Ditch the Clutter and Delight the Taste Buds: Why the Food Gifting Market Is Poised for Continued Growth

The $42 billion consumer and corporate food gifting market is primed for average annual growth of 5.2% through 2028, according to Packaged Facts’ new February 2024 report Consumer and Corporate Food Gifting in the US, 9th Edition,
There are many prepackaged food gifts available in the marketplace. These include:

• Boxed chocolates/candies

• Cheese assortments

• Coffee/tea/hot chocolate gifts

• Cooking condiment sets

• Food baskets/assortments

• Fruit baskets/gifts

• Gift baskets or packages with wine or other alcoholic beverages

• International/imported food gifts

• Meat/deli/seafood food gifts

• Nut/salty snack food gifts

• Popcorn tins/gifts

• Sweet baked food gifts

• Sweet condiment sets

• US regional or souvenir food gifts

• Other food gifts, such as meal kits or prepackaged meals

With numerous non-food gifting options available, consumers and businesses may choose food gifts for various reasons. Convenience plays a big role because online ordering and direct delivery make sending food gifts to friends, family, and remote workers a breeze. However, reasons for buying food gifts often go deeper than that because food gifts are an “edible experience” with emotional appeal.

Why Purchase Food Gifts?

Packaged Facts’ November-December 2023 National Online Consumer Survey found that 59% of consumers purchased food gifts for others in the last 12 months, while 65% bought food gifts for themselves. Some reasons that consumers and business alike may buy food gifts are:

• Indulgence: Gourmet foods offer a special treat, something that recipients might not splurge on themselves.

• Utility: Food is essential and likely to be consumed and enjoyed, unlike gifts that end up contributing to clutter in your home.

• Uniqueness: From artisanal cheeses to exotic spice blends, food gifts offer a personalized touch that stands out.

• Shared Experience: Food creates connection. Gifting a meal kit or gourmet treats fosters moments of joy and togetherness.

Opportunities for Growth

Marketers can take advantage of plenty of opportunities for growth, which include:

• Customization and Personalization: Offer customized food gifts with options such as the addition of more items or upgrades, custom selection of products in an assortment, or special decorative features.

• International Flavors: Recommend food gifts featuring authentic ingredients and flavors from different cultures for curious consumers who are interested in trying something new to them.

• Social Media Engagement: Create engaging content showcasing food gifts and the experiences of recipients.

• Collaborations: Partner with influencers, chefs, or brands to offer unique gift options and wider reach.

• Virtual Cooking Experiences: Partner with chefs or cooking schools for interactive online classes or on-demand video lessons as part of an educational food gifting experience.

• Subscription Models: Offer curated food gift subscriptions for ongoing engagement and sales.

• Smart Gifting: Integrate AI recommendations with online sales channels or allow gift recipients to choose their own gift with an online invitation.

Additional analysis can be found in the February 2024 Packaged Facts report Consumer and Corporate Food Gifting in the US, 9th Edition.

About the blogger:
Cara Rasch is a food and beverage analyst for Packaged Facts. She studies consumer and industry trends in this space and has a B.A. in economics from Allegheny College.