Glossary
What is a Shopify gift card? E-commerce definition
June 4, 2026
A Shopify gift card is a prepaid product: the customer purchases a store credit (e.g. €50) received by email or physical card, and then the recipient uses it at checkout via a unique code. Distinct from a discount code (one-time discount), the gift card represents a stored value that can be used multiple times until the balance is exhausted.
Summary
Definition of the Shopify gift card
The gift card works like a store wallet: an amount paid in advance, consumed on future purchases on the site (or in-store via Shopify POS).
Typical features:
Concretely, this includes in particular a Unique code: alphanumeric series (e.g. ABCD-1234-EFGH); Balance: remaining amount after each order; Partial use: €30 used out of €50, €20 remaining; Digital format: email with code and link (the most common).
We can also integrate a Physical format: printed card with code (retail, events); Expiration: optional depending on merchant settings and local law.
Useful distinctions:
Concretely, this includes in particular Gift card vs promo code: promo = discount (% or €) on an order; gift card = multi-use prepaid credit; Gift card vs discount voucher: voucher often single use; gift card retains balance; Gift card vs customer service credit: credit = credit issued after return; gift card = voluntary purchase or gift; Gift card vs refund cash: credit card refund; gift card = store credit alternative.
We can also integrate Gift card vs loyalty program: loyalty points ≠ direct monetary credit (often); Gift card vs prepaid gift card (prepaid Visa): the Shopify gift card only works on your store.
Why gift cards are useful in e-commerce
Gift cards generate immediate revenue and often bring back customers who spend beyond the balance.
Concretely, this includes Acquisition: the giver brings in a new customer (beneficiary); Average basket: additional purchase if balance is €50 and basket is €65 (AOV); Seasonality: Christmas, Mother's Day, corporate; Cash flow: collection before product delivery.
We can also integrate Loyalty: return to site to spend credit (CLV); Customer Service: refund in gift card limits cash outflow; Cross-channel: online + POS if omnichannel.
Part of the balance may remain unused (breakage): cash flow benefit, but must be legally framed (expiration, consumer information). Check rules applicable by country.
Purchasing journey and gift card usage
Standard user journey:
The flow is generally structured as follows: Gift card purchase: dedicated product on the site, chosen amount (€25 / 50 / 100); Payment: card, PayPal, etc. (order recorded); Sending: email to the recipient (immediate or scheduled date); Use: code entered at checkout or via client account.
The rest of the journey then specifies Order: balance deducted from the total; top-up by another payment method if needed; Remaining balance: reusable on the next purchase.
Special cases:
Specifically, this covers Multiple gift cards: depending on settings, can be combined or not; Refund of order paid with gift card: credit is often reloaded onto the card; Manual admin issuance: commercial gesture for customer service without prior purchase.
Usecase: Shopify scented candles shop. Paul buys a €75 gift card for Marie (scheduled birthday email). Marie orders a €59 diffuser + €4.90 shipping: total €63.90, gift card balance of €11.10 remaining. Three months later, she tops it up with an €18 candle: uses the €11.10 gift card + €6.90 card. Additional turnover compared to a simple gift in kind.
Gift cards and Shopify
Shopify integrates gift cards natively (Shopify Help Center).
Concretely, this notably covers Gift card product: Products > Add product > Gift card, predefined or custom amounts; Admin > Gift cards: create, disable, view balance, history; Checkout: "Gift card or discount code" field; Expiration: Settings > Gift cards (duration or unlimited depending on plan/country).
We can also integrate Shopify POS: selling and scanning cards in-store; Email notification: customizable template; Apps: B2B bulk gift cards, card design, reporting.
Merchant checklist:
The process is generally structured as follows: Create gift card product with amounts aligned with average basket size; Dedicated "Gift Card" page in navigation (Christmas); Document Terms & Conditions: expiration, non-refundable, non-exchangeable for cash; Train customer support: check balance, re-issue if email is lost.
The rest of the journey then specifies Monitoring fraud (stolen codes, e-commerce fraud); Accounting: handling unredeemed credit liability (chartered accountant).
Points of vigilance to be aware of
The essentials to remember about the Shopify gift card
Key takeaways: Shopify Gift Card = prepaid store credit via a unique code and balance; Distinct from promos, discount codes, store credit, cash refunds, loyalty; Benefits: acquisition, AOV, seasonality, cash flow, CLV, customer service; Customer journey: purchase, email, checkout usage, remaining balance; Shopify: gift card product, admin, POS, expiration, apps.
Associated terms, FAQ, and resources
Associated terms
Checkout: entering gift card code.
Promo code: discount separate from credit.
Order: purchase or use of gift card.
Refund request: alternative to store credit.
Customer account: balance consultation depending on setup.
FAQ
Gift card and promo code: what is the difference?
The gift card is a prepaid credit (like store money). The promo code applies a discount to an order. The gift card can be used for multiple purchases until the balance is exhausted.
Can a gift card be used partially?
Yes. Shopify deducts the available amount from the total; the remaining balance remains on the card for a subsequent purchase. The remaining amount is paid by card or other means.
How to create a gift card on Shopify?
Create a gift card product (Products) for online sales. To manually issue a customer service credit: Admin > Gift cards > Create gift card.
Refund via gift card rather than cash?
A common practice to build loyalty and limit cash outflows, if your return policy and local regulations allow. Inform the customer clearly before validation.
Going further
Sources: Shopify Help Center (Gift cards), e-commerce gift card practices.
Enzo
13 May 2026
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