Monday, September 21, 2009

Plastic Jungle helps sell, donate or exchange unsused gift cards.

Nowadays gift cards have become very popular with people who use them as an easy option when the need to buy someone a gift, arises. But as popular as they are for the givers, that may not be the same for the recipients with 10% of them who do not redeem their cards or do it only partially. That makes the merchants that issue those cards the real winners in this exchange. If gift cards recipients have all kind of reasons not to use them in the past, now they have an option to take advantage of them by trading them for cash or for another card that they really want to use. A nascent trading market of second hand gift cards has sprung up in recent years, allowing owners of unwanted cards to unload them.
Plastic Jungle.com a California start up is one the companies that buys, sells or exchange unused gift cards for cash or a credit with Amazon.com. Plastic Jungle buys those cards at a discount ( about 8o percent of the original price) and resells them at a slightly higher price.
Beside Amazon.com, Plastic Jungle has partnered with Donors Choose.org, an non profit organization that match donors with schools around the country in need of supplies. In that partnership, gift cards owners can choose to do good with their cards by donating the full face value of the cards to needy schools through Donors Choose.org.
According to the New York Times, "the non profit organization will match the difference between the original balance on the gift card and what Plastic Jungle pays the donor “so that donors don’t lose a single penny when donating a gift card.”

For more, see NYTimes.com

1 comment:

Unknown said...

For retailers, however, gift-card sales don't count as revenue until cards are used, ...
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