Valentine’s Day Spending Pressure: Many Feeling the Strain

With Valentine’s Day fast approaching, many couples are feeling the spending pressure associated with the holiday. Friends Brenda Tran and Julia Oh, from London, Ontario, have decided to shift their focus from expensive gifts to memorable experiences this year. Both women aim to enjoy the day with their partners without succumbing to the commercialized pressure that typically comes with Valentine’s Day.

Changing Attitudes Towards Valentine’s Day Spending

Tran has reflected on her past Valentine’s Day expenditures, noting that she once spent between $100 and $200 annually on gifts. As a student, she finds this approach unsustainable, especially when considering the increasing cost of living. “In the beginning of the relationship, I bought a lot more things, but then slowly I felt like it wasn’t really sustainable,” she explained.

This sentiment is echoed by a recent CIBC survey conducted by Ipsos, which revealed that 56% of Canadians plan to make Valentine’s Day purchases this year. The survey found that individuals aged 18 to 34 are the most significant spenders, with an average anticipated expenditure of over $200. The survey, conducted from January 22 to 26, involved 1,500 Canadians and has a margin of error of 3.1 percentage points, 95% of the time.

The Emotional Influence on Spending

Emotions play a crucial role in holiday spending, according to Sumitra Auschaitrakul, a professor of marketing and consumer behavior at the University of Guelph. She asserts that when emotions run high, consumers might make impulsive decisions, prioritizing feelings over financial logic.

• Young consumers face pressure not only to buy for romantic partners but also for friends and family.
• Social media trends can amplify this stress, with platforms like TikTok showcasing extravagant gift ideas.

Auschaitrakul pointed out that over time, spending habits on Valentine’s Day have evolved to encompass gifts for pets and friends as well. This evolution reflects how brands have adapted their marketing strategies to target a broader audience, not just couples.

Downtime Amid Rising Costs

Despite the spending pressure, many Canadians are aware of their financial constraints. According to the same CIBC-Ipsos survey, 45% of respondents stated they plan to spend less this year compared to previous Valentine’s Days.

Nevertheless, businesses specializing in traditional gifts, such as flowers and chocolates, report steady sales year-over-year. Kendra Clarke, owner of Lovebird Flowers, expects a bustling weekend ahead as individuals look to make grand gestures. “Valentine’s Day is the one time of year where we see people want to go all out,” she said.

Focusing on Experiences Instead of Gifts

Tran and Oh emphasize the value of shared experiences over material gifts. For their Valentine’s Day plans, they will focus on activities like dining out, watching movies, and spending quality time together. Oh shared, “For me personally, quality time is more important than actual gift giving.”

Tran encourages couples to communicate about their expectations for Valentine’s Day, promoting a personalized approach. She advised, “You know yourself well and your relationship well, so just do what makes sense for your relationship.”

Auschaitrakul also suggests a more measured approach to spending. She encourages consumers to pause and evaluate their purchasing decisions, especially when faced with sales and promotional pressures. “Think about whether you really need to purchase the product or not,” she stated.

This Valentine’s Day, as Canadians navigate the pressures of spending, focusing on meaningful experiences could lead to more fulfilling celebrations, free from the financial burden often associated with the holiday.