Angry About Gift Certificates

[Brandie]

I have posted a couple of threads about gift certificate questions because I sold one to a great customer's husband as a Christmas gift for her without learning how they could and could not be redeemed. I wanted to thank everyone for their help, as I was able to determine what I was going to do in certain situations depending on what the final answers from HO were. I thought I would share those final answers:

1. No discount can ever be used in redeeming GCs. Consultants can't use their discounts, past hosts can't use their discounts, and of course, hosts can't use their host discounts since you can't redeem the GCs at shows. Apparently, this is because the discounts can be used in purchasing the GCs (I didn't know that when I sold the GC).

2. Gift certificates cannot be returned for a refund or merchadise credit (to be used at a show).

I'm really frustrated with this whole situation because now I feel obligated to purchase a large gift certificate back from this customer so that she can use the money toward her cookware, as she intended to initially. I know that it's my own fault for not checking into the redemption policy before ordering the GC for her, but I just have trouble fathoming why we would sell gift certificates that discourage customers from attending or hosting shows. Based on suggestions I've gotten here (thanks SO much!), I will now be offering my own gift certificates that are only redeemable through me and/or my shows. I thought I would bring up the answers I got from HO to try to prevent someone else from making the same mistake I made. Thanks for letting me vent!

 

[Chef Michelle D]

Let me see...

if I got this right. If a person has a PHD card and a gift certificate and they are at a show they can't use the PHD card and the gift certificate at purchase items at the show? What if they gift certificate is for $50.00 and they are purchasing $150.00 worth of products can they get the discount on the $100.00 that the gift certificate is not covering?

 

[Brandie]

Right.

You can't redeem GCs at shows at all. You have to redeem them online (not through your website, though--only through the company's) or over the phone (again, not through you, but using a number provided when the gift certificate arrives). I don't know if a past host could get her discount on any amount over the $50, but she would have to make the purchase through one of the above methods.

 

[Marg]

Gift Certificates aren't available in Canada - so I make up my own. Perhaps in the future, you could do the same thing and then it is totally up to you what the person can redeem them towards.
Sorry that this has happened to you.

 

[AmyjonesPC]

Would you mind claifying the statement you made about being able to purchase gift certificates with a discount?

 

[Brandie]

Sure

When I got the email back from the HO, it said that they don't allow any discounts to be used in redeeming GCs because discounts could be used to purchase them. Here's their quote:

"Gift certificates, since they are purchased at a Kitchen (where all the discounts are applied), are ineligible for any further discounts when redeemed. For the same reason, they cannot be redeemed at a Kitchen Show. Otherwise the gift certificate would be doubly discounted."

I'm assuming that because GCs can be purchased with a discount at a show, that we can purchase them using our discounts. I believe my director told that once, as well.

 

[mkmiracles]

I think it is much easier to do a gift card yourself and make it reedemable only with the consultant who sold it that way all discounts apply. Only problem I see is that it won't count towards hostess credit for the show it was sold at if applicable. In my experience, gift certificates are usually purchased outside of shows.

 

[n8vtxn]

I had, at one point, tried to get some realtors to offer GCs to clients who bought a new home with them. I figured it could be a great "double whammy" because the the realtor would buy them but then I could make some new contacts when the GC was redeemed. Of course I then found out it doesn't work that way which is kind of a bummer because some of those people could have been potential hosts.

How would you do your own GC? It sounds like an great idea, but wouldn't you have to hang on to that money indefinately until it is redeemed?

Please explain further, I would really like to know more because it sound like it would be an awesome way to boost business and be more beneficial to the giver and reciever - and me!

 

[Brandie]

Own GCs

I plan to print a two-part certificate out on my computer: the top part will look like a gift certificate, and will list the name of the recipient, my name and information, the amount for which the gift certificate is good, and a brief explanation of how the GC must be redeemed (through me). Then, I plan to take the money for the GC and fold it into the other half of the page with a paper clip (or something), and print the recipient and purchaser's information on that half. If the purchaser pays with a check, I'll cash the check, and fold the cash in.

