Greetings Cards and Personal Stationery Retailing - UK - February 2021

OVERVIEW
Key issues covered in this Report
Economic and other assumptions
Products covered in this Report
EXECUTIVE SUMMARY
Impact of COVID-19 on greetings cards and personal stationery
Figure 1: Short-, medium- and long-term impact of COVID-19 on greetings cards and personal stationery,  2020
The market
Figure 2: Consumer spending on greetings cards, 2015-25
Stationery sees a decline as consumers cut back on discretionary items
Figure 3: Consumer spending on personal stationery, 2015-25
Consumers want personalised cards
Figure 4: Consumer spending on greetings cards, by segment, 2020 (est)
Seasonal events are key for greetings card retailers
Figure 5: Seasonal events consumers buy greetings cards for, 2020
Consumers limit time in-store and shop more online
Figure 6: Changes to behaviours due to COVID-19, 8-13 January 2021
Card shops capture 44% of market by value
Figure 7: Distribution of greetings card, by type of retailer, 2020 (est)
WH Smith hit by travel restrictions around the globe
Figure 8: Distribution of personal stationery, by type of retailer, 2020 (est)
Companies and brands
COVID-19 causes disruption to sales
Card retailers show responsiveness with COVID-19-related card ranges
Adspend up 70.6% in 2020
Figure 9: Total above-the-line, online display and direct mail advertising expenditure on greetings cards and stationery, 2016-20
Key advertising campaigns help those struggling with isolation during lockdown
The consumer
Greetings card purchasing declines as COVID-19 prevents gatherings
Figure 10: Greetings card purchases, 2019 and 2020
Greetings card purchasing is mainly in stores
Figure 11: How greetings cards are purchased, November 2020
Supermarkets benefit from essential status during lockdown
Figure 12: Types of retailers greetings cards are purchased from, 2019-20
Greetings cards give a personal touch to gifts
Figure 13: Greetings card behaviours, November 2020
Supermarkets a go-to place for personal stationery
Figure 14: Types of retailers personal stationery is purchased from, November 2020
Value is an important factor when buying personal stationery
Figure 15: Factors shoppers look for when buying personal stationery, November 2020
Shoppers buy stationery to help support working from home
Figure 16: Personal stationery behaviours, November 2020
ISSUES AND INSIGHTS
COVID-19 accelerates online shopping
Retailers should celebrate non-occasions
Retailer should find ways to support the working-from-home lifestyle
THE MARKET – KEY TAKEAWAYS
Demand for greetings cards persist despite store closures
COVID-19 helps spark an increase for personalised cards
Print-on-demand and supermarkets emerge as lockdown winners
Retailers should encourage trading-up at seasonal events
MARKET SIZE AND FORECAST
Greetings cards and personal stationery to recover in the medium term
Figure 17: Short-, medium- and long-term impact of COVID-19 on greetings cards and personal stationery,  2020
UK greetings card market holds up despite store closures
Figure 18: Consumer spending on greetings cards, 2015-25
Figure 19: Consumer spending on greetings cards, 2015-25
Stationery sees a decline as consumers cut back on discretionary items
Figure 19: Consumer spending on personal stationery, 2015-25
Figure 20: Consumer spending on personal stationery, 2015-15
Market drivers and assumptions
Learnings from the last recession
Forecast methodology
MARKET SEGMENTATION
Consumers want personalised cards
Figure 22: Consumer spending on greetings cards, by segment, 2020 (est)
Figure 23: Consumer spending on greetings cards, 2013-20
Encourage consumers to trade up at seasonal events
Figure 24: Single cards, share by value, 2020
CHANNELS TO MARKET
Card shops capture 44% of market by value
Figure 25: Distribution of greetings cards, by channel, 2016-20 (est)
WH Smith hit by travel restrictions around the globe
Figure 26: Distribution of personal stationery, by channel, 2016-20 (est)
MARKET DRIVERS
Population trends
Figure 27: Population of the UK, 2020-30
Figure 28: Population of the UK, 2020-30
Over-75s set to grow the most
Figure 29: Population of the UK, percentage change, by age group, 2020-30
Deaths and marriages contribute to greetings card purchasing
Figure 30: Number of deaths and marriages in England and Wales, 2010-19
Seasonal events are key for greetings card retailers
Figure 31: Seasonal events consumers buy greetings cards for, 2020
More households have internet access
Figure 32: Percentage of households who have internet access in the UK and EU, 2010-19
Smartphone ownership increases
Figure 33: Technology device ownership, September 2020
Consumer confidence holds up well
Figure 34: Consumer confidence, January 2020
Back-to-school contributes to personal stationery market
Figure 36: What consumers bought for the new term in 2019, September 2019
Consumers limit time in-store and shop more online
Figure 37: Changes to behaviours due to COVID-19, 8-13 January 2021
Brexit impact
COMPANIES AND BRANDS – KEY TAKEAWAYS
COVID-19 causes disruption to sales
Card retailers show responsiveness with COVID-19-related card ranges
Adspend set for a record year in 2020
COMPANIES AND BRANDS
COVID-19 causes disruption to sales
WH Smith sales down as travel restrictions impact stores at airports
Paperchase saved out of administration
