Is a ‘Bonus Gift Card’ better than a Discount?

Yes - absolutely!

There is nothing good about a discount.

It hurts your Gross Profit.
It robs you of cash.
Your costs are unchanged, but now you’ve got less funds to pay for them.
It should only ever be a ‘strategy of last resort’ when other attempts to hold your price have failed.
It’s an admission that your original price was too high.
It sends an entirely wrong message.
But it’s quick and easy.

A Bonus Gift Card on the other hand sends a totally different message.

First, it’s a Bonus. Who doesn’t like to get a bonus? As if, somehow, I’ve earned it!
Second, it’s a Gift! Who doesn’t like to get a gift? And it’s not even my birthday!
Third, I get to choose what I spend it on.
And there’s the magic right there.
I only get the benefit if I go back to make another purchase.

It’s an incentive to get me to buy from you again.

To deal with your business again.
To engage with you again.
To build a closer relationship with you.
Now, you can put certain limits on it, such as time constraints, or exclude certain items.
You could also do special arrangements with your suppliers to promote certain items, so the hit to your Gross Profit is not so great.

A Bonus Gift Card, or Certificate is a really smart way to go.

Let me know if you need a hand.
Peter