How to manage and optimise your cash flow with a gift box and gift voucher sales solution?
Published on: Monday 8 May 2023
TL;DR - Executive Summary
- Immediate cash flow solution : Gift boxes generate revenue before the service is provided
- Ideal for openings : Pre-opening teasing and management of strong initial demand
- Substantial cash flow : Immediate payment collection, deferred use
- Built-in marketing strategy : Customer acquisition and loyalty at the same time
- 0% commission with Console SecretBox : You keep 100% of the revenue
Louis Cozette's expertise on cash flow management
Louis Cozette, E-commerce Console Development Manager at Api & You, explains why the notion of cash flow is essential for an establishment that is opening, and how to set up an effective gift box sales strategy.
"Having a gift box sales solution means having a tremendous tool for generating cash flow."
— Louis Cozette
Why do gift boxes optimise cash flow?
Immediate Payment Collection
The money lands in your accounts as soon as the gift box is sold, before the service is provided
Deferred Use
Services are consumed later, creating a favourable time lag
Easier Planning
Visibility on future bookings and workload
Working Capital
Building up a financial reserve for investments and expenses
A specific strategy for establishments that are opening
"For establishments that are opening, having a gift box strategy makes it possible to tease ahead of the opening, but also to meet the demands of the customers who flock in during this period of high demand, and to generate cash flow that is as substantial as it is essential."
— Louis Cozette
Phases of the opening strategy:
- Phase 1 - Pre-opening : Teasing and early-bird sales to build anticipation
- Phase 2 - Launch : Managing the rush with gift boxes ready to sell
- Phase 3 - Stabilisation : Using the cash flow to optimise operations
- Phase 4 - Development : Reinvesting profits in growth
Calculating the impact on cash flow
Concrete example:
Sale of 100 gift boxes at €150 = €15,000 collected immediately
- Use spread over 12-18 months on average
- Cash flow available for running costs, investments, stock
- Significant improvement of the working capital requirement (WCR)
- Greater capacity to anticipate and plan
Console SecretBox: The optimal tool for your cash flow
0% Commission
100% of revenue retained, maximum cash flow optimisation
Direct Payment Collection
Immediate transfer to your bank account
Real-Time Tracking
Built-in financial management dashboard
VAT Management
Automated accounting and reporting
Frequently Asked Questions (FAQ)
How do gift boxes concretely improve my cash flow?
Gift boxes create a positive time lag: you collect the sale amount immediately, but the service (and therefore the associated costs) comes later. This cash advance can be used to finance your running costs, your investments or to build up a safety reserve.
When should you start selling gift boxes for an opening?
Ideally 2-3 months before the official opening. This lets you tease, build anticipation, build a customer base and generate valuable cash flow for the final investments and launch costs.
What percentage of my turnover can gift boxes represent?
On average, gift boxes represent 15 to 25% of the turnover of establishments using Console SecretBox. For some seasonal or specialised establishments, this percentage can reach 40% during peak periods.
How do you account for gift boxes sold?
Console SecretBox automatically manages VAT and generates the extracts needed for your accounting. The sale is recorded immediately, and redemption is tracked to make your tax returns easier.
What happens if my establishment closes temporarily?
Your Console SecretBox shop stays active 24/7 even during your closures. You keep generating cash flow and customers can buy gift boxes for future use when you reopen.
How do I set the price of my gift boxes?
Console SecretBox experts support you in defining your pricing strategy. In general, gift boxes are offered at a slightly preferential rate (5-10% discount) to encourage purchase while maintaining your margins.
How long do I have to use the cash flow generated?
Gift boxes are generally valid for 12 to 18 months, but you can customise this. This period gives you time to use the cash flow generated while planning to welcome the recipients.
Is Console SecretBox suitable for small establishments?
Absolutely. The solution adapts to all types and sizes of establishments. Even a small restaurant can generate several thousand euros of additional cash flow thanks to gift boxes, with a proportionally greater impact on its financial health.
Optimise your cash flow now
Find out how Console SecretBox can transform your financial management
Discover Console SecretBoxLouis Cozette
E-commerce Console Development Manager
Api & You - Console SecretBox
