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GDA_MAY_survey

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Extra Customer Experiences?

Retailers Share Why It’s Important

"Participating in joint events has been extremely beneficial both in advertising and sales."

"It makes shopping in person an experience rather than something to check off the to-do list."

"With a brick and mortar store, we can offer exciting, creative shopping experiences."

"Extra experiences make shoppers feel good about their purchases and keeps them coming back."

"Without my customers I wouldn't have a store, so they deserve all the extra perks I can give."

Today’s Gift Retailer

The sense of optimism is higher among gift retailers turning the page on 2025.

More than half of retailers (56 percent) are projecting sales to improve this year vs. 38 percent who held that same expectation last year when asked about 2025’s outlook. The percentage seeing a downturn has also lessened — falling to 11 percent vs. 18 percent previously.

Likewise, there was a huge turnaround in retailers who reported a yearover-year sales increase. Sales were up in 2025 from 2024 for 44 percent of those surveyed vs. just 18 percent last year who said 2024 outperformed 2023. The average increase was about 18 percent.

The middle ground did shrink for retailers in 2025, though, with 20 percent maintaining that sales in 2025 were the same as the previous year vs. 56 percent who reported no change in 2024. This left 36 percent claiming a drop in sales in 2025. Among those registering a decrease, sales fell from 3 percent to as much as 30 percent, with several retailers landing at the 10 percent decrease mark.

Among the issues presenting challenges for retailers in 2025, tariffs took the top spot, cited by 69 percent of respondents and inching ahead of the impact of inflation on their costs (67 percent) and inflation’s impact on shoppers’ willingness to buy (60 percent). Both inflation factors were up from last year’s survey, while concerns about staffing shortages fell from 44 percent to 29 percent, tying it with supply chain issues.

In the Mix

The product assortment for retailers still relies heavily on three categories: holiday, candles and home fragrance, and home décor. For 2025, holiday garnered the top spot, with 88 percent of retailers carrying such items vs. 83 percent in the previous survey. Candles and related items jumped into second, with 86 percent carrying them vs. 75 percent in 2024, while home goods fell to No. 3. (79 percent) from No. 1 (88 percent).

Candles were also tied with fashion products such as clothing, jewelry and accessories for the top item on the list of product categories being added for 2026. The survey found 40 percent of retailers plan to add or expand in those areas. Other popular additions cited include stationery/greeting cards, noted by one-third of retailers; baby/infant products (29 percent) and gourmet food (27 percent).

Additionally, one-quarter of retailers said they would be expanding or adding to their bath and body and inspirational product lines this year.

The highest average best-selling price point went to wall art at $69, followed by gift baskets, $60; and fashion items, $53. The lowest price point was held by stationery/greeting cards at $7.

Nearly all retailers (91 percent) carried Americanmade products in 2025 and plans are for 74 percent of them to expand the category as the United States celebrates its 250th anniversary this year. About half of retailers (54 percent) also carry locally sourced products, with 17 percent planning to add or increase items in that category.

Third-party platforms continue to garner business from gift retailers, with nearly one-third of respondents citing this as a resource. This channel has grown steadily from 22 percent in 2023 to 26 percent in 2024 to 2025’s 31 percent. Major markets were the No. 2 source at 24 percent, leapfrogging it ahead of sales reps (19 percent) and vendor’s websites (17 percent). In 2024, vendor’s wholesale websites were second.

