2018 Valentine’s Day Facts – Gifts, Money & More
2:44 AMPosted by: John S Kiernan
Lovesick shoppers shell out more than $19 billion in Cupid’s name each year. That makes Valentine’s Day the third-largest consumer holiday in the U.S. But love might not be the only motivator. Roughly 45% of people expect their Valentine to spend at least $50 on a gift, according to WalletHub’s 2018 Valentine’s Day Survey. And 4 in 10 people would break up with their significant other if he or she spent irresponsibly. So fear is a factor, too.
But whether you love or loath his holiday, there’s no denying St. Valentine’s impact on our wallets. So in the hopes of helping people embrace their loving feelings without hurting their finances, WalletHub examined V-Day from all angles.
You can check out Valentine’s Day facts and stats on everything from the most and least wanted gifts to how money problems affect relationships in the infographic below and a Q&A with leading experts on the field. At the very least, seeing what people do (or don’t do) in the name of love should make the day a bit more enjoyable.
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We posed the following questions to a panel of leading consumer studies scholars. You can find their bios and responses below.
- What tips do you have for celebrating Valentine’s Day on a budget?
- What are the biggest Valentine’s Day money-wasters?
- What money saving tips do you have for people planning to travel on Valentine’s Day?
- Do you believe Valentine’s Day has become too commercialized?
Frederic F. Brunel Associate Professor of Marketing and Dean’s Research Fellow at Boston University Questrom School of Business
Deborah Goldring Assistant Professor of Marketing in the School of Business Administration at Stetson University
John Gironda Associate Professor of Marketing in the Huizenga College of Business & Entrepreneurship at Nova Southeastern University
Kevin James Assistant Professor of Marketing in the College of Business & Technology at The University of Texas at Tyler
Ryan Jessup Associate Professor of Marketing in the College of Business Administration at Abilene Christian University
Tracy R. Kizer Assistant Professor of Marketing in the Crummer Graduate School of Business at Rollins College
What tips do you have for celebrating Valentine’s Day on a budget?
I hate to ruin romance, but my number one advice is to consider not celebrating it on February 14. Valentine’s Day (along with New Year’s Eve) is one of the two big “amateur” nights in the restaurant business -- overscheduled and overcharged for below-average experience. Go out on February 13 or 15. You will have a much better restaurant experience and you will avoid overpaying for an often-boring prix fixe menu that was prepared hours before you arrive at your table.
Also, avoid red roses. Their price spikes for February 14. There are many other beautiful flowers that can also say “I love you.” And often, they will have an even longer vase life.
What are the biggest Valentine’s Day money-wasters?
Poor-quality red roses. They are overpriced and die much too fast.
What money saving tips do you have for people planning to travel on Valentine’s Day?
For the most part, this is a usual travel day. However, you might find some hotel package deals.
Do you believe Valentine’s Day has become too commercialized?
How can you over-commercialize something that was created solely for commercial purposes? We can debate whether holidays such as Christmas, the Fourth of July or Thanksgiving are too commercialized -- these have meaningful religious or historical significance. However, Valentine’s Day is a profane and commercial holiday. Commerce is in its core DNA.
Deborah Goldring Assistant Professor of Marketing in the School of Business Administration at Stetson University
What tips do you have for celebrating Valentine’s Day on a budget?
Gift-giving can be very stressful and anxiety-provoking. There is evidence that celebrating Valentine’s Day might even contribute to the downfall of relationships. One research study found that already-challenged romantic relationships were nearly five times more likely to end during the two weeks before and after Valentine’s Day, compared to the rest of the year.
While many couples see holidays like Valentine’s Day as having a positive effect on their relationship, there is some evidence that for those in a romantic relationship, about half see Valentine’s Day gift giving as an obligation and a somewhat unpleasant experience.
Thus, selecting the right gift for a partner remains a challenging task, and shoppers often spend a lot of time trying to choose the perfect gift. A recent research study suggests that gift givers can reduce the stress of buying a gift for Valentine’s Day by having a deep understanding of their partner’s level of commitment to the relationship. It’s not necessarily the amount of money that you spend, but the appropriateness of the message. For example, if the recipient is interested in love and commitment, buy a gift that implies “I love you and want to spend my life with you,” rather than a gift that implies “I like your smile.”
The most cited article about Valentine’s Day and buying behavior studied resistance behaviors over a seven-year span related to this holiday period. Gift-resistant consumers may set budgets for gifts, may not give gifts at all, or they may discourage others from engaging in gift exchanges. Retail-resistant consumers avoid brands and stores, and are generally associated with unhappy relationships. Market resistance is associated with rejecting the rituals associated with the holiday. For Valentine's Day, the most rejected products were greeting cards, candy, and flowers. Some consumers simply resist the commercialized nature of Valentine's Day and create their own alternative experiences. These acts of resistance are often associated with greater individualism, and a need to create unique and personalized alternative consumption traditions.
John Gironda Associate Professor of Marketing in the Huizenga College of Business & Entrepreneurship at Nova Southeastern University
What tips do you have for celebrating Valentine’s Day on a budget?
