Stampede, a Leith-based start-up offering digital growth services for the hospitality sector, today launched a free managed gift-card service for businesses impacted by the COVID-19 pandemic to help them recover lost income quickly and create a continuous new revenue stream.
Stampede gift cards is a fully managed service, which means that a traditional pub or small local café with no ecommerce functionality can launch a website, create and issue gift cards to their customer database, and start accepting payments immediately through Stampede. The buy now/use later vouchers are designed to be a more sustainable alternative to crowdfunding options that have proved popular during the pandemic, giving business owners a new way to boost revenues and improve cash flow issues during this time of uncertainty. The service also helps businesses stay in contact with customers and provides them with more security for the future – guests are certain to redeem their vouchers after the shutdown ends and likely to spend even more money when they visit.
Crowdfunding campaigns have become a popular way for restaurants, pubs and bars to recover lost income while closed, in a bid to avoid job losses and bankruptcy. However, these kinds of campaigns are often a short-term solution and do not fix the longer-term cash flow issues created by COVID-19. Stampede gift cards allow businesses to compete in the market once again and tailor offers and services for their local customers. Stampede believes that this is a more dependable solution to cash flow issues in the long term, rather than being solely dependent on charitable donations via sites like GoFundMe.
Stampede gift cards are powered by fin tech services Stripe and Connect, meaning that Stampede clients need no technical expertise to launch their gift card campaign and start taking payments. The fully managed journey was an important consideration for Stampede, who understood that hospitality businesses do not have the time and resources required to build extra online/payments functionality during such a difficult time. The gift card service was created by the team in response to the COVID-19 outbreak, and follows discussions with hospitality customers about how best to recover their lost income.
“Businesses that make their money by bringing people together have been hit hardest by COVID-19 and social distancing policies,” said Stampede founder, Patrick Clover.
“Many businesses are struggling to survive, and while donations via sites like GoFundMe are a great quick fix, no business owner wants to be dependent on charitable donations as their main source of income. We know that the general public want to support their favourite local businesses during their hour of need, but they don’t want to get takeout every night, nor can they order a pint for delivery from their local pub. We wanted to create a solution that would let people give their financial support to struggling local businesses, while empowering those businesses to start taking money again on their own terms.”