Sales of clothing and intimate apparel will bottom out this Valentine’s Day, says IBISWorld, as spending on other romantic experiences climbs.
Knickers sales will go down this Valentine’s Day, says industry-based research outfit IBISWorld.
Overall spending on declarations of affection will rise by 4.8 per cent this year, the company says, with $908.7 million set to go through cash registers.
But of the seven Valentines categories the company tracks, just one - clothing and intimate apparel – is expected to decline.
IBISWorld General Manager (Australia) Ms Karen Dobie says the lingerie plunge is caused by “relatively high costs and the difficulty in choosing items that your partner not only likes, but can actually fit into.”
The reason for the poor fit could be the surge in dining out expected this Valentine’s Day. IBISWorld predicts $31.5 million will be spent on dining out – up of 5.7 per cent compared to 2011.
“The popularity of cooking shows like Masterchef is raising awareness of fine dining, which is driving demand for high-tier restaurants. This is especially true on special occasions such as Valentine’s Day,” Dobie said.
Travel will be the big winner this year, with spending on romantic getaways set to top $420 million.
Valentine’s Day spending, 2011 vs. 2012 | |||
Category | 2011 ($ million) | 2012 ($ million) | Growth (%) |
Romantic getaways | 398.7 | 422.2 | 5.9 |
Chocolate/confectionary | 279.2 | 292.1 | 4.6 |
Clothing & intimate apparel | 67.0 | 66.6 | -0.6 |
Flowers | 45.6 | 45.9 | 0.7 |
Jewellery | 33.4 | 36.4 | 9.0 |
Eating out | 29.8 | 31.5 | 5.7 |
Greeting cards | 13.6 | 14.0 | 2.9 |
Total | 867.3 | 908.7 | 4.8 |
Source: IBISWorld
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