Moonpig has reported a surge in the use of artificial intelligence (AI) for writing cards and creating personalised content such as stickers and images. The online cards and gifts business said it had invested heavily in AI, which can “lower barriers to content creation”.
Creative features were used in 31 million greeting cards in the year to the end of April, double that of the previous year. This includes personalisation such as video and audio cards, and AI tools for handwriting, stickers, and face swap, which merges a person’s face from a photo into a greeting card image. Customers can also use an AI writing assistant by typing in prompts to generate text for their cards.
Revenue and Customer Spending
Moonpig’s overall revenues increased by 8.6% year-on-year to £284.5 million. The company said this partly reflected customers upgrading orders with higher-priced gifts and larger-size cards, and choosing next-day tracked delivery. Nearly 18% of orders included a gift, driving a 5.7% increase in the average order value. Moonpig sells gifts from retail partners such as Next, Jojo Maman Bebe, and Boots, as well as experiences from brands including Pizza Express, Virgin Wines, and The Traitors Live Experience.
AI Investment and CEO Comment
Chief executive Catherine Faiers said: “As advances in AI continue to lower barriers to content creation, we believe the ability to reliably manufacture, personalise and deliver products at scale becomes increasingly important.”
Popular Card Themes
Data revealed that some 50,000 Fifa World Cup-themed cards had been sold, with football-themed Father’s Day cards up 451% year-on-year. The most popular personalised card depicted “Dad’s face in a full English breakfast”. Moonpig has also sold some 2,000 cards depicting Sir Keir Starmer, including hundreds this week with captions such as “sorry you’re leaving”.
Market Analyst Comment
Mark Crouch, market analyst for eToro, said: “For Moonpig, loyalty is a significant asset. With more than 12 million active customers, the company benefits from a steady stream of birthdays, anniversaries and milestones that arrive regardless of the economic backdrop. Customers are not only returning but spending more, trading up to premium gifts, larger-card formats and faster delivery options.”
Moonpig shares were up by more than a 10th on Thursday morning.
