Gift cards remain the No. 1 gift purchase this year, with 67 percent of respondents indicating that they will purchase an average of 4.9 cards, making them even more popular than last year, when 64 percent purchased an average of 4.7 cards. The growing use of gift cards places added importance on post-holiday retail sales as shoppers redeem them. Half of respondents said they had unredeemed cards from last year, and some reported holding cards that were five or more years old.

Consumers never redeem about 10 percent of the money on gift cards, says Anthony Andreoli, national director of unclaimed property practice at Deloitte.

Evidence indicates that many recipients do indeed fail to use the plastic cash. The Deloitte & Touche survey found that respondents had an average of two unused gift cards from last year, and only 48 percent had used up all the funds on the cards they received as gifts a year earlier.

Source: The Tower Group Research 2004

8% to 12% of the value of most gift cards goes unused.
Most people discard those cards after letting them lay around for months.

Source: BIG Research