Gift Retailers Optimistic Despite Slow Sales According to the US Census Bureau, 2016 unadjusted retail sales at gift, novelty and souvenir stores increased 1.82% to $17.106 billion from $16.8 billion for 2015. US Census Bureau data for the first half of 2017 reveal that retail sales at gift, novelty and souvenir sales stores decreased 6.96%, to a total of $7.57 billion, compared to the first half of 2016, with a total of $7.044 billion. According to Gift and Decorative Accessories’ May 2017 Gift Retail Survey, 50% of those participating in the survey said they were projecting a sales increase for 2017, while 39% said they would be the same as 2016 and 11% forecasted a decline in sales.

Consumer Price Points According to Packaged Facts, a consumer research division of MarketResearch.com, consumers spent $28 billion on gift cards for others and $11 billion on gift cards for themselves during 2016. Employers spent $7 billion on gift cards for employees. When shopping online for gifts and flowers, 18% bought on marketplaces, 18% at large retailer sites, 24% at Web stores and 28% at category-specific online stores. Americans spend on average of $50–100 for wedding gifts, $137 for Valentine’s Day gifts, $936 for Christmas gifts, $172 for Mother’s Day gifts and $20 for a child’s birthday gift.

In Search of Unique Gifts The Gifts and Decorative Accessories’ 2017 GiftBook Consumer Survey reported that 72% of consumers planned to buy decorative accents during the next 12 months. Trends in outdoor living garden accessories, floral tables and candles. The most important gift attributes are personalization, 64%; gift card, 45%; inspiration, 34%; customizable, 31%; and easy access, 26%. As part of the health trend, consumers are spending on sensory environments. During the next 12 months, consumers are most likely to buy candles, 80%; followed by fragrances, 62%; diffusers, 40%; wax melts, 69%; and flameless candles, 21%.

Purchase Perspectives When citing reasons for shopping local, 56% of respondents in the Deloitte 2017 Holiday Survey said it was to find a one-of-a-kind gift and 60% to support the local economy. According to the Gifts and Decorative Accessories’ GiftBook Consumer Survey 2017, scarves, at 40%, was the top fashion accessories gift purchased; followed by, fashion jewelry, 39%; handbags/wallets, 36%; totes, 34%; hats, 29%; and socks, 27%. The most popular price point for home fragrances was $5 to $14 across all age groups.

Enhancing Entertainment The most popular time of year to purchase gourmet houseware products is during the winter, followed by the fall, especially for Baby Boomers and Generation Xers, with more Millennials only favoring winter over the fall by a significant margin (35% to 29%). Chocolate/candy were the gourmet products consumers were most likely to purchase during the next 12 months, followed by coffee/tea; nuts and other snack items; baked goods; and condiments. For entertaining at home, corkscrews were the most popular wine and bar tool for all generations, at 70% or greater. Cocktail shakers were second among Millennials, 45%; and ice buckets among Generation X, 46%, and Baby Boomers, 40%.

Making the Holidays Shine Consumers living in the Northeast and those with a household income of $100,000 or more were the most likely to buy their Christmas tree ornaments at a gift store. Most consumers bought them at big box stores, 61%; gift stores, 17%; and online, 12%. Consumers with household incomes less than $50,000 were the most likely to change their holiday décor themes every year. For all incomes, the plurality changes every two to three years: less than $50K, 39%; $50–$100K 48%; more than $100K, 42%. The most popular ornaments were keepsake, especially in the Northeast; personalized, especially in the Northeast and South; match the current holiday décor, especially in the Northeast and South; and traditional, especially in the Midwest and South.

Advertising Strategies Advertise handmade items and products made locally and in the USA, and emphasize the uniqueness of your offerings. Communicate how often you add new products to your store, and that visiting your store is a customer adventure. Host in-store events, such as hot cocoa tasting parties and unique gift-wrapping classes, with coupons for the next holiday occasion for all participants.

New Media Strategies For holiday décor, feature the most-searched styles from Pinterest and Instagram and print photos to display in store as inspiration. Conversely, create décor vignettes from your products and feature them on Pinterest, Instagram and YouTube (the creating of the vignette) to inspire customers, with hashtags for your location, so local consumers can easily find your store. Make videos showcasing various types of gift products, such as home scents, personal fragranced products, fashion, homeware, gourmet treats, etc., describing each one, and then posting the videos on your Website, Facebook and YouTube.