Personalized Gift Industry – Is It Time for You to Be Part of the Booming Industry?
The gifts industry is hands down one of the most diverse markets with a huge capacity for demand. It is unparalleled to any other industry where no two business models are the same.
Certain dominating players command most of the market share for personalized gifts. However, time-based delivery is what can bring a point of differentiation as the market grows further. The industry saw rapid growth with an increase of 25% in the last five years and the introduction of new categories.
With the rise in the global retailing market, the industry revenue can touch $77 billion by 2022. It means that corporate and personal gifting will comprise 80% of the total retail market share.
There is an increase in the purchasing power of millennials owing to the diversity of gifting options. It has led to a change in the buying patterns of the consumers. The influence of social media and affluent lifestyles has a great impact on unconventional gift customization options.
There is also a rapid rise in the celebration of different days like Mother’s Day, Father’s Day, and Valentines’ week. Such additional days have led to a huge increase in the personalized gifting market. A key behavioral trait worth mentioning here is the charm of personalized messages that boosts sales enormously.
The market is seeing an emergence of innovation, new players, and challenges. A gradual shift in the mindset of the consumers and the prospects looks very strong. The tailor-made products are in high demand and contribute to $ 20.4 billion. Another rising trend is green gifting.
Many companies that are offering options for personalized gifts are increasing rapidly. You can check such products which are unique and offer a twist in their personalized gift products. They help bring back the sweet memories and nostalgia of the days gone by.
Such companies offer flexible delivery options, and your gift can reach your near and dear ones on the day of your selection. Many companies also entail several researchers and focus on the exact need of the market. The identification of such needs helps them better map the consumer demand. A few companies also offer personalization tools where you have the facility to create your gifts effortlessly.
The new companies tap into the market trends and include facilities that help run the entire system efficiently. From vendor management to providing services, the complete supply chain is technology-driven. An interesting phenomenon is that most of them share a familiar story of opening the company while figuring a personalized gift option for someone.
The size of the gift market is at $ 31.63 billion, with gifts ranging from novelty products, canvas prints, and eco-friendly gifts.
The rise in popularity of e-commerce sites is also fueling the growth of this sector. The reach of e-commerce saw a significant increase during the pandemic, and forecasts suggest it will grow by $ 200 billion in 2022. The largest share of the pie that contributes to the gifting industry is online services. During restrictions and lockdown, most people opted for such services to get their wishes fulfilled.
Even the smaller e-commerce companies saw a rise of 50% or more in their sales during this period. Industry experts predict that the growth rate triggered by uncertainty will continue. It is a great sign and a scope for the new and established players to increase their reach and improve the top lines.
The popularity of the personalized gifts section has led to new service additions that include pillows, desktop plaques, mugs, and ornaments. The companies offer a variety of designs for the customers to choose from. Every product that you choose is unique and is custom-built, as per the preference of the user.
Most of the players in the gift industry are betting big on the expansion of the gift market. The chances are it will be one of the biggest markets in South East Asia and the US in the coming years.
Therefore, if you want to enter the personalized gift segment, this is the best time. You can select from the variety of options and services that are popular with the customers nowadays. Opting for a well-defined supply chain and being aware of the trends can help you make a mark in this industry.
You can choose to move beyond the ordinary and include the latest offerings like customized mugs, pillows, or ornaments, etc. The gift market is growing rapidly and experts predict more growth in the coming days.