Startup Tango Card Aims To Save Billions In Lost Gift Card Value
Evidence shows that if you bought a gift card for a family member or friend, there's a strong chance you inadvertently gave a gift to the retailer or bank that issued it too.
Last year recipients left nearly $5 billion on gift cards, according to TowerGroup, a financial services consulting firm. The unspent money -- which the gift card industry calls "breakage" -- sits in an escrow account until the issuer, often a retail giant, decides to recognize it as revenue. Best Buy netted $38 million of breakage in a recent fiscal year, while Home Depot banked $37 million during the same year, reports The New York Times.
No comments:
Post a Comment