Personalized Gifting Market - Europe and the US Set to Battle for Dominance

The US Personalized Gifting Market to Reach $13.12 Billion by 2029

The US personalized gifting market is experiencing a surge in demand as consumers seek unique and meaningful ways to express themselves and connect with others. Personalized gifts allow individuals to add a personal touch to special occasions such as birthdays, weddings, and holidays. Personalized gifts are available through various retail channels, such as online marketplaces, specialty gift shops, and department stores. The rise of e-commerce has made it easier for consumers to browse and purchase personalized gifts from the comfort of their homes. At the same time, other stores offer opportunities for in-person customization and consultation services. For example, Etsy Inc. provides a convenient, varied, and affordable platform for consumers to browse and purchase personalized gifts.

Recent Developments

• In 2023, Snappy, one of the prominent vendors, introduced its AI Gifting Assistant, aiming to revolutionize gift-giving personalization. Snappy streamlines the gift selection process by incorporating AI technology alongside proprietary data and curated selections. This AI-powered assistant presents users with a carefully curated selection of gifts aligned with the recipient's interests, hobbies, and the sender's budget. Market players should explore integrating AI solutions to enhance customer experience, making the gift selection process more efficient and enjoyable.
• In 2023, Hallmark, one of the key vendors, and Venmo a digital wallet that lets anyone make and share payments, launched Hallmark + Venmo Cards. This collaboration transforms the gift-giving experience by allowing customers to send money with Venmo in a physical Hallmark card securely. By bridging traditional gifting with modern payment methods, this development offers a unique and convenient way to gift money to friends and family. Market players should consider strategic collaborations to provide innovative and seamless solutions catering to evolving consumer preferences in gifting and payment methods.

The Online Distribution Channel Market is Projected to Reach $5.51 Billion by 2029

Online channels provide convenient access to various personalized gifts, allowing consumers to browse and purchase items from the comfort of their homes or on the go. With just a few clicks, shoppers can explore numerous options, compare prices, and place orders at any time of day. Some vendors offering online services are Firebox, YourSurprise, Gelato, and IGP.com. It offers global reach, enabling consumers to access personalized gifts from vendors worldwide. This allows for greater product diversity and the opportunity to discover unique and specialized items that may not be available locally. Many online platforms offer interactive customization tools, enabling consumers to personalize their gifts according to their preferences. These tools may include text customization, image uploads, and preview options, giving shoppers more control over the final product.

The Europe Personalized Gifting Market is Projected to Reach $14.51 Billion By 2029

The Europe personalized gifting market has experienced a remarkable surge in demand, driven by a discernible shift in consumer preferences toward unique and customized gift options. This trend signifies a departure from conventional, generic gifts, as consumers increasingly lean towards items tailored to individual preferences and sentiments. This evolution underscores a profound desire for personalized and meaningful gift-giving experiences. A growing trend within the Europe personalized gifting market revolves around the increasing prevalence of digital personalization. From immersive Augmented Reality (AR) experiences to the integration of interactive online customization tools, the infusion of digital elements into personalized gifts is gaining widespread popularity. This adds a layer of innovation to the gifting experience and enhances engagement as consumers seek unique, technologically enhanced ways to convey their sentiments through personalized offerings. For example, Snapfish and Moonpig offer AR features that enable customers to view their products in 3D before ordering them.

Recent Development

• In 2023, &open, one of the prominent vendors introduced GiftClips, enabling users to add videos with sound to the gift redemption experience. The introduction of GiftClips elevates the corporate gifting experience in Europe, allowing a deeper connection between gifters and recipients. Market players can capitalize on this trend by incorporating similar video messaging features, enhancing the emotional value of personalized gifts, and differentiating themselves in the competitive market.
• In 2022, Etsy, one of the key vendors, launched a purchase protection program for buyers and sellers. The program will refund buyers for orders when issues arise, adding a layer of confidence for buyers when engaging with small businesses. It will encourage increased participation in personalized gifting. Market players in Europe should focus on building trust through transparent policies and excellent customer service to align with this trend.

UK Leading the Europe Personalized Gifting Market

The UK has a strong cultural tradition of exchanging sentimental and meaningful gifts, especially for birthdays, weddings, and holidays. Personalized gifts that evoke sentiments and traditions are popular among consumers, driving demand for customized items such as engraved jewelry, monogrammed homeware, and personalized photo albums. The UK personalized gifting market is heavily influenced by the dominance of e-commerce channels, with online retailers and marketplaces playing a key role in driving sales and market growth. Consumers value the convenience, variety, and accessibility of online shopping, making e-commerce platforms the preferred choice for purchasing personalized gifts in the UK market.