Coles Pay: Validating gift card redemption experiences

Overview

Led usability research for Coles Pay’s gift card checkout experience, identifying key customer behaviours and reducing uncertainty before launch.

Key responsibilities

  • Research Planning

  • Usability Testing

  • Participant Recruitment

  • Insight Synthesis

Research Overview

15

Participants

9

Key Assumptions Tested

2

Prototype Variations Evaluated

4

Product Decisions Informed

Gift Cards were being introduced into checkout

Coles Pay brings together multiple payment methods in a single checkout experience, including payment cards, Flybuys points, and gift cards.

As gift cards were introduced, we needed to understand whether they added value or complexity. While gift cards are familiar on their own, they create new questions when combined with other payment methods.

More than just another payment method

Adding gift cards wasn't simply about introducing another payment method. It was about ensuring customers could still understand where their money was coming from and where it was going.

Before moving forward, we wanted to understand how customers expected gift cards to work.

What we tested

We tested the experience with Flybuys members who regularly shop for groceries online and have experience using gift cards.

One key decision was how gift cards should be redeemed. Should they be applied automatically, or should customers choose when to use them?

To understand what customers expected, we tested two different approaches.

  1. Automatic redemption

Gift cards were automatically applied during checkout.

B. Manual redemption

Customers selected and applied gift cards themselves.

Rather than deciding which option was better, we wanted to learn how customers expected gift cards to work.

What we validated

The payment model was understood.

Customers could easily follow how gift cards, Flybuys points, and payment cards worked together. The payment hierarchy felt intuitive and did not create significant confusion.

Customers wanted to maximise value.

Most expected the highest possible gift card amount to be redeemed automatically, with partial redemption only useful when the card balance exceeded the order total.

Automatic redemption wasn't a major concern.

Whether gift cards were applied automatically or manually had little impact on customer behaviour.

Flexibility still mattered.

Some customers preferred saving gift cards for future purchases, suggesting redemption should remain optional.

Impact

The research validated that customers were comfortable managing multiple payment sources during checkout, provided the payment hierarchy remained clear.

It also gave the team confidence to prioritise:

  • Clear payment breakdowns

  • Default full-balance redemption

  • Simple amount editing

  • Future support for multiple gift cards

Most importantly, it shifted the conversation from reducing flexibility to improving clarity.

Reflection

This project reinforced an idea I often see in product design:

Complex systems don't necessarily create complex experiences.

Customers were comfortable using payment cards, loyalty points, and gift cards together because the value was obvious.

The challenge wasn't simplifying the system.

The challenge was helping customers understand it.