Valentine’s Day is soon approaching and is a popular holiday to express your love not just through actions and words of affection, but through gifts. After all, an estimated 53% of Americans plan to celebrate this holiday1.
But how much are consumers looking to drop on their loved ones? And where will we see the biggest changes and improvements since the pandemic began? Let’s take a brief look at The National Retail Federation (NRF) Holiday and Seasonal Trends Valentine’s Day report for 2022.
“Following the historic level of consumer spending over the winter holidays, it appears that the trend will continue into 2022,” NRF President and CEO Matthew Shay said. “Valentine’s Day is a special occasion for many Americans, even more so as we navigate out of the pandemic, and retailers are prepared to help them mark the holiday in a memorable and meaningful way.”
How much will consumers spend on Valentine’s Day in 2022?
The average amount that shoppers expect to spend on Valentine’s Day in 2022 is ~$175.41 per person. This number is slightly higher than 2021, which was $164.76.
The report outlined that Valentine’s Day spending is expected to reach $23.9 billion this year, up from $21.8 billion in 2021. This would make it the second-largest year on record – in 2020, consumers spent $27.4 billion! The chart below reflects Valentine’s Day total spend (2007-2022) and per person expected Valentine’s Day spending (2007-2022).
What are the top gifts that consumers plan to purchase for Valentine’s Day? The top spot belongs to Candy with 56% of buyers saying they’ll opt for a sweet treat followed by Greeting Cards and Flowers.
Microsoft’s Data Supports the NFT Trends
Interestingly, a recent Microsoft Advertising Insights report found that clicks for the Cards & Greetings and Flowers categories are following 2019 trends.1 Again, this data also aligns with the NRF report reflecting pre-pandemic levels are returning.
Microsoft shared that Responsive Search Ads (RSAs) speak for nearly twice as many clicks as product ads for the Gift category and one-third of click traffic for Cards & Greetings. This may be because RSAs are highly engaging and customized ad formats that allow for flexibility in the ad copy.
In the Flowers category, advertisers have increased their investment in the Microsoft Audience Network by 142% year-over-year. And lastly, Jewelry is trending at or near four-year highs across most metrics. Likewise, the NRF reported that in the Jewelry category, total spending is estimated at $2 billion, up from $4.1 billion in 2021 and the highest in the survey’s history.
Other Interesting Findings: #1 Shopping Destination
Online shopping will continue to be the number one destination for Valentine’s Day. The NRF reported:
- 41% of Americans will shop online
- 32% will shop at department stores
- 28% will shop at discount stores
- 18% will shop at local small businesses
- 17% will shop at florists
‘Experiences’ are on the rise
We believe one of the more interesting findings revealed that more people are looking for gifts of an experience, like concerts or a sporting event. Gifting experiences are up 36% year-over-year (YoY), compared to 2021 and are back to pre-pandemic levels.
What Next?
After strong consumer spending over the winter holidays, do you think Valentine’s spending will match the predictions from the NRF’s report or do you think it will fall short? We’d love to get your thoughts in the comments below.
Sources:
1 Holiday and Seasonal Trends Valentine’s Day, National Retail Federation
2Microsoft Advertising Insights: Valentine’s Day, Microsoft Advertising
