how do shops make money reselling gift cards?

Question

Surely someone is going to loose money or not make any money as the company with gift cards ( like microsoft )would loose money selling it discounted to the shop (like Tesco), and there would be no point the shop selling it for no profit. How does this work ?

In: Economics

Answer 1

I read that millions across the world go unredeemed every year. So that is hard profit for the stores