I suppose, if you kept good records, you could just deposit the money into your account and only use it once the GC had been redeemed, but I don't entirely trust myself to do that.

The other advantage of doing your own GCs is that people could purchase them in ANY amount, not just a minimum of $20 and increments of $5.

I still plan to offer the PC GC if someone is sending it to a friends or relative out-of-state or whatever, but anyone who will be in my area and could contact me easily directly would be better served to get a GC that she could use at or as the host of a kitchen show.

 

[n8vtxn]

That is SUCH a great idea! And it makes so much more sense to do it

That is SUCH a great idea! And it makes so much more sense to do it that way - especially if the overall goal is to grow your business. Which of course, we all want to do, right?

Thanks for sharing!

 

[cajunchelle]

This is the GC I am using. I print it out on Avery 8387 Postcard paper.

 

[n8vtxn]

Here is one I came up with.

 

[kimmers]

I don't have publisher

Could one of you post it as a word doc?

Thanks ahead of time.

 

[cajunchelle]

I would love to convert mine to a word document but I have no idea how to do that.

 

[n8vtxn]

I think this will work. Let me know if there are any problems.

Leesa

 

[rwesterpchef]

Gift Certificates

I would love to convert mine to a word document but I have no idea how to do that.

Here ya go! Happy selling!
Rita

 

[cajunchelle]

Thanks so much!!!

 

[ChefSandyK]

Rita, you're awesome!

I LOVE what you did with my old certificate (at least I'm assuming it's mine - looks like the one I posted here.) LOVE the changes you made...am going to incorporate those in mine. Thank you.

Have a great day,
Sandy

 

[rwesterpchef]

You're welcome, anytime.

 

[pchefinski]

With a personally made GC, do you put an expiration date on it? And if so, how many months out do you make it for? 6 months? 1 year? For those that are keeping the GC money locked away with the GC stub, I'm guessing you set an expiration date? I wouldn't imagine you just let that money sit there for like 2 years.. Do you keep in contact with the GC recipient to try to get them to host a show/place an order with the GC? And if the expiration date passes, do you just deposit the money into your own account and consider it a loss to the GC recipient? Sorry so many questions, but I was just curious thanks!

 

[kjxon]

How would the GC you make yourself go towards the host order?

 

[gilliandanielle]

How would the GC you make yourself go towards the host order?

It wouldn't, which is the bad part of making your own, but like someone posted, most GC sales aren't part of a show. Hope this answers your questions!

 

[gilliandanielle]

Amanda, I put an expiration date of 6 months on mine, and I always get the recipients name and phone number, and keep the money with my records of who bought what GC. Once you have the phone number you can call the recipient and remind them a month before it expires. This gives them time to think, and to send them a catalog if they need it. Then call two weeks before it expires to give them another reminder. I always call a week before also. If after all this it expires anyway (never happened to me) I was always going to offer them 10% less for the GC. If it was $100 GC give them $90 credit after it has expires. If they still don't order anything take the money knowing you gave them 4 chances and did everything you could do.

 

[pchefinski]

why couldnt the GC go toward the host order? I'm really confused!

 

[kimmers]

Amanda,

I think it is because it is a personal gc that can only be used through the consultant that issued it. If they order a gc through PC, then it would count towards the host order, but whomever the gc is for can only redeem it through PC not at a show.

Does that make sense?

I was really confused at first too.

Kim

 

[pchefinski]

Aha, I got it now... I think.. LOL. Just kidding.. thanks, I appreciate the help (I've got a serious case of Mommy Brain over here and every little bit really does wonders. LOL)

 

[Sk8Mom209]

Brandie,
Is your customer hosting a show or placing an order on a show? If so, I basically take the PC cert as payment, or buying it back and then either re-gift it as raffle drawing, or have a family member use it to place an order online.

I found this out the hard way. I encouraged a co-worker who received several PC certificates as wedding presents to host a show and basically be out-of-pocket nothing with the free products and using the GC. After the show, I learned she could not pay with the GC. She never even knew there was a problem, I took the GC from her as payment and covered the amount myself and they used one for myself and raffled another at a festival.

From then on I use my own certificates.