- February 14, 2017
- Posted by: admin
- Category: Uncategorized
Valentine’s Day is saturated with sincere amorous feelings among couples, but there are also plenty of business owners who get all doe-eyed about the holiday for what it can do for their revenues. Some companies quite literally bank on Valentine’s Day that the weeks leading up to it constitute the majority of their annual revenues. Others receive a welcome earnings boost. In total, Valentine’s Day represents a $17 billion industry for such companies.
For business owners trying to adjust their strategy considering Valentine’s Day or anyone who wants to strategically engage in a business listing transaction to take advantage of its seasonal strengths, knowing who the big-time players are in the love game can help.
To kindle your love for Valentine’s Day, here are some of the companies that are the most passionate about it:
Ever since the Duke of Orleans wrote his wife a heartfelt Valentine letter during his imprisonment in 1415, love letters have become a Valentine’s Day tradition. Proudly continuing this tradition is the Hallmark Cards company.
First founded in 1910, Hallmark Cards, Incorporated sells an average of 144 million greeting cards every Valentine’s Day. They also produce around 1,400 different Valentine’s Day greeting card designs. The only holiday to rival their Valentine’s Day success is Christmas.
Hallmark’s competitor, American Greetings Corp., also does quite well on Valentine’s Day.
Every year, 36.6 people who buy Valentine’s Day gifts purchase flowers for their sweetheart. While they can go to a local florist, the convenience of online-ordered, home-delivered flowers enable busy amours to still get their loved one a heartfelt gift.
This sentiment has lead to tremendous seasonal success for companies like 1-800-Flowers.com. Company CEO Jim McCann once claimed that the company does 10 percent of its annual sales in the weeks leading up to Valentine’s Day. Surprisingly, this holiday still isn’t their biggest seasonal event — Mother’s Day is.
The Hershey Co.
Chocolate and candy remain extremely popular gifts for Valentine’s gestures. The National Retail Federation estimates that total candy/confection sales near the holiday total $1.66 billion.
Of these sales, many go to big-names like The Hershey Co. The company — with its huge market cap of $18.03 billion — not only owns its familiar Hershey brand but also acquired subsidiaries like Brookside Farms, which sells chocolate-dipped fruit.
Other companies crushing the Valentine’s Day candy market include NECCO, which sells an estimated 100,000 pounds of its chalky, heart-shaped Sweetheart candies every day from January 1 to Valentine’s Day.
Victoria’s Secret (Limited Brands, Inc.)
Lingerie is the perfect gift that keeps on giving for many Valentine’s Day couples. The National Retail Federation estimates that 7.5 percent of Valentine’s Day shoppers will visit a specialty retail location like Victoria’s Secret to find a gift for their special someone, spending $1.6 billion total on average.
Other Companies That Get Lucky on Valentine’s Day
● Vermont Teddy Bear
● Tiffany & Co.
● Armellini Express Lines (specialty flower freight transportation)
● U.S. Postal Service
● Bloomin’ Brands Inc. (owner of restaurants like Bonefish Grill and Outback Steakhouse)
● Darden Restaurants
● IAC/InterActiveCorp (owner of Match.com, OkCupid, Tinder, and more)
Getting Some Finance Romance from Business Acquisitions on Valentine’s Day
Whether you wish to inspire your business model by looking up to companies like these or you wish to acquire or sell a business in a similar seasonal market, Valentine’s Day offers a great chance to reflect upon financial opportunities.
If you need guidance on buying or selling a business or strategizing your operations towards future growth in light of holidays like Valentine’s Day, then do not hesitate to contact a Henderson, NV business strategy and valuation consultant, Jamie Schwartz, today.