Gift cards have become a go-to choice for consumers who want something flexible, convenient, and easy to personalize. But where people choose to spend those cards says a lot about what they value and how they shop. From everyday essentials to entertainment and experiences, certain categories consistently rise to the top because they fit real needs and lifestyles.
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Data for today’s episode is provided by Javelin Strategy & Research’s Report: 22nd Annual U.S. Closed-Loop Prepaid Card Market Forecast, 2025-2029
Top Consumer Gift Card Purchase Categories
- 43% – Mass merchandisers (Walmart, Target, etc.)
- 41% – Online-only merchandise retailers (Amazon, eBay, etc.)
- 34% – Fast-food/quick-service restaurants (McDonald’s, Panera Bread, etc.)
- 31% – Coffee/specialty food (Starbucks, Dunkin, etc.)
- 25% – Supermarkets/Grocery stores (Kroger, Publix, etc.)
Source: Javelin Strategy & Research
About Report
This report builds on Javelin Strategy & Research’s ongoing analysis of the closed-loop prepaid market, examining recent load activity alongside projected performance over the next five years. The overall outlook remains favorable, with the category expected to expand steadily. Segments such as in-store gifting and incentive programs are positioned for solid gains, while areas like nutrition assistance and prepaid mobile are projected to increase more modestly. Online gaming and gambling continue to be a notable growth driver, supported by broader legalization and strong consumer interest. Shifting economic pressures and policy decisions remain key variables, as higher everyday costs tend to support prepaid usage while lower levels of federal funding limit growth in certain programs.
Consumer attitudes toward closed-loop cards are also trending positive. Both purchasers and users in the U.S. indicate ongoing adoption, driven by increases in load amounts, a stable mix of gifting and personal use, and a balanced shift between digital and physical card formats. Together, these factors point to sustained relevance and gradual expansion across the market.
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