U.S. consumers are feeling the love this year—and many will show it with their wallet.
According to an annual survey released by the National Retail Federation and Prosper Insights & Analytics, total spending this Valentine's Day is expected to reach $19.6 billion, up from $18.2 billion last year. The numbers are the second-highest in the survey’s 15-year history, topped only by the record $146.84 and $19.7 billion seen in 2016. On average, consumers is expected to spend $143.56 on Valentine’s Day as 55 percent of the population celebrates this year, an increase from last year’s $136.57.
“Americans are looking forward to pampering and indulging their loved ones with flowers, candy, dinner and all of the other Valentine’s Day stops,” NRF President and CEO Matthew Shay says. “With the holidays behind them and the winter months dragging along, consumers are looking for something to celebrate this time of year.”
This year’s survey found consumers plan to spend an average $88.98 on their significant other/spouse ($12.1 billion), $25.29 on other family members such as children or parents ($3.5 billion), $7.26 on children’s classmates/teachers ($991 million), $7.19 on friends ($982 million), $5.50 on pets ($751 million) and $4.79 on co-workers ($654 million). Consumers ages 25-34 will be the biggest spenders at an average of $202.76.
Those celebrating Valentine’s Day plan to spend $4.7 billion on jewelry (19 percent), $3.7 billion on an evening out (35 percent), $2 billion on flowers (36 percent), $1.9 billion on clothing (17 percent), $1.5 billion on gift cards/gift certificates (15 percent) and $894 million on greeting cards (46 percent). More consumers plan on purchasing candy this year, with 55 percent (up from 50 percent) saying they will give gifts of candy for a total of $1.8 billion.
“Gifts of experience” such as tickets to a concert or sporting event continue to be popular, sought by 42 percent of consumers, but only 24 percent plan to give one. Those 25-34 are the most likely to give such a gift at 41 percent.
Much the same as last year, consumers plan to shop at department stores (35 percent), discount stores (32 percent), online (29 percent), specialty stores (19 percent), florists (17 percent), and local small businesses (14 percent).
Even those foregoing Valentine’s Day festivities won’t be left out. More than a quarter (27 percent) of consumers who are not observing the holiday have an alternative in mind such as treating themselves in some way or getting together with family and friends.
“Valentine’s Day has become a holiday consumers take advantage of not only to spoil their loved ones but themselves,” says Phil Rist, executive vice president of strategy for Prosper.