Gift Cards Are For Chumps

Seth Godin is one of my favorite bloggers (and business writers) to read. His consistently ahead of the curve insights and unconventional views are really cool. It's almost like reading a mind teaser each day that you might actually use. Well here is some useful, though perhaps not particularly insightful, advice of his:

Last year, more than $8,000,000,000 was wasted on these cards. Not in the value spent, but in fees and breakage. When you give a card, if it doesn't get used, someone ends up keeping your money, and it's not the recipient. People spent more than eight billion dollars for nothing... buying a product that isn't as good as cash.

Along the way, we bought the story that giving someone a hundred dollar bill as a gift ("go buy what you want") is callous, insensitive, a crass shortcut. Buying them a $100 Best Buy card, on the other hand, is thoughtful. Even if they spend $92 and have to waste the rest.

The interesting thing about stories is that the inconsistent ones don't always hold up to scrutiny. Consumer Reports and others are trying to spread a different story. One that sounds like this:

Gift cards are for chumps.

If enough people talk about this new story, people will be embarrassed to give a gift card. It's a waste. It's a scam. It's a trap for the recipient.

Keep your heads up. Keep fighting for what is right and reasonable.