Gift, Novelty & Souvenir Stores

Gift, Novelty & Souvenir Stores

Brief Excerpt from Industry Overview Chapter:

Companies in this industry operate physical retail stores specializing in gifts, novelty items, greeting cards, and souvenirs. Major companies include Hallmark, shopDisney, and Spencer's (all based in the US), as well as Card Factory (UK), and kikki K (Australia).

COMPETITIVE LANDSCAPE

Consumer spending, special occasions, and tourist travel drive demand. The profitability of individual companies depends on effective merchandising and the ability to generate store traffic. Large companies have advantages in purchasing, distribution, and marketing. Small companies can compete effectively by selling specialty products, providing superior service, or delivering a unique customer experience. The US industry is fragmented: the top 50 companies account for about 50% of sales.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products sold by gift stores include souvenirs and novelty items (about 60% of sales). These are followed by other home furnishings, toys, games, and hobby and craft supplies, and decorative accessories. Novelty items include gift baskets and pre-filled balloons. Seasonal decorations include decorative cups, plates, and napkins. Gift stores may also sell home accessories and provide services such as gift-wrapping and delivery.