Latest / Restaurant Business with Fexingo: Food Service, Hospitality, and Independent Operators
How Restaurant Gift Cards Boost Cash Flow
Restaurant gift cards aren't just holiday presents—they're a powerful cash flow tool. In this episode, Lucas and Luna break down the economics: industry-wide gift card sales hit $27 billion in 2025, with a 1.5–2% breakage rate that drops pure profit to the bottom line. For an independent doing $2 million in revenue, that can mean nearly $1,000 a year in free money. They explore how bonus-card promotions drive upsells (recipients spend ~20% more than face value), the zero-interest loan effect of stored value (Starbucks holds $1.6 billion in customer deposits), and pragmatic…
The skinny
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