Do something from the heart. That's more meaningful than spending a bunch of money anyway. A few examples include making a home-cooked meal instead of going out to dinner, putting together a scrapbook of photos, or writing your significant other a letter to let them know how much they mean to you. If you're feeling really creative, you could try writing them a poem. It doesn't have to be amazing, it's the thought that counts, and your partner will appreciate the effort you put in. However, if you're not the creative type, you can always buy a nice card and still stay within your budget. Although a little overpriced, almost all greeting cards are still less than five dollars, so that's definitely doable.
What are the biggest Valentine’s Day money-wasters?
I hate to say it, but flowers and chocolates. Don't get me wrong, I think it's great to give flowers or chocolates, but Valentine's Day is the worst time to do so because prices are extremely inflated. It's better to give flowers or chocolates at other times of the year, when prices are much more reasonable compared to what you'll pay around Valentine's Day. Also, if you send or give flowers at other times of the year, you also get the added bonus of being able to surprise your partner and give them something "just because."
However, if you are dead set on giving flowers for Valentine's Day, a couple of things you can do to save money are:
- Order them as early as possible to lock-in the best price;
- Shop around -- flower prices can vary greatly from your local grocery store, to high-end flower shops, to bigger stores like Costco;
- Go with other flowers besides roses, since those will cost the most. Perhaps even put together an arrangement yourself by picking up just a rose or two and mixing in other flowers.
What money saving tips do you have for people planning to travel on Valentine’s Day?
Plan ahead, you can save a lot of money on airfare and hotels by booking your travel plans as early as possible, and by being on the lookout for special deals as they become available. Also, research various places to eat and things to do at your destination in advance. By doing that, you can definitely save a lot of money compared to just winging it once you get there.
Do you believe Valentine’s Day has become too commercialized?
To some extent, it certainly has. But it's also a good reminder for us to take the time to appreciate our significant others, and remember how much they mean to us. I know "we're supposed to do that all the time," and most of us do. However, it's still good to have a specific day that gives us a little reinforcement, as well. Also, you don't have to give into the commercialization and spend tons of money in order to show your partner that you love and care about them.
Kevin James Assistant Professor of Marketing in the College of Business & Technology at The University of Texas at Tyler
What tips do you have for celebrating Valentine’s Day on a budget?
Buy early, shop in advance, and don’t be afraid to comparison shop. Waiting until the last minute will leave your wallet empty.
What are the biggest Valentine’s Day money-wasters?
This depends on how early you shop, and if you are able to take care of specials or promotions that may be available in advance. Another way to think about money-wasters is buying things your significant other either doesn’t like or will never use. So, the biggest money-wasters are buying something for someone without really knowing your audience. This also means knowing your audience enough to know that when they say they don’t like flowers, they really do.
What money saving tips do you have for people planning to travel on Valentine’s Day?
Plan, plan, and plan. The same advice with travel applies to buying gifts. The earlier you can book, the better off you will be.
Do you believe Valentine’s Day has become too commercialized?
Yes.
Ryan Jessup Associate Professor of Marketing in the College of Business Administration at Abilene Christian University
What tips do you have for celebrating Valentine’s Day on a budget?
We need to remember that it is the thought that counts, but we don't want to be considered cheap. Extravagant spending can often be used as a surrogate for well-conceived ideas -- an expensive meal and jewelry are often poor (and strangely, simultaneously costly) substitutes for truly meaningful Valentine's Day gifts. Ideally, we can slice through the false dichotomy of extravagance on one hand, and ascetic-like responsible behavior on the other. In other words, do something that concurrently displays thoughtfulness and financial awareness. Some options are below.
Does your beloved have a favorite movie that you can't find on Netflix or Hulu? You might be able to pick it up for cheap on eBay, and have a romantic movie night at home. The weather is always playing tricks on us this time of year, but to an outdoor lover, a picnic at a local park would probably be better-received than dinner at a fancy restaurant. If you are complete non-artists like me and my wife, then it might be fun to pick up a few canvasses -- get some spares -- and paint one another or a family portrait from memory. Do a big reveal when finished. Alternatively, you can serve food together at a local kitchen for the homeless -- what better way to demonstrate your love than to help those who are most in need of it?
What are the biggest Valentine’s Day money-wasters?
A problem with Bachelor-style dates (e.g., helicopter rides overlooking exotic scenery) is that they are fun while they last, yet they set the bar irrevocably high; each additional date is expected to match or top the previous. You don't want them to fall in love with your money -- you want them to fall in love with you. Otherwise, when the money's gone, they might be, too. However, the thoughtfulness displayed from celebrations specific to your beloved's preferences will emphasize your considerate nature, a virtue in virtually everyone's book. Besides, there is something a bit romantic about dates that cost little to no money, yet are filled with unique and fun experiences.
Do you believe Valentine’s Day has become too commercialized?
I do think that Valentine's Day has become a bit too commercialized, but thankfully, not yet to the same extent as Christmas. I think we can best display our love and affection by putting our minds to work on a good idea, and implement it in a way that doesn't break the bank. It does take thought to be thoughtful.
