How Personalization is Giving the Gifting Industry a New Identity?
There is no denying that the gift industry has a very broad market, and because of its enormous potential, no two business concepts can be the same. The personalized gift market has many dominant companies, which is where time-based rivalry is essential. The sector has grown by four times in the previous five years thanks to a 25% increase and the introduction of new gift item categories. Even by the end of 2022, industry revenue is predicted to generate $77 billion due to the expanding worldwide retail sector. Accordingly, the gifting sector, which includes both corporate and personal gifts, will control close to 80% of the retail market.
As a growing number of consumers place a high priority on purchasing presents that are specifically created to make friends feel special and forge deeper personal relationships, customization in the gifting business has been growing quickly. Market players may now plan, develop, and distribute finished items with a short turnaround time thanks to growing digitalization and contemporary manufacturing techniques and technology.
In contrast to the rest of the gifting categories, which are now increasing at a rate of 10–25 percent annually, the personalized gift area has quadrupled in size over the past five years. Nowadays, personalized presents are more affordable and accessible. In order to deliver personalization within various gifting categories, including jewelry, clothes, picture frames, cups, and other categories of products, players operating in the personalized gifts market are currently focusing more on customer preferences and habits.
Owing to increase income levels and expectations, the personalized giving business in India has experienced grown significantly in the past ten years. By 2022, the global industry for the retail sale of gifts is expected to generate sales of close to USD 77 billion. The market for gifts is divided into two categories: corporate giving and individual gifting, with the latter accounting for the overwhelming share, or 80% of the whole market. The increasing rate of the gifting business in India is being disrupted by the emergence of digitalization and the rising standard of living income of millennials, while simultaneously providing customers with convenience and happiness through the viability of online purchasing.
This revolution has been significantly influenced by the development of Indian consumers, who are both ready and able to pay for unusual gifts. A seamless experience is created by factors like innovative packaging, handwritten letters, initial etched boxes, etc. These elements show extra care and emphasize thankfulness and gratitude.
Consumers may now browse and buy giftable items more easily thanks to the rising popularity of internet retailing. Customized lamps, plants, tiles, calendars, canvas bags, scrolls, crystals, etc. are now available in addition to the earlier selection of photo frames, mugs, and pillows sold online. There will likely be a wide variety of personalized presents that are innovative in their design, use of materials, and technology as internet usage grows. Giving has a seasonal component as well. The demand for personalized photo cakes increases during the anniversary season, when about 60% of all anniversary cakes are personalized, and for special occasions like New Year's, when the demand for personalized calendars reaches 57.2 percent of all personalized orders.
Diversity in motion
The variety of presents available has also increased the purchasing power of Millennials. Consumers' purchasing habits have changed as a result of the increase. Unusual personalized gifting is greatly influenced by social media influence and affluent lifestyles. Moreover, the personalized gifting industry has seen a significant increase because of the impact of the US, particularly on Mother's Day, Father's Day, and Thanksgiving. Additionally, the appeal of personalized messaging has given this service a huge boost.
New competitors, difficulties, and innovations are appearing in the market. The consumer mindset has changed significantly, and the online gifting market appears to have a bright future. Custom-made goods are in desire and currently account for about $220 million of the market. Giving green gifts is becoming increasingly popular.
365Canvas is one such firm that is prepared and set up for special business features. The business adds a distinctive twist to personalized gift items that evoke nostalgia and recollections of beautiful moments. Everything is capable of being made and sent within 5 working days thanks to the 365Canvas platform. The company, which has its US headquarters in Delaware, has developed factories and fulfillment centers in Mexico, Canada, the UK, and Australia. The business was founded following extensive market research and a focus on the market gap that revealed the consumer desire for personalized presents. The appeal of the gifting sector has grown in part due to this gap. 365Canvas now offers a distinctive business strategy that distinguishes it from its rivals. Whereas the value of the client experience is paramount, it provides a simple customizing tool.
According to industry trends, the organization has a tonne of facilities that allow them to efficiently manage every step of its supply chain, from customers to vendors, service providers, and distributors. The founder and CEO tell the tale of how he once began hunting for a present for his American friend. He wanted to provide a gift that was unique, special, and important towards the conclusion of 2017. He first learned about personalized gifts at that time. His pal was overjoyed!
The following are a few elements that have influenced the growth of the customized giving industry in India:
● An increase in millennials' purchasing power
Increased purchasing power has altered consumers' purchasing habits. A significant shift in consumer purchasing behavior has recently occurred as a result of added effect and recent ambitious purchasing requirements. People are now eschewing conventional gift-giving options in favor of creative customized gifting ideas that serve as a sign or emblem of a special connection between the gift-giver and recipient.
● Western culture's influence
Among the most important elements fueling the expansion of personalized giving in India is this. Larger companies and MNCs have introduced the idea of corporate giving to their staff members around holidays like Diwali, Christmas, and New Year. Customers today are accessible to a wide range of gifting options that add value and use a personalized gift token to record an everlasting connection and moment. Even personalized messages get their own appeal and popularity; recently, the message inside a bottle received an astonishing amount of orders around Valentine's Day.