gifts; we just need new ways of giving each other music, experiences and movie tickets.”
Three years ago Nordisk Film started building a new business reaching beyond movies, cinemas and PlayStation. The ambitious goal is to have an annual sale of a billion crowns. Through the acquisition of Gavekortet.dk, Filmweb and Billetlugen and the startup of MinBio, Frontrow and Good times Nordisk Film direct has had sales for 350 million Danish crowns and is currently 100 + employees.