Elmhurst, IL—Technavio market research analysts forecast that the U.S. personalized gifts market will grow at a CAGR of more than 9% during the 2018–2022 period. The projection is based on the company’s latest market report.
The market research report segments the personalized gifts market in the U.S. into the following products: non-photo personalized gifts and photo personalized gifts. It also divides it by offline distribution and online distribution channels. Notably, the personalized photo gifts segment is expected to exhibit high growth, reports Technavio. Moreover, personalized photo gifts are predicted to account for nearly 35% of the total market share by 2022.
In the report, Technavio analysts highlight the advent of the gift-giving culture and increasing demand for seasonal decorations as a key factor contributing to the growth of the personalized gifts market in the U.S.
The seasonal decorations segment accounts for a major portion of the total revenue generated in the U.S. personalized gifts market. During holidays like New Year, Christmas, Halloween, Easter, and Hanukkah, the sale of these products increases. In the U.S., the sales of gifts during the holiday season increased by more than 8% in 2016, according to Technavio.
“Lately, the culture of self-gifting has evolved substantially. Consumers also purchase personalized gifts for self-use,” commented a senior analyst at Technavio for retail goods and services. “Customizing gifts through personalization, configuration or on-demand printing enables value- and differentiator-addition to general gifts.
“Streamlining designs as well as building efficient ordering processes, enhancing gift customization capabilities, and brainstorming new ideas to make gifting operations smooth and quick has a major impact on the gift-giving culture. These measures have aided in the retention of customers, up-selling and also cross-selling among retailers.”
In addition, the rise in the popularity of 3D printed personalized products is identified as another key trend that will gain traction in the U.S. personalized gifts market. Technavio identifies vendors like Shutterfly, Vistaprint by Cimpress, and Zazzle as offering 3D printed and personalized products.
U.S. Personalized Gifts Market Segmentation Analysis
Of the two major products, the non-photo personalized gifts segment held the largest market share in 2017. It accounted for nearly 69% of the market. The market share for this product, however, is expected to decrease nearly 4% by 2022. Moreover, the share of photo-related gifts will experience high growth during the forecast period.
Technavio is a global technology research and advisory company. Their research and analysis focuses on emerging market trends to provide actionable insights to help businesses identify market opportunities.
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