Valentine’s Day is sure to be a romantic Friday for many, but retailers will really be feeling the love. According to the National Retail Association Valentine’s Day Spending Survey, which was conducted by Proposer Insights & Analytics, Valentine’s Day spending is at an all time high this year. With 55% of people planning to celebrate the holiday, this week will be a great boost for the economy.
Ain’t No Budget High Enough
This year, the National Retail Association estimates that shoppers will spend $27.4 billion on Valentine’s Day celebrations. That is a huge surge of spending compared to the last few years. People spent $20.7 billion in 2019, $19.6 billion in 2018, $18.2 billion in 2017, $19.7 billion in 2016. The upward trajectory over the last 10 years, and the large uptick in spending this year, indicate an increase in consumer confidence and a growing economy.
Valentine’s Day pending per person is also at an all-time high. On average, people will spend $196.31 each. Besides buying for significant others, people will spend on others in their lives. The average parent would spend $14.45 on treats for thieir child’s class and teacher. The average person will spend $12.96 on gifts for their coworkers. Some lucky pets will even get in on the action. 27% of people will be buying Valentine’s Day treats for their pets this year, spending an average of $12.21. Men will spend twice as much as women, with men and women each spending $291.15 and $106.22, respectively.
What’s Age Got to do With It?
Changing age demographics is one explanation for why fewer people are celebrating this year. Older age groups tend to celebrate the holiday less frequently because they, being more settled in their relationships, have less to prove. It is young couples in the dating stage that participate the most. Even though they have less money to spend, young people are willing to shell it out to prove their love.
Love the Way You Buy
People are using their phones to aid in their shopping this year. Over 33% used a smartphone to research gifts and over 50% used one to make a purchase. However, man people still turned to physical stores to buy their speciality items.