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Home WORLD

Valentine’s Day: Companies that profit the most off love

Foxbusiness by Foxbusiness
February 13, 2019
in WORLD
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Valentine’s Day: Companies that profit the most off love
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The FINANCIAL — While most Americans will be busy gazing into their loved ones’ eyes this Valentine’s Day, a slew of companies will be busy gazing into their earnings.

This year, while only half of Americans polled Opens a New Window. said they plan to celebrate the holiday , those who are plan to spend in record amounts.
The National Retail Federation estimates total spending this Valentine’s Day to exceed $20.7 billion, a 6 percent increase over last year’s $19.6 billion.
The retail industries that stand to see big sales boosts during the holiday are jewelry at $3.9 billion, clothing/lingerie at $2.1 billion, flowers at $1.9 billion, candy at $1.8 billion and gift cards at $1.3 billion.

Here are some companies that are expected to see strong sales this Valentine’s Day.

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Flowers Companies –Total spending $3.9 billion

The Bouqs Company

The online floral retailer told FOX Business last year that it typically racks up more than $1 million per day in sales leading up to occasions such as Mother’s Day or Valentine’s Day.

Candy Companies–$1.8 billion

Since Sweethearts are officially off store shelves this year due to new ownership, Brach’s hopes to make a big splash with its SweeTARTS. While a spokesperson for the brand could not share its sales estimates for V-Day season, the company estimates one third of its total Valentine’s Day business will be from Brach’s. It also increased its production of Conversation Hearts this year by 10 percent due the absence of SweetHearts.

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Hershey Co.

As one of the biggest chocolate and sugar confectionary manufacturers in the country, Hershey’s stands to make a big profit this Valentine’s Day with well-known brands such as Hershey’s, Reese’s, Twizzlers and Kit Kat. This despite all the drama it had over its Kisses missing its “tips Opens a New Window. ” recently. Plus, for V-Day the company packages many of its products in heart-shaped boxes to drive up revenue even more. Hershey’s annual revenue for 2018 was $7.791 billion, a 3.67 percent from 2017.

Clothing/Lingerie–$2.1 billion

L Brands–Victoria Secret and Bath & Body Works

L Brands has two key brands under its belt for the V-Day season, Victoria Secret, which is the country’s leading lingerie store, and Bath & Body Works, a personal-care retailer. Net sales for L Brands in 2018 were $12.63 billion, up from $12.57 billion last year.

Adore Me.

This New York-based lingerie startup has seen record growth Opens a New Window. since launching in 2012. Morgan Hermand-Waiche, the founder of Adore Me Opens a New Window. told FOX Business back in 2017 that sales volumes typically pick up three to five times on a daily basis around Valentine’s Day season.

Gift cards–$1.3 billion

Hallmark Cards

Hallmark typically creates around 1,400 Valentine’s Day greeting card designs and, according to Statistic Brain, an estimated more than 144 million people plan to send cards this Valentine’s Day, making it the company’s second-biggest day after Christmas.

Jewelry — $3.9 billion

Tiffany & Co.

Known for its blue boxes, Tiffany & Co. stands to make a big profit on Valentine’s Day as it did last year. During its first-quarter earnings report last year, Tiffany reported better-than-expected results with overall worldwide net sales rising 15 percent.

Tags: Valenrine's DayValentine's Day: Companies that profit the most off love

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