Global Personal Gifting Market Outlook, 2029

Global Personal Gifting Market Outlook, 2029

In recent years, the personalized gift industry has seen a significant surge in demand, driven by a growing consumer preference for unique, meaningful, and customized presents. Whether it’s a personalized photo album, a custom-made piece of jewelry, or a specially engraved item, consumers are increasingly seeking ways to make their gifts more thoughtful and memorable. The shift towards personalized gifts is largely attributed to a desire for more meaningful and memorable experiences. Unlike generic, off-the-shelf products, personalized gifts carry an emotional value that resonates deeply with recipients. They reflect the giver’s effort, thoughtfulness, and understanding of the recipient's preferences, making the gesture more special. This trend is especially popular for occasions like birthdays, anniversaries, weddings, and holidays, where people want to express their affection uniquely. From engraving names or initials on jewelry to printing photos on household items like mugs and cushions, the possibilities for personalization are vast. The growing trend is also evident in the rise of DIY gift kits, where individuals can create and customize gifts themselves, adding a personal touch. This increasing inclination towards personalized gifts is not just a trend but a shift in consumer behavior, as people seek to give gifts that are both functional and carry emotional significance. Furthermore, the trend of zero-waste packaging and ethically sourced materials is gaining traction in the personalized gift industry. Brands that emphasize eco-friendly practices and promote a minimalistic approach are resonating well with the environmentally conscious demographic. This shift not only aligns with consumer values but also enhances brand loyalty and reputation, as people are more likely to support companies that reflect their commitment to sustainability.

According to the research report, “Global Personalized Gift Market Outlook, 2029” published by Bonafide Research, the market is anticipated to cross USD 44 Billion by 2029, increasing from USD 28.12 Billion in 2023. The market is expected to grow with a 8.23% CAGR from 2024 to 2029. The personalized gift industry has been significantly boosted by advancements in technology, particularly in areas like digital printing, laser engraving, and 3D printing. These technologies have made it easier, faster, and more affordable to customize a wide range of products. For example, digital printing has allowed for high-quality, customized designs on various materials, from fabric to ceramics, while laser engraving provides precise and intricate personalizations on wood, metal, and glass items. Additionally, the rise of e-commerce platforms has transformed how consumers shop for personalized gifts. Online marketplaces offer a vast array of customization options, enabling customers to design and preview their products before purchase. Many businesses have integrated advanced software on their websites, allowing for real-time customization and instant visualization, which enhances the customer experience and encourages higher sales. The combination of technology and e-commerce has not only expanded the market reach but also streamlined the production process, making personalized gifts more accessible to a global audience. As consumers become more environmentally conscious, there is a noticeable shift towards sustainable and eco-friendly personalized gifts. Many companies are now offering products made from recycled or biodegradable materials, catering to the growing demand for sustainable options. For instance, personalized wooden gifts made from reclaimed wood, custom-made tote bags from organic cotton, and reusable items like stainless steel water bottles are becoming popular choices.

Market Drivers

• Emotional Connection and Social Media Influence: Personalized gifts create an emotional connection between the giver and the recipient, offering a deeper, more memorable experience. This emotional appeal is a significant driver, as consumers increasingly value gifts that reflect thoughtfulness and personal touch. Social media has amplified this driver, with platforms like Instagram, Pinterest, and TikTok serving as hubs for showcasing creative and unique gift ideas. Influencers and consumers frequently share their personalized gifts online, sparking interest and driving demand. The visual nature of social media has made it easier for brands to market their products, demonstrating the impact and uniqueness of customized gifts, and reaching a broader audience quickly.
• Advancement in Customization Technologies: The rapid development of customization technologies, such as 3D printing, laser engraving, and digital printing, has revolutionized the personalized gift industry. These technologies have lowered the cost and reduced the time required for producing customized items, making them accessible to a larger audience. They have also expanded the range of products that can be personalized, from everyday items like mugs and phone cases to high-end gifts like jewelry and electronics. As a result, businesses can offer a wider variety of unique and bespoke products, catering to different tastes and preferences, which in turn drive market growth.

