The Value of Valentine’s Day
Love will be in the air this Tuesday with the arrival of Valentine’s Day. Couples everywhere—whether they’ve just started dating, are newlyweds, or have commemorated their golden anniversary (or beyond)—will be celebrating. Some interesting percentages are proof of equally interesting revelations of how people will purchase on February 14. If you own a small business, place any love and romance-related merchandise front and center. Lovers are looking to spend.
Valentine’s Day during the last decade—followed by the pandemic
For a couple of years, due to the restrictions of the COVID-19 pandemic, everyone was limited in what they could and could not do—which included the celebration of holidays. On Valentine’s Day of 2021, going out and enjoying a nice romantic evening at a restaurant, theater, or getaway was difficult if not impossible. And this added to an already downward direction of this holiday. According to a study conducted by GiftWrapper, over the course of the last decade, there had been a gradual 10 percent decrease in the number of people who celebrated Valentine’s Day. As an example, in 2020, a total of $27.4 billion was spent on this day—in contrast to a $23.9 spend last year.
Valentine’s Day, post-pandemic
The GiftWrapper study went on to state that 76 percent of couples who celebrated Valentine’s Day last year felt that it was vital to do so because of the restrictions imposed by the pandemic. While approximately $164.76 was spent per person in 2021, lovers everywhere made up for lost time and increased that figure by more than $100 in 2022. Could this be a sign of a reversing trend? Where gift giving is concerned, for example, both men and women purchased more items of jewelry for their significant others last year. So, Valentine’s Day is returning as a time where lovers celebrate—and spend for—each other. Consider projections for this year…
Valentine’s Day 2023 promises to be a record-breaking year in sales
A recent article in Forbes cited findings from the National Retail Federation (NRF) which predicted that lovers everywhere will spend $25.9 billion on their Valentine’s Day purchases for 2023—a small but definitely noticeable turning point from last year. Additionally, as noted by Matthew Shay, President and CEO of the NRT, merchants and retailers are answering this enthusiasm by offering customers memorable gifts at affordable prices. Even the uncertain economy isn’t going to stop couples from proclaiming their love…
Yes, consumers are more budget-conscious and have been watching what they spend in the last several months. This practice of being thrifty is balanced, however, by a desire to enjoy life experiences and spend more time with loved ones. It may be ironic, but the pandemic has inspired a greater appreciation among people to value those who are in their lives—especially their significant others. And they are showing this appreciation by making many purchases this Valentine’s Day.
If anything may be learned from Valentine’s Day 2023, it is to always be ready to pivot and accommodate the wants and needs of customers. As this holiday had been lagging in sales for several years, only to emerge very popular in purchase power today, is proof of how anything can change—quickly and powerfully.
Would you like help in seeing how your business can pivot and provide your customers with what they want, whether it’s for a holiday, birthday, or any other special occasion? EGC can guide you. Our expertise in retail marketing has helped many brands and businesses stand out and get noticed.
Contact us to learn more.