Brits are forecasted to spend £650 million this Valentine’s Day, according to research from Mintel.
Last year £620 million was spent on Valentine’s gifts, compared to £575 million at Easter 2017.
Despite the challenging consumer outlook, Mintel forecasts that sales of Valentine’s Day gifts will rise by 5% compared to last year.
Valentine’s spending received a boost from a significant increase in average spend: consumers spent £60 on average on Valentine’s Day gifts in 2017, compared to £41 in 2016. By contrast, the average spend for Easter was just £41 last year and £35 in 2016.
Older Millennials (aged between 28 to 37) are the most active Valentine’s Day spenders, with 60% of them buying gifts in 2017 and spending £81 on average.
Food and drink consumed at home tops the list of products Brits spent the most on for Valentine’s Day, reaching £128 million in 2017.
They also liked splashing the cash on other romantic favourites, such as jewellery (£112 million), with flowers (£102 million) and clothing or footwear (£80 million) rounding up the top four purchased Valentine’s products.
Spending on traditional Valentine’s staples, such as confectionery (£53 million) and greeting cards (£53 million), also generated significant amounts.
Six out of ten (59%) Valentine’s Day shoppers think retailers should offer more options to personalise gifts, while over half (55%) think that experiences make better gifts than products.
Samantha Dover, retail analyst at Mintel, said: “Valentine’s Day is now the biggest spending retail event in the first half of the year, overtaking Easter by a significant amount. This year we expect shoppers to trade up as retailers continue to increase their Valentine’s Day ranges with both premium and personalised gift options, and tapping into consumer demand for quality gifts.
“Shoppers are looking for creative ideas ahead of the 14th February, especially those that go beyond the traditional assortment of lingerie, flowers and jewellery, with experiential gifts one way to make gift suggestions more appealing. These include retailers offering embroidery classes to teach people how to make Valentine’s themed decorations or chocolate making.
“With more demand for personalised gifts, retailers also have the chance to encourage higher value purchases by offering services such as monogramming and engraving, which have become increasingly popular. There remain plenty of opportunities for retailers to offer more in-store services, giving shoppers a personal experience as well as personalised gifts.”