Thought of the Week
How Valentine's Day steals your heart and your money
February 13, 2025 4 Minute Read
Valentine’s Day is a big day for retailers. Every year, 8 million roses are imported into the UK and 4 million bouquets of flowers are sold. 25 million Valentine’s cards are sent in the UK and £85 million spent on confectionary. Total spending on Valentines day has increased by approximately 6% each year since 2017. Last year, c.£2.1 billion was spent by the 35 million people in the UK who celebrated.
So, should retailers be planning for another Valentine’s Day spending surge? The economy is in a far better place now compared with last year. The rate of inflation has reduced significantly, and we are expecting to see economic growth of 1.5% in 2025 (up from 0.5% in 2024). However, consumer confidence remains weak – the GfK Consumer Confidence Index fell by five points over the past month to -22, the lowest reading since December 2023. This sentiment is reflected in our CBRE Consumer Survey 2025, which shows that 35% of Brits feel worse about their personal finances now than they did last year. This is partly because while nearly half of the respondents have had an increasing in earnings – from an average of £30,500 to £31,700 this year, around 70% have also seen an increase in their outgoings (with an average increase of 6.3%).
How can this impact the most romantic day of the year? Well, this year, slightly fewer people – around 33 million people – are expected to celebrate. And given continued financial constraints, our Consumer Survey shows that 35% of Brits plan to reduce the overall amount spent on gifts this year, especially by buying less regularly or switching to cheaper alternatives. Still, shopping centres should be prepared, as footfall around Valentine’s Day increases. In 2024, the weekend before the 14 February, footfall increased by 18% compared to other weekends, and by 24% during the full week.
Restaurants will also need to be prepared, as Valentine’s Day is the second busiest day of the year (after Mother’s Day), with 26% of people planning to dine out this year. However, our Consumer Survey shows that over half of respondents visit a restaurant once a month or less. Notably, only 12% intend to go to restaurants more often this year, while 30% plan to reduce the frequency of eating out. Given these statistics, Valentine’s Day meal out may not be additive for the F&B trade. But food remains an integral part of Valentine’s Day celebrations, whether dining out or not. Almost 30% of Brits plan to enjoy a romantic homemade meal with their partner, while 17.5% intend to order takeaway food. Additionally, 13% of those celebrating intend to go to the cinema, making it a potentially significant day for movie theatres.
Despite muted consumer sentiment, Valentine’s Day remains a big occasion, and it is likely that those who can celebrate will. Even with a lower budget, it will continue to be an important celebration for those that are in love, but also an important (financial) celebration for the retail sector.
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