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| Tiffany's Elsa Peretti open heart pendant in 18k rose gold. |
Consumers are expected to shell out $3.5 billion on jewelry this Valentine’s Day, up from an estimated $3 billion last year, according to a National Retail Federation survey.
More than 17 percent of consumers said they are planning on buying their loved ones something sparkly, up from 15.5 percent last year, according to the NRF’s 2011 Valentine’s Day Consumer Intentions and Actions Survey, conducted by BIGresearch. About 9.5 percent of shoppers will be buying their gift from a jewelry store.
This is the second survey this week that predicts more shoppers will be buying jewelry for their loved ones on this romantic holiday. The IBISWorld survey said that jewelry sales will experience a year-over-year increase of 11.3 percent.
Overall, according to the survey, the average person will shell out $116.21 on traditional Valentine’s Day merchandise this year, up 11 percent over last year’s $103. Total holiday spending is expected to reach $15.7 billion.
“Having surpassed expectations during the holiday season, it seems consumers are not done spending on gifts, which bodes well for the economy,” said Matthew Shay, NRF president and CEO. “Jewelry, candy and apparel sales should provide a nice boost for retailers during the typically slower months of January and February.”
Having cut back on spending in recent years, couples this year will spend an average of $68.98 on their significant other or spouse, up from $63.34 last year. Even family pets will be feeling more of the love this year. The average person will spend $5.04 on their furry friends, up from $3.27 last year. Consumers will also spend an average of $6.30 on friends, $4.97 on classmates and teachers, and $3.41 on co-workers.
Greeting cards will be the most popular gift (52.1 percent), according to the survey. However, spending across the board is expected to be up this year. Clothing ($1.6 billion vs. $1.5 billion in 2010) and dining out ($3.4 billion vs. $3.3 billion in 2010) will also be popular gift options. In addition, celebrants will spend $1.7 billion on flowers, $1.5 billion on candy and $1.1 billion on greeting cards.
As usual, men will spend the most on Valentine’s Day gifts. The average man plans to shell out more than twice as much ($158.71) as the average woman ($75.79).
“Though the economy will still be on their minds, Valentine’s Day holds a special place in many Americans hearts,” said Phil Rist, BIGresearch executive VP, strategic initiatives.
Discount stores (36.6%) will be the most popular shopping destination, but department stores (30.5%), specialty stores (19.4%) and online (18.1%) will share much of the holiday traffic as well. Others will check out their local florist (16.8%) and jewelry store (9.5%).
With co-workers, children and children’s classmates/teachers to buy for, young couples/parents will spend far more than their parents or grandparents on Valentine’s Day. Adults 25-34 will spend an average of $189.97, compared to the $60.22 adults 65+ will spend.