Top Categories Carried in 2025

Stationery/greeting cards

Baby/infant products

Wall art

Gourmet food

Kids' products

Inspirational products

Tabletop

Home textiles

Locally sourced

Ceramics/pottery

Toys

Handcrafted products

Religious/faith based

Eco-friendly/sustainably sourced

Snarky/punny products

Garden products

Pet products

Collectibles

Licensed products

Gift baskets or product bundles

Private label/custom for store

Cause related

Gourmet tools

Best-Selling Price Points on

Top-Growing Product Categories

Fashion products/accessories/jewelry

Candles and accessories/home fragrance

Stationery/greeting cards

Baby/infant products

Gourmet food

Bath and body/aromatherapy

Inspirational products

Holiday products

Gift baskets or product bundles

Kids' products

Toys

Home décor/home accents

Tabletop

Handcrafted products

Locally sourced

Snarky/punny products

Religious/faith based Cause related

Private label/custom for store

Wall art

Pet products

Ceramics/pottery

Garden products

Eco-friendly/sustainably sourced

Home textiles

Collectibles

Gourmet tools

Licensed products

Bath and

Candles and accessories

%

Jar

Loose (votives/pillars/tapers)

Warmers/melts

Flameless/LED candles

Holders/vessels

Air

Fashion products and accessories

products

Gourmet food

Gourmet tools

Home décor

Stationery products

Garden products

%

Tabletop

Taking Care of Business

The impact of artificial intelligence (AI) is being felt everywhere, including among gift retailers. Two-fifth of retailers (42 percent) are currently using AI-powered tools to help run their business, putting them third behind graphic design tools (73 percent) and inventory management software (51 percent).

Looking more in-depth at the implementation of AI, 68 percent of retailers said they use it to create product descriptions or images, 58 percent use it for social media posts and 53 percent deploy it for creating targeted promotions. Other applications of note include inventory optimization (26 percent), conversational search on a website (26 percent) and demand forecasting (10 percent). In addition, retailers said they are using AI to write flyers and newsletters, solve technical issues with software, produce company manuals and help with branding.

Facebook (82 percent) and Instagram (73 percent) have risen to the top of the social media list, widening the gap with other

channels such as Pinterest (24 percent), YouTube (18 percent) and TikTok (18 percent). X (formerly Twitter) continues to lose traction among retailers, dropping to 4 percent use from 17 percent just two years ago.

Videos, reels and stories are still the main vehicle for connecting with shoppers at 71 percent. However, more retailers in 2025 said they interacted via comments and DMs (62 percent) than previously, while sales through posts dropped to 40 percent from around 50 percent. About half (53 percent) also said they crafted daily social posts, making it the No. 3 social media activity.

The top means for enhancing customers’ experiences, according to the survey, were offering product discounts (77 percent), extending shopping hours (68 percent), adding food and beverages to stores (60 percent) and offering free gift wrap (60 percent). Celebrity or designer appearances were offered by just 9 percent of retailers.

What Technologies/Tools Do You Use to Help Run Your Business?

Most popular social media platforms

How retailers used social media to connect with shoppers in 2025

Top Ways Retailers Are Enhancing Their Customer Experience

Retailers on Why It’s Important to Offer Extra Customer Experiences

"The CUSTOMER EXPERIENCE is what makes us different from shopping ONLINE or at BIG BOX STORES . We know our customers and products so we can give the best recommendations."

"Having any fun experience in store allows RELATIONSHIPS to form and grow with OUR CUSTOMERS ."

Biggest Challenges Retailers Overcame in 2025

Where Retailers Source Their Products

Source: Strategic Insights, Gi s & Decorative Accessories Today's Gi Retailer study

Product categories

Baby/infant products

Bath and body/aromatherapy: Soaps, hand lotion, body moisturizers, lip care, bath bombs/bath salts/shower bursts, men’s personal care, personal fragrance, sleep wellness, face care, CBD oil/CBD-based, hair care

Candles and accessories/home fragrance: Jar candles, soy candles, diffusers, flameless/LED candles, loose (votives/pillars/tapers), holders/vessels, natural/ eco-friendly candles, air fresheners, warmers/melts, painted/sculpted/designer candles

Caused related

CBD-themed

Ceramics/pottery

Collectibles

Eco-friendly/sustainably sourced

Fashion products/accessories/jewelry: Jewelry, handbags/totes, scarves