16 July 2010
How do stores make money selling other store’s gift cards?
Posted by admin under: Other - Business & Finance .
I go into Walgreens (for example) and buy a $25.00 gift card to Applebee’s (for example). I give Walgreens $25.00. They give me a $25.00 gift card. I (or the person I give it to) takes it to Applebees and Applebees gives out $25.00 worth of food and beverages. Someone has to be losing money on this.
Related Posts:
One Comment so far...
eagleboy Says:
18 July 2010 at 7:02 am.
walgreens gets a commission – its no different than buying anything else at Walgreens. I just bought a pen for $2. I gave Walgreens $2 but they have to buy the pen so the pen company makes less than $2.
Companies like Applebees must think its worthwhile to pay to sell their gift cards like this