Valentine’s Day spending is expected to rise 8.4% this year

This article was written with the assistance of GPT-3.

The forecast: Consumers are expected to spend $25.9 billion on Valentine’s Day this year, per a new forecast by the National Retail Federation (NRF) and Prosper Insights & Analytics.

• This is up from $23.9 billion in 2022.

How consumer spending is changing: The average US consumer expects to spend $192.80 on the holiday, a 9.9% increase from $175.41 last year, and the second highest figure since NRF and Prosper started tracking Valentine’s Day spending in 2004.

• Roughly $14 of the $17 increase in per-person spending will stem from shoppers buying gifts for pets, friends and co-workers, along with classmates or teachers.
• Thirty-two percent of consumers plan to give the gift of an experience, up from 26% last year and the highest share since NRF and Prosper started asking the question in 2017.

The big takeaway: Inflation isn’t dampening consumers’ appetites to celebrate occasions such as Valentine’s Day.

• In fact, despite rising prices, consumers are feeling generous as they expand the number of people whom they buy for. That’s good news for retailers such as department stores and florists.

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