Remember that Kleenex campaign that let people send each other free tissues? Well, what if you could do that with a range of fashionable gift certificates? With a new app called Wrapp, you can.
Already a huge success in Sweden, the UK, Norway, and Japan, the program has partnered with H&M, Gap, Sephora, and other major retailers to let users give, receive, and redeem gift cards on their mobile devices (both iPhone and Android). Now, instead of writing “Happy Birthday” on a friend’s Facebook wall, you can post a free gift certificate there instead. Other methods of delivery include emailing or texting the digital gift card.
The catch? The gift certificate amounts are fairly small — after all, they’re free — and you can only give them out to recipients who meet the particular retailer’s designated target audience. In other words, Wrapp is trying to help its brand clients market to worthwhile potential customers. The idea is that after getting a small gift card (think around $5) the recipient will use it to spend more. In other countries where Wrapp is established, this has certainly been the case.
Even with the recipient limitation, the app has proved hugely popular — in Sweden, 165,000 users gave out a total of 1.4 million gift cards over a period of four months. Now, with another 15 retailers in the U.S. set to get on board with Wrapp in the coming months, this could mark a major new entry point for social commerce.