Edenred Payment Solutions has launched a closed-loop gift card programme for UK retailer Toolstation, enabling omnichannel purchase and redemption.
The programme allows customers to purchase and redeem gift cards across Toolstation's network of more than 550 UK branches, as well as through its website and mobile app. Edenred Payment Solutions (EPS), a payment services provider and regulated Electronic Money Institution, developed and deployed the programme over an eight-week period for Toolstation.
The programme runs on EPS's API-based payments platform, which provides Toolstation with end-to-end card processing. This includes real-time top-ups, balance enquiries, and redemptions integrated directly into Toolstation's checkout systems without third-party redirects. In addition, EPS has also equipped Toolstation with customer service management tools and analytics dashboards, allowing the retailer to monitor card activity, breakage, customer behaviour, and campaign performance.
The gift cards support load values ranging from GBP 1 to GBP 500 and can be purchased and spent interchangeably online, in-store, or via the Toolstation app. For Toolstation, the programme is intended to support new customer acquisition, guarantee future spend, and increase average order values. The cards are also designed to integrate with Toolstation's existing loyalty initiatives, allowing them to be used as promotional incentives and competition rewards.
Background and development process
According to EPS, the initial conversation with Toolstation centred on the opportunity to introduce a gift card offering, with EPS subsequently consulting Toolstation stakeholders on product requirements and sector practices. Toolstation set an eight-week target covering integration, card manufacture, and in-store launch, which EPS said its project team met through direct collaboration with multiple Toolstation stakeholders.
Rehana Mitha, Managing Director at Edenred Payment Solutions, said the retailer had sought a programme with minimal friction for customers regardless of purchase or redemption channel, adding that the companies aim to support long-term customer loyalty as well as future community and business-to-business initiatives.
Moreover, Chris Other, Customer Director at Toolstation, said the gift card offering reflects customer demand for speed, convenience, and flexibility, noting that redemption across app, website, and in-store channels is intended to make it easier for trade customers to access products, whether for smaller purchases or larger toolkit investments.
The launch adds Toolstation to a group of retailers building gift card functionality into omnichannel customer propositions, reflecting broader sector interest in closed-loop payment instruments that support both direct revenue and loyalty objectives. For EPS, the partnership extends its work as a payments infrastructure provider to retail clients operating across physical and digital sales channels.
