45% of millennials to buy Valentine's Day gifts

Nearly two out of five Americans are going to buy a gift this Valentine's Day, making it one of the most popular gift-giving occasions of the year.

IBISWorld estimates that total holiday spending, including gifts and weekend getaways, will increase 3.8 percent from 2014.

But gift giving will be extended throughout the year, according to eGifter's 2014 Trends in Digital Gifting Study. And 48 percent of shoppers say they most often shop or gift online or via a mobile device.

"The report highlights an increasingly digital-centric gift industry," said Tyler Roye, eGifter's CEO. "In many ways, consumer expectations for gift-giving have followed general e-commerce trends: a more personalized experience, better mobile and social integration, increased convenience and speed."

Almost half, 45 percent, of consumers ages 18 to 25 plan to buy a Valentine's Day present this year. That tops the amount of Generation X consumers, 39 percent, and Baby Boomers, 38 percent. And according to eGifter, this younger generation is most likely to shop for gifts online, and at the last minute.

"Our study found 39 percent of consumers plan to buy gifts for Valentine's Day, making it one of the most popular gifting occasions of the year, so this is an important holiday for many retailers," said Roye. "To optimize the opportunity, retailers need to take what they know about gifting and ask themselves how they can apply new technologies to improve customer satisfaction and remain relevant."

As examples, Roye stated that men tend to shop last minute and recipients of gifts tend to show off what they got for Valentine's Day. Therefore, retailers need to give consumers the opportunity to buy gifts on the go, and give ways for the recipients to show off their gifts socially.  

In addition, consumers living in major cities will outspend rural shoppers this Valentine's Day. Of the top 10 major cities, the most popular for gifting on the big day include Atlanta, 47 percent; Washington, D.C., 47 percent; and San Francisco, Houston and Boston tied with 42 percent.

Men will spend more than double what women will spend, according to online retail marketplace Rakuten's Shopping Secrets survey, an average of $104 compared to women's $45.

For more:
-See this eGifter press release

Related stories:
Valentine's Day spending up 4%
Valentine's Day highlights the new cycle of seasonal shopping
McDonald's accepting lovin' as payment
Valentine's Day shopping at online department stores increases 34%
McDonald's CEO steps down

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