Tracy R. Kizer Assistant Professor of Marketing in the Crummer Graduate School of Business at Rollins College
What tips do you have for celebrating Valentine’s Day on a budget?
While there are many ideas for celebrating Valentine’s Day on a budget, the most important tip is to be authentic in how you express your sentiments. When you combine Valentine’s Day and a necessary budget together, it immediately reduces the holiday to one of a price/quality relationship, which is accompanied by a healthy dose of gifting stress. And, unfortunately, this mental accounting is the most insincere way to look at sentimental expressions. Certainly, budgets area useful tools of managing your finances, but use them to balance your overall spending not just on Valentine’s Day. To that end, don’t feel compelled to spend a large amount of money to express your love. Here are a few practical tips:
- Create a meaningful gift -- consider crafting your gifts instead of buying them. For instance, a music playlist that has significant songs from various points of your relationship is sentimental and meaningful. This is applicable for children as well.
- Celebrate at lunch versus dinner -- many restaurants will have similar menu offerings at lunch and dinner. Be smart and opt for smaller portions at lunch, for a reduced price.
- Celebrate in advance or after the holiday -- research options in your area that will allow you to have the experience you envision before or after the holiday, at reasonable price.
- Reconsider restaurant dining -- cook a thoughtful meal at home. This can be done ahead of time, to free up time for other activities on Valentine’s Day.
What are the biggest Valentine’s Day money-wasters?
While roses are red and beautiful, too, they can break the bank and your heart, too. Roses delivered from a floral service can be three or four times more expensive than those found at your local grocer. If your loved one relishes in a bouquet of flowers, and red roses are not essential, consider visiting your local farmer’s market and grabbing locally sourced flowers, and creating your very own bouquet. An alternative idea is to purchase a potted plant from the farmer’s market, and customize it with a thoughtful poem or message.
Opting to dine at a restaurant with a fixed menu can lead to a consumer spending more money than they’d like. Valentine’s Day and Mother’s Day are times when restaurants increase their menu prices because they are well-aware that those two days are meant to make individuals feel relaxed, pampered and honored. There are a few options to circumvent this: celebrate Valentine’s day on an alternate day of the week with the traditional menu; opt for a happy hour celebration followed by a light meal at home; and cook a meal together at home and enjoy each other’s company in the process.
Diamonds may be a girl’s best friend, but they are not the best use of your money on Valentine’s Day. Unless you are planning to propose or celebrate a significant relationship anniversary, don’t feel pressured to buy jewelry as a Valentine’s Day gift. In fact, buying diamonds may set an unsustainable precedent in your relationship. Imagine what you will have to buy next year, if you buy diamond jewelry this year. Think about the long-term expectations built into the purchase, if you opt to go this route. A nice alternative would be to present her with a small statement piece or necklace that is significant to her beliefs, passions, or core interests.
What money saving tips do you have for people planning to travel on Valentine’s Day?
Employing money-saving apps (e.g., Groupon) that may provide economical ways of saving money for the holiday is a path least travelled by some. Look for deals and savings that can be used on Valentine’s Day evening or in the near future.
If you are planning on staying local, be sure to research hotel stay packages that may be advertised for the hotel of your choice. Instead of booking an overnight stay, look for competing deals at the hotel that may include breakfast, resort credits, spa packages for one price. Also, if your work schedule prohibits the type of flexibility you’d like to have for a romantic stay, consider booking a weekend stay, since Valentine’s Day falls on a Wednesday. Oftentimes, there may be weekend getaway deals that are very attractive, and priced below the market rates.
Alternatively, explore areas within a few hours driving distance from your home, by considering a bed and breakfast stay for a more intimate setting. For out-of-town getaways, be sure to look for last-minute deals on airline and rental car sites. Oftentimes, airlines and rental car agencies will have discounts to certain locations when demand is below expectations. Lastly, if you are feeling adventurous, tickets on the Megabus are based on demand. The more travelers, the less the cost of an advance ticket. If you want to travel a short distance, consider using the service to save money for an excursion at your destination.
Develop a budget for your travel plans and don’t exceed it. When it comes to matters of the heart, it is very easy to overspend, because we care a great deal about our loved ones. Keep in mind -- showing love doesn’t have to be based on the amount of money one spends, but rather the sincerity and authenticity in which one loves.
Do you believe Valentine’s Day has become too commercialized?
Yes, and until consumers respond differently in their gifting behavior, the day will remain highly commercialized. According to the National Retail Foundation (NRF), Valentine’s Day planned spending was $18.2 billion in 2017, down from $19.7 billion in 2016. These numbers are indicative of not only the popularity of the holiday, but also the commitment individuals have in expressing their sentiments for their loved ones. Retailers are keenly aware of consumers’ gifting behavior and have responded to this by increasing the assortment of goods being sold. Among their improved assortment of goods being advertised and promoted are adventures, experiences and items geared towards children, such as toys, clothing and gift cards. Beyond this, retailers switch out the Christmas content immediately after the holiday and replace it with Valentine’s Day items, giving consumers roughly six weeks to make their purchases. These tactics are indicative of not only an increased commercialization of the holiday, but a positive response by consumer to gift.
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