Celebrating Valentine's Day more than ever
Though consumers will be spending less on average, more people will be celebrating Valentine's Day this year, providing another boost in spending to the third-largest retail holiday of the year. The NRF 2005 Valentine's Day Consumer Intentions and Actions Survey, conducted by BIGresearch for NRF, found that the average consumer will spend $97.27 on Valentine's Day, down slightly from $99.24 last year. However, 61.8 percent of consumers plan to celebrate the holiday, up from 59.8 percent one year ago. In all, 2005 Valentine's Day spending is forecasted to reach $13.19 billion.
Greeting cards remain the most popular Valentine's Day gift this year, with nearly two-thirds (66.9%) of consumers planning to purchase at least one card for the holiday. Nearly half of consumers will celebrate by buying candy (49.4%) or treating themselves to an evening out (47.4%).
Additionally, more than half of men (57.8%) plan to buy flowers and one in five (18.1%) plan to purchase jewelry for Valentine's Day.
"With flowers, candy and dining out, consumers are looking to celebrate Valentine's Day in a very traditional way this year," said NRF President and CEO Tracy Mullin. "While retailers have diversified their merchandise mix to include a variety of holiday-themed items, many consumers will be sticking to their tried-and-true holiday gifts."
Where consumers plan to spend their Valentine's Day budget:
- Significant other or spouse $58.85
- Other family members $21.49
- Friends $5.42
- Childrens' classmates and teachers $3.76
- Co-workers $2.73
- Other people like neighbors and babysitters $5.02
While Valentine's Day spending last year was propelled by young adults, spending this year will be spurred by middle-aged consumers. Consumers aged 45-54 will spend $118.11 each this year, more than any other category and considerably higher than the $88.96 the group spent last year. Young adults 18-24, who were a main factor behind last year's Valentine's Day success, will be cutting back spending this year from $154.65 last year to just $83.50 this year.
"This year, moms and dads will be doing most of the Valentine's Day spending while college students take a back seat," said Phil Rist, Vice President of Strategy for BIGresearch. "Retailers will be counting on middle-aged consumers to provide the bulk of their Valentine's Day sales this year."
Other Valentine's Day facts:
- Consumers purchased more than 175 million roses for Valentine's Day last year, according to the Society of American Florists.
- Valentine's Day is the third most-popular card-sending holiday behind Christmas and Father's Day, according to the National Retail Federation.
- Eight billion pastel, heart-shaped candies with sweet sayings known as "conversation hearts" will be made this Valentine's Day, according to the National Confectioner's Association.
