Below is information shared from Market Research Future’s latest report, “Global Personalized Gifts Market.”
According to a research report by Market Research Future (MRFR), the personalized gifts market is forecasted to reach $38.66 Billion by 2027 at 5.83% CAGR. The report considers product type, end-user, distribution channel, and region.
Personalized gifts market
The personalized gifts market includes numerous established firms, including American Greetings Corporation, Redbubble, Etsy, CafePress, Personalization Mall, among others.
Trends and growth
Due to the diverse options of personalized gifts available and the surge in consumer purchasing, especially among millennials, business growth has accelerated in the last two years. According to the report, an affluent lifestyle paired with social media playing a major part has heightened the preference for personalized gifting.
Additionally, Western culture and holidays, like Father’s Day, Thanksgiving, and Mother’s Day, have pushed the personalized gifting market further in other parts of the world. The allure of personalized messages, along with the gifts, also lends a boost to the market demand.
A large number of players are quickly making it into the global market, challenging already established firms. The potential and consumers’ rising trend toward online gifting has been favorable for the overall global industry. Tailor-made gifts are enjoying robust demand while the green gifting trend is emerging fast. According to Market Research Future, with internet usage and smartphone ownership shooting up, the growth of the online personalized gifting sector will remain throughout the analysis period.
Market restraints and COVID-19
Despite a favorable outlook, the global market can face inventory, supply chain, and merchandising management issues, especially in emerging regions.
The COVID-19 outbreak opened up challenges, and post-lockdown, the sales of non-essential items dipped, negatively affecting the personalized gifts industry. Most manufacturers had to temporarily shut down their operations, while some had to restrict their production capacity, impacting the worldwide market. However, rapid globalization and the growing acceptance of several cross-cultural holidays could be a major opportunity for manufacturers in the next several years.
The personalized gifts industry can be categorized into a few segments: distribution channels, product type, and end-users. Some of the prominent distribution channels in the global market are store-based (supermarkets, hypermarkets, specialty stores, convenience stores, and others) as well as non-store-based (direct along with indirect).
Depending on product type, the global market includes, but is not limited to, wall decoration, personalized chocolates, personalized accessories, personalized diaries, desk accessories, personalized clothing, personalized photo frames, and personalized gifts for kids.
Unisex, men, kids, and women are the top market end-users listed in the MRFR report. The unisex segment takes the lead worldwide and should continue to expand at the fastest rate during the given period (2020-2027). The segment could reach $15.6 billion by 2027-end, says MRFR, because of the availability of diverse unisex personalized gifts.
Europe is the global market leader, having seized the biggest share of 37.10% in 2019. The European market for personalized gifts has been performing well in response to the strong presence of several established brands and suppliers. The thriving fashion sector across France, Italy, Germany, and the United Kingdom also raises the demand for various personalized products.