Valentine’s Day remains a well engaged occasion and is the next big event to hit the retail calendar.
With the grocery sector taking nearly 80% of all purchases, this one day event can provide the much needed sales boost to the start of the year.
The market for Valentine’s gifts is set to rise once more this year, with Mintel predicting sales will grow 2% to reach £470 million, up from £460 million last year. This comes as consumers continue to purchase for the occasion, but there may be gains for retailers who tap into the ‘anti-Valentine’s’ feeling.
There has been a rise in the number of products and services marketed as alternative Valentine’s gifts and experiences in recent years, with online marketplaces a hub for alternative gifts, offering personalisation and handmade products. For retailers who are looking to offer an alternative, both in terms of products and services, they must acknowledge the commercialised nature of the event and emphasise good value for money so that consumers who feel they must engage in the event do not feel they are paying a premium to do so.
An average of £41.73 was spent by consumers last year, rising to £101.03 for those in London. Londoners were found to be more likely to spend on a special meal at home or dining out than in other areas of the UK. The higher average spend indicates that Londoners are more likely to combine meals with gifts for Valentine’s day, pushing up average spending.
So, how can retailers maximise this event and ensure this brings the additional spend to their tills;-
Get into the Valentines spirit – make sure your store is appropriately decorated for the occasion. It’s essential that stores become a marketing medium and retailers must ensure that promotions stand out, and the Point of Sales (POS) is accessible throughout the store to avoid losing potential customers. Typically only 1 in 6 shoppers visits all of the aisles in a store when shopping.
The Power of POS – 83% of unplanned purchases are driven by promotions – so accurate pricing and clear POS is essential to attract customers. 52% of customers miss signs and messages in store. Messaging and stand out is therefore key to attract customers to make a purchase whilst in store.
Maximising sales – Why not encourage consumers to increase their basket spend by ensuring linked products are sited in high footfall parts of the store. Products merchandised on “clip strips” offer a great way to site products in carefully located positions to increase the opportunity to purchase.
eXPD8 Retail Services can help with all aspects of field and experiential marketing for both retailers and suppliers alike. Please get in touch to see how we could help you ensure Love is in the air…!
07984 538 875
Business Development Manager