Supply Chain Expertise
Valentine’s Day by the Numbers
Like every holiday during the past year, Valentine’s Day will look a little different this year. Based on the National Retail Federation and Insights & Analytics’ annual Valentine’s Day survey, “consumers plan to spend an average $165 on Valentine’s Day gifts and celebrations.” While this figure has actually decreased from last year’s average Valentine’s Day spend of $196 per person, this year's celebration follows “a record-setting winter holiday season.”
On top of that, the NRF also highlighted that 46% of respondents are “actively avoiding in-person gatherings” leading to a $1.5 billion drop in Valentine’s Day spending this year. Some ways Americans are celebrating valentines days during this age of lockdown gifting boxed Chocolates, preparing at home meal Kits, and sending floral arrangements.
Having roses delivered to your special someone is a highly coordinated logistics effort as the average lifespan of a rose once it has been cut is 19 days. The restricted delivery window is the very reason why “Valentine's Day — not Christmas — is when UPS moves the most freight out of Colombia,” one of the U.S.’ largest importer of roses.
Due to rising demand for inexpensive roses and the expansion of U.S. trade agreements, “US-produced roses sank by 7.5% while imports from Colombia jumped by 33.4%.” American growers are simply unable to compete with Columbia’s blooming flower industry.
The director of packaging at Elite, a leading grower in Columbia highlighted that a majority of the roses that are grown at his facility are consumed internationally, with “80% [going] to North America and the rest to Europe.”
Americans are expected to spend “an estimated $2 billion” roses and $21.8 billion on Valentine’s day altogether. The NRF anticipates spending for next year’s activities to return to expected levels when businesses reopen.