The Economic Impact of Valentine's Day in Canada
Valentine's Day is a cultural phenomenon that has grown into one of the most commercially significant events of the year. While it is often associated with romantic gestures and declarations of love, Valentine’s Day also plays a considerable role in Canada's economy.
Let's take a closer look at the economic impact of Valentine's Day in Canada, including its effects on various industries, consumer behaviors, and the broader economy.
The Scale of Valentine’s Day Spending
Valentine's Day is a multibillion-dollar industry in Canada, with more than half of Canadians spending over $50 on this holiday. In 2024, 83% of Canadians who celebrated Valentine's Day planned to spend the same or more as they did in 2023.1
While some consumers opt for more modest gifts, such as greeting cards or chocolates, others go all out with high-end jewelry or lavish experiences, contributing to a broad spectrum of spending across multiple economic sectors.
Key Industries Benefiting from Valentine's Day
Several industries experience a significant boost in sales around Valentine's Day. Here are some of the key sectors that see increased activities during this holiday:
Retail and E-commerce
Traditional gifts such as chocolates, flowers, and greeting cards are among the top-selling items during Valentine's Day. In 2024, 30.6% of Canadians spent money on flowers, 16.8% spent money on gift cards, and 14.6% spent money on clothing.1
E-commerce has also played an important role when it comes to Valentine’s Day shopping. However, three-fourths of Canadians prefer to shop in person when making purchases for Valentine’s Day.1
Jewelry stores also see a surge in sales, with many people choosing Valentine's Day as the perfect time to purchase engagement rings, necklaces, and other high-end items. According to some estimates, Valentine’s Day is one of the top sales periods for jewelers, second only to Christmas.2
Hospitality and Dining
In 2024, 57.5% of Canadians spent money on food, alcohol, candies, and restaurant visits.1 In addition, one in four Canadians who celebrated Valentine’s Day in 2024 went to a restaurant with their loved ones.
Furthermore, fine dining establishments offer special Valentine's Day menus and promotions, capitalizing on customers' desire for intimate and memorable experiences. Additionally, the trend toward "experience-based" gifts has increased spending on related activities, such as spa packages, weekend getaways, and entertainment events.
Other top experiential Valentine’s Day activities in 2024 included taking nature walks, hosting meals/parties, traveling, or playing sports.1 In larger cities like Toronto, Vancouver, and Montreal, Valentine’s Day leads to an economic boost for local tourism, with couples traveling for short getaways to luxury hotels or participating in themed events. These activities not only benefit restaurants and hotels but also other businesses in the hospitality sector, such as transportation services.
Flower Industry
In 2024, 30.6% of people who spent money on Valentine’s Day spent it on flowers.1 Due to this increase, prices for roses and other popular flowers often rise due to increased demand, and consumers are often willing to pay a premium to make the day memorable for their loved ones. Thus, Valentine’s Day also supports Canadian flower growers and distributors, contributing to the country's agricultural sector.
Confectionery and Chocolate Industry
Chocolates are another staple Valentine’s Day gift, making the confectionery industry a key beneficiary of the holiday. In fact, more than half of the people who spent money on Valentine’s Day 2024 spent it on candies.1
Whether consumers choose gourmet chocolates or more affordable boxed candies, the demand for sweets spikes during this holiday. In particular, Canadian chocolate producers and international brands see a notable increase in sales, with some companies releasing limited-edition Valentine's Day-themed products to drive greater interest.
Valentine's Day in Canada is much more than a day for romance; it's a vital economic driver for several industries. The holiday generates billions in revenue from the retail and hospitality industries to the flower and confectionery sector and shapes consumer behaviors.
This content is developed from sources believed to be providing accurate information, and provided by Twenty Over Ten. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.
Ivy Pierson, CEP, MBA Investment Advisor Representative Securities and advisory services offered through Cetera Advisors LLC (doing insurance business in CA as CFGA Insurance Agency LLC), member FINRA/SIPC, a broker/dealer and a Registered Investment Adviser. Cetera is under separate ownership from any other named entity. Pierson Wealth Management is located at 28368 Constellation Rd., Ste. 396, Santa Clarita, CA 91355. CA Insurance Lic#0C92500. All investing involves risk, including the possible loss of principal. There is no assurance that any investment strategy will be successful
