This blog is based on Food Gifting in the U.S., 4th Edition. For more insights from the report click here.
Nov. 17 -Behold the food gift, that wonderfully trendy present that combines two things people love: yummy morsels that tantalize the taste buds and the thrill of being the recipient of someone else’s thoughtfulness. On the strength of gift-giving centric occasions such as birthdays, Valentine’s Day and winter holidays (Christmas, Hanukkah, Kwanzaa), U.S. food gifting sales reached an estimated $21 billion in 2014, up 5%, according to Packaged Facts in the report Food Gifting in the U.S., 4th Edition. Resurgence by the American middle class after a period of post-recession adjustment also played a role in the market’s growth, and sales are projected to increase an additional 5% by the end of this year and again by 5% in 2016.
Undoubtedly, the recession had a very significant impact on historical sales trends, as the highly discretionary nature of food gifting became significantly affected by disposable income trends. But as consumers have fought their way out the recession, so, too has the food gifting industry. Of particular importance, are signs of growing food gifting strength among middle-income consumers, which bodes well for a market that has relied heavily on higher-income consumers to tow it through and out of the recession. If Middle America is ready to spend more on food gifts, the industry will see brighter days ahead.