Industry Bracing for Record Sales of Flowers & Gift Baskets This Valentine’s Day
(ContentDesk) February 13, 2006 -- Consumer preferences vary significantly with the day of the week on which the holiday falls.
The last three Valentines Days (2003, 2004, and 2005) have fallen respectively on Friday, Saturday and because of the leap year, Monday.
When Valentines Day falls on a weekend, consumers are more likely to splurge on restaurants, hotels and weekend getaways than normal; Valentines Day turns into Valentines Weekend!
Increased competition from substitute goods takes a piece of the flower and gift basket market from retailers.
When Valentines Day falls on a Monday, consumers indulge over the weekend and claim double jeopardy on weekend activities counting them towards their Valentines Day spending budget.
When Valentines Day is on a Monday, retail prospects can be classified as merely fair, and do not approach record breaking capacity; retailers all suffer together, not just florists and gift basket companies.As determined by the stars, this year Valentines Day arrives on Tuesday, February 14th, shifting the battle for consumer spending in favor of flowers and gift baskets.
These two products are at a large advantage this year for three key reasons: First, 2002 was the last time these products did not have to compete with weekend substitute goods.
Consumers who spent on activities in years past are more likely to come back to flowers and gifts this year.
Second, the robust economy gave most floral and gift retailers the best Christmas season in years.
This is always a portent of good things to come for the industry on Valentines Day, only 51 days from the close of the holiday shopping season.
Third, with Valentines on a Tuesday, deliveries will most commonly be made to the workplace, creating that unmistakable buzz around the office no other gift can duplicate.Rebutting The National Retail Federations PredictionsIn its annual, well-researched Valentines Day spending forecast, the NRF mentions when it comes to picking out that perfect gift, fewer men will be buying flowers (52.3 % vs.
57.8% in 2005).
This prediction contradicts our forecasts build on 70 years of retail floral experience.
The NRF survey samples consumer preferences weeks before they have really had a chance to digest the intricate role played by the day of the week in planning their Valentines budgets.
If fewer consumers actually purchase flowers this Valentines day, you can still bet that sales of flowers and gift baskets will be significantly higher than in years past years and will have a good chance and breaking industry sales records.
Less competition from weekend substitute goods, the robust economy, and the critical role played by the day of the week will make this Valentine s Day the best ever for retail flowers and Valentines Day Gift Baskets.Ryan D. Abood is CTO & Director of Business Development at Chalifours Flowers, Gift & Gourmet Manchester, NH Florist and President of GourmetGiftBaskets.com..
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