Gifts Retailing Market

The product type segment of the gifts retailing market is divided into traditional gifts, personalized gifts, experiential gifts, digital gifts, and luxury gifts. Traditional gifts are the most common type of gift, which can include flowers, chocolates, and gift cards. Personalized gifts are unique and customized to the receiver’s preferences, such as engraved jewelry, custom photo albums, or monogrammed items. Experiential gifts are those that offer some experience, including tickets to a concert or sports event, or a gift card for a spa day.

Digital gifts are virtual or e-gifts, such as e-books, gift cards for online retailers, or a subscription to a video streaming service. Luxury gifts, on the other hand, are high-end and expensive, such as jewelry, watches, or designer handbags. The traditional gifts segment made up the highest market share of the gifts retailing market in 2023 and is the type of gift most in-demand. Meanwhile, the sector is expected to continue doing so over the forecast period.

Distribution channel segment is one the most influential segments in the Gifts Retailing Market. Product distribution through brick-and-mortar stores remains widespread and profitable. These stores give the consumer the opportunity to see the products with their own eyes, try them on or hold them in their hands. At the same time, the customer is not in a hurry, since his purchase cannot be made by anyone.

In turn, the e-commerce marketplaces becoming more and more popular, as they often provide a wider range of goods and work more conveniently.Besides, there is an opportunity for the customer to buy a gift in a specialized gift shop to satisfy any of his wishes. Department stores offer a rich selection of all types of products for all needs, including gifts; they always keep up with the times and are tied to customers. An online gift card is often the best gift, giving the recipient the opportunity to choose a gift. The Gifts Retailing Market is steadily increasing.

The target audience for the gifts retailing market is diverse, comprising individuals, corporates, non-profit organizations, event planners, and gift basket companies. Individuals account for a significant portion of the market, driven by personal gifting occasions such as birthdays, anniversaries, and holidays. In 2023, the individual segment generated revenue of approximately USD 265.4 billion, which is projected to grow at a CAGR of 9.5% to reach USD 538.9 billion by 2032. Corporates represent another major segment, utilizing gifts for employee recognition, customer appreciation, and promotional purposes.

The corporate segment held a market share of around 22.5% in 2023 and is anticipated to expand at a CAGR of 10.2% over the forecast period, reaching a value of USD 341.2 billion by 2032. Non-profit organizations also contribute to the market by purchasing gifts for fundraising events, donor appreciation, and volunteer recognition. The non-profit segment accounted for a market share of approximately 15.3% in 2023 and is projected to grow at a CAGR of 9.8% to reach USD 226.5 billion by 2032.

Occasion is a primary segmentation factor in the gifts retailing market. Different occasions call for specific types of gifts, leading to variations in demand and preferences. Birthdays, anniversaries, and holidays are major gift-giving occasions, accounting for a significant share of the market. In 2023, the birthdays segment held the largest market share, followed by anniversaries and holidays. Weddings and other special occasions also contribute to the growth of the gifts retailing industry.

The market for gifts related to special occasions is expected to continue its growth trajectory in the coming years, driven by factors such as increasing disposable income, rising gifting trends, and evolving consumer preferences.

The price range segment is a crucial factor in understanding the dynamics of the Gifts Retailing Market. The market is segmented into five price ranges: $0-$25, $25-$50, $50-$100, $100-$250, and $250 and above. Each price range caters to different consumer demographics and preferences, impacting the overall market growth.

The $0-$25 price range holds a significant market share, primarily driven by impulse purchases and budget-conscious consumers. Gifts in this range include small trinkets, souvenirs, and everyday items. The $25-$50 price range targets mid-level consumers seeking quality gifts for special occasions and personal use. This segment is expected to witness steady growth due to the increasing disposable income of consumers.