Clintons highlights unfairness for supermarkets to keep selling cards
Moonpig goes public as it emerges as a lockdown winner
Figure 38: Leading greetings cards and stationery retailer revenues, 2014-20
Figure 39: Leading greetings card and stationery retailers, store numbers, 2014-20
Figure 40: Leading greetings card and stationery retailers, sales per store, 2014-20
MARKET SHARE
Market shares decrease due to COVID-19
Figure 41: Greetings card market share, by value, 2014-20
Figure 42: Personal stationery market share, by value, 2014-20
LAUNCH ACTIVITY AND INNOVATION
Seasonal event launches
Filthy Sentiments launches COVID-19-related Mother’s Day cards
Figure 43: Filthy Sentiments’ COVID-19-related Mother’s Day cards, 2020
Moonpig blood donation range for Mother’s Day
Figure 44: Moonpig’s Mother’s Day card range, 2020
Louis Vuitton’s #WELVMOMS e-card service
Figure 45: Louis Vuitton’s complimentary e-card personalisation service, 2020
Sustainability
Co-op teams up with Econature in new stationery range
Figure 46: Econature range sold by Co-op, 2020
Inclusivity and diversity
Scribbler celebrates Black card designers
Figure 47: Scribbler’s dedicated webpage for Black card designers, 2020
Waterstones stocks first Black-owned greetings card business in stores
COVID-19-inspired innovations
Moonpig’s Little Lockdown Heroes
Figure 48: Moonpig’s Little Lockdown Heroes card range, 2020
Scribbler helps customers send cards to NHS workers
Figure 49: Scribbler’s free greetings card ranges, 2020
Now TV recreated Love Actually doorstep scene
Figure 50: Now TV Greetings Gram, 2020
ADVERTISING AND MARKETING ACTIVITY
Adspend set to increase in 2020
Figure 51: Total above-the-line, online display and direct mail advertising expenditure on greetings cards and stationery, 2016-20
Moonpig is the biggest advertising spender
Figure 52: Moonpig and NHSBT Mother’s Day cards, 2020
Figure 53: Moonpig’s Mental Health Awareness cards, 2020
Figure 54: Above-the-line, online display and direct mail advertising expenditure on greetings cards and stationery, selected retailers, 2016-20
Adspend on TV increases
Figure 55: Above-the-line, online display and direct mail advertising expenditure on greetings cards and stationery, by media type, 2020
 KEY CAMPAIGNS
Thinking of You Week
Figure 56: GCA Thinking of You Week banner and Sainsbury’s’ dedicated displays to the camping, 2020
Collins wants you to #StayWriteAtHome
Figure 57: Spotlight Stationery and Collins collaboration, 2020
THE CONSUMER – KEY TAKEAWAYS
Greetings card demand holds up well despite cutback for non-essentials
Younger shoppers buy non-occasional cards
Younger consumers buy greetings cards on smartphones
Supermarkets benefit from essential status during lockdown 
COVID-19 has made it more important to stay in touch
Younger consumers buy personal stationery from a range of retailers
Shoppers buy stationery to help support working from home
IMPACT OF COVID-19 ON CONSUMER BEHAVIOUR
Safety concerns peak during key retail events
Figure 58: Levels of concerns about exposure to the virus, February 2020-January 2021
Greetings card demand holds up well despite cutback on non-essentials
Figure 59: Changes in behaviour due to COVID-19, 21-26 January 2021
OCCASIONS GREETINGS CARDS ARE PURCHASED FOR
Greetings card purchasing declines as COVID-19 prevents gatherings
Figure 60: Greetings card purchases, 2019 and 2020
Younger shoppers buy non-occasional cards
Figure 61: Greetings card purchases, by age group, November 2020
WHO THEY PURCHASE GREETINGS CARDS FOR
Shoppers purchase cards for family members
Figure 62: Who they purchase greetings cards for, November 2020
Card giving predominantly female-driven
Figure 63: Who they purchase greetings cards for, by gender, November 2020
HOW THEY PURCHASE GREETINGS CARDS
Greetings card purchasing made mainly in-store
Figure 64: How greetings cards are purchased, November 2020
Younger consumers buy greetings cards on smartphones
Figure 65: How greetings cards are purchased, by age group, November 2020
WHICH RETAILERS THEY SHOP AT
Supermarkets benefit from essential status during lockdown
Figure 66: Types of retailers greetings cards are purchased from, 2019 and 2020
Online-only retailers are popular across demographics
Figure 67: Types of retailers greetings cards are purchased from, by age group, November 2020
GREETINGS CARD BEHAVIOURS
Greetings cards give a personal touch to gifts
Figure 68: Greetings card behaviours, November 2020
RETAILERS PERSONAL STATIONERY IS PURCHASED FROM
Supermarkets a go-to place for personal stationery
Figure 69: Types of retailers personal stationery is purchased from, November 2020
Younger consumers buy personal stationery from a range of retailers
Figure 70: Types of retailers personal stationery is purchased from, by age group, November 2020
IMPORTANT FACTORS WHEN SHOPPING FOR PERSONAL STATIONERY
Value is an important factor when buying personal stationery
Figure 71: Factors shoppers look for when buying personal stationery, November 2020
Females want stylish personal stationery
Figure 72: Factors shoppers look for when buying personal stationery, by gender, November 2020
PERSONAL STATIONERY BEHAVIOURS
Shoppers buy stationery to help support working from home
Figure 73: Personal stationery behaviours, November 2020
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Abbreviations
Consumer research methodology