Market Challenges

• High Operational Costs and Scalability Issues: One of the biggest challenges in the personalized gift industry is managing high operational costs, particularly for small and medium-sized enterprises (SMEs). Customization requires additional resources, from specialized machinery to skilled labor, increasing production costs. Moreover, unlike mass-produced items, personalized gifts often require individual attention, which can be time-consuming and labor-intensive. Scaling the business while maintaining quality can be difficult, as it involves balancing inventory, production capabilities, and customer demand. The need for efficient order management systems and quality control processes adds to the operational complexity.
• Managing Consumer Expectations and Personalization Errors: The personalized nature of this industry means there is little room for error, as mistakes can directly affect customer satisfaction and lead to returns or negative reviews. If a gift arrives with incorrect spelling, wrong dates, or flawed designs, it can damage the brand’s reputation. Managing consumer expectations regarding product quality, delivery times, and customization options is also challenging. Customers often expect fast turnaround times, especially for last-minute gifts, but delivering a high-quality, personalized product on a tight deadline can be difficult. This pressure can strain production capabilities and affect customer experience.

Market Trends

• Growth of Sustainable and Eco-Friendly Personalized Gifts: Sustainability has become a significant trend across various industries, and the personalized gift sector is no exception. Consumers are increasingly seeking eco-friendly options, pushing businesses to offer products made from sustainable materials such as recycled paper, bamboo, and organic cotton. There is also a rise in demand for zero-waste packaging and reusable items like personalized stainless steel bottles and wooden utensils. This trend aligns with the growing global awareness of environmental issues, driving brands to innovate and offer sustainable alternatives without compromising the personalization aspect. It also appeals to environmentally conscious consumers who prefer to give gifts that are both meaningful and environmentally friendly.
• Integration of Artificial Intelligence (AI) for Enhanced Personalization: The integration of artificial intelligence (AI) is transforming the personalized gift industry by offering more tailored experiences to consumers. AI-powered tools are being used to analyze customer data, preferences, and past purchases to recommend highly personalized gift options. For example, some platforms now use AI to suggest customizations based on a user’s browsing history or demographic data. Additionally, virtual assistants and chatbots powered by AI are enhancing the customer experience by guiding users through the personalization process, helping them select the best options, and even providing instant previews of their customized gifts. This trend is improving efficiency and customer satisfaction while helping businesses stand out in a competitive market.

Non-photo personalized gifts are leading in the personalized gifts market due to their broader appeal, versatility, and ability to cater to diverse occasions beyond traditional photo-based gifting.

Non-photo personalized gifts have gained significant traction because they offer a wide range of customization options that cater to various tastes and occasions, beyond the typical use of photos. These gifts can include items like engraved jewelry, monogrammed towels, custom-etched glassware, personalized home décor, and even bespoke accessories, which are perfect for celebrating birthdays, anniversaries, weddings, or corporate milestones. The versatility of these gifts lies in their ability to accommodate more varied personalization choices such as initials, names, quotes, or meaningful dates, which make them highly suitable for both intimate and formal occasions. Unlike photo-based gifts, which are often tied to specific memories or individuals, non-photo gifts appeal to a broader demographic, including those who prefer elegant and timeless keepsakes that can be used daily. Additionally, non-photo personalized items are often perceived as more durable and versatile, with many items suitable for both practical use and display. This makes them ideal for a wide variety of recipients, from family and friends to colleagues and clients, leading to their growing popularity in the market. As a result, these gifts are able to cater to a diverse audience, allowing them to dominate in the personalized gifts market by offering more universal and long-lasting value.

Online sales channels are leading in the personalized gifts market due to their convenience, wide reach, and the ability to offer seamless customization options for consumers.

Online sales channels have become the dominant platform in the personalized gifts market because they provide unmatched convenience, accessibility, and flexibility to consumers. The ability to shop for personalized gifts from the comfort of one’s home has revolutionized the shopping experience, especially for busy individuals seeking unique and thoughtful gifts. E-commerce platforms allow consumers to browse through a vast selection of customizable products, compare options, and select the perfect item without the constraints of geographical limitations. Additionally, online stores typically offer user-friendly customization tools, where customers can instantly preview how their selected products will look with personalized text, images, or designs. This process makes it easier for people to create one-of-a-kind gifts quickly, even for last-minute occasions. The convenience of online shopping is further enhanced by various payment options, fast shipping, and the ability to deliver gifts directly to the recipient, making the experience hassle-free for both the giver and the receiver. Furthermore, online platforms have a much wider reach than physical stores, enabling businesses to tap into global markets and serve a larger audience, regardless of location. With the growing trend of e-commerce and digital marketing, online sales channels have become the go-to destination for personalized gifts, offering an efficient, scalable, and customer-centric solution that traditional retail stores cannot match. This accessibility and ease of use are key reasons why online sales dominate the personalized gift market.

Women are leading in the personalized gifts market due to their heightened emotional connection to gifting and a strong preference for meaningful, customized products.

Women have become the dominant demographic in the personalized gifts market because they often place a greater emphasis on the emotional value and thoughtfulness behind a gift. Unlike traditional gifts, personalized items are seen as more meaningful, as they reflect the giver’s effort to tailor the gift to the recipient's personality, preferences, or special memories. Women are more likely to choose personalized gifts for loved ones, as they tend to prioritize relationships and emotional bonds in gift-giving, whether it’s for family, friends, or partners. Additionally, women play a central role in key gift-giving occasions such as birthdays, holidays, weddings, and baby showers, where personalized gifts are highly sought after for their ability to create lasting memories. Women also have a strong influence on purchasing decisions, particularly for gifts intended for others, and are more inclined to invest in high-quality, meaningful items. The growing popularity of online platforms, where customization options are easy to navigate, has further empowered women to select and personalize gifts that align with their values of thoughtfulness and personal touch. This strong inclination towards gifts that evoke sentiment and carry a personalized message has made women the leading consumer group in the personalized gifts market, driving trends toward more customized, meaningful, and emotionally significant products.

North America is leading in the personalized gifts market due to its strong consumer demand for unique, high-quality products and the region's robust e-commerce infrastructure that supports seamless customization experiences.

North America has emerged as a leader in the personalized gifts market, largely driven by the region's strong consumer culture that values individuality, quality, and sentimentality in gift-giving. Consumers in North America increasingly seek unique and meaningful gifts that reflect personal relationships, milestones, or individual preferences. Personalized gifts, which offer a higher emotional value compared to generic items, have become a go-to choice for special occasions such as birthdays, holidays, weddings, and anniversaries. Furthermore, the region's advanced e-commerce infrastructure has played a pivotal role in this growth, as online platforms make it easier for consumers to access a wide range of customizable products. The convenience of browsing, selecting, and personalizing gifts from the comfort of home, paired with efficient delivery systems, has driven demand. North American consumers are also more likely to embrace technological innovations like digital printing, engraving, and 3D customization, which have made personalized gifts more accessible, varied, and affordable. With strong purchasing power, a culture of celebration, and an increasing preference for bespoke and meaningful items, North America continues to dominate the personalized gift market, setting trends and influencing global consumer behavior.

• In January 2024, Etsy, a renowned e-commerce giant, announced the launch of its new generative AI-powered feature for personalized gift ideas. The new feature is called Gift Mode.
• In August 2023, Hershey India, a renowned provider of sweets and chocolates, announced the launch of its new personalized gift packs for the occasion of Raksha Bandhan in India.
• Dudu’s Online, an online gift store based in India, announced the launch of its customizable Diwali gifts back in October 2022.
• In July 2022, Etsy debuted a new Seller app streamlining online purchases for customers, enhancing accessibility and convenience, thereby fortifying its position as a user-centric e-commerce platform dedicated to customer satisfaction.

Considered in this report
• Historic Year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Personal Gifting Market with its value and forecast along with its segments
• Region & country wise Personal Gifting market analysis
• Application wise Personal Gifting distribution
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Non-photo Personalized Gifts
• Photo Personalized Gifts

By Distribution Channel
• Online
• Offline

By End User
• Women
• Unisex
• Men

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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