IBISWorld Press Release
FOR IMMEDIATE RELEASE
Lovers pick dinner over diamonds this Valentine's Day
This Valentine's Day, loved-up couples will splurge on fine dining and romantic getaways to celebrate their union say business information analysts at IBISWorld.
Overall, Australians will spend about $936 million in the lead-up to February 14, up a moderate 3% from last year. IBISWorld General Manager (Australia) Ms Karen Dobie said the average person will spend $41 on their partner or intended. And with most people willing to lavish their loved ones with something a little more luxe this year, greeting cards, chocolates and clothing will enjoy less than optimal growth.
"More expensive items are back on the agenda this year", said Ms Dobie. "And for those not able to splurge on a long weekend or dinner at a Michelin starred restaurant, there will still be opportunities to go that extra mile to impress the object of their desire, such as buying premium chocolates and a dozen roses rather than a mixed bunch of whatever's in season."
Valentine's Day 2013 spending
|Clothing & intimate apparel||66.60||66.67||0.10|
Flirting with fine food
Tables for two will be hot options next Thursday as Australia's love affair with cooking shows continues to drive demand for high-end restaurants. "Establishments with ‘celebrity' chefs at the helm will be especially popular picks for those trying to impress their loved one on Valentine's Day", said Ms Dobie.
In total, IBISWorld estimates Australians will spend $34.02 million on eating out on February 14 – up 8% from last year.
Say it with something sparkly
Although Valentine's Day is a traditional choice for popping the question, Ms Dobie said some sweethearts dreaming of diamonds next Thursday may have to settle for a swish dinner instead. IBISWorld projects spending on jewellery will grow by a modest 1.8% this year – down from last year's 9% spike – with $37.06 million expected to be spent on the sparkly stuff.
A lover's tryst
As picnics in the park, strolls along the beach and home-cooked meals fall from favour this year, those in the domestic tourism sector will enjoy a spike in spending. Couples are expected to take advantage of Valentine's Day falling on a Thursday and enjoy an extended weekend break at a bed and breakfast, city hotel or country house.
Ms Dobie said couples will spend $437.61 million on romantic weekends away this Valentine's Day, up 3.65% from last year.
Not so in love with lingerie
While the overall spend on clothing and lingerie seems high in dollar terms – we'll ring up goods worth $66.67 million for our partners – Ms Dobie said growth in this segment is just 0.1% from last year, no doubt a disappointing result for a retail segment already in the doldrums.
"Lingerie and clothing have been losing momentum as Valentine's Day favourites for a number of years now, perhaps due to a combination of the high cost and difficulty choosing a surprise for your loved one that they will like and fit into (without causing offence and dampening the mood)", said Ms Dobie.
A box of chockies and a bunch of blooms
Chocolates are unlikely to ever fall far from the top of the Valentine's Day list, but growth for the sweet stuff will be slower than last year – when spending increased by 4.6%. While fair trade and organic chocolates will remain popular with socially conscious sweethearts, IBISWorld expects competition from supermarket-brand gourmet chocolates will put pressure on traditional high-end treats.
And while February 14 remains one of the busiest days on the calendar for local florists, per capita spending on flowers is tipped to remain stable this year with growth of just 0.9% from 2012.
For more information on these, or any of Australia's 500 industries, log onto www.ibisworld.com.au, or to keep up to date with IBISWorld activities follow on Twitter.
IBISWorld reports used to develop this release:
X0003 Tourism in Australia
G5255 Watch and Jewellery Retailing in Australia
G5254 Flower Retailing in Australia
H5731 Cafes and Restaurants in Australia
G5221 Clothing Retailing in Australia
G5243 Newspaper and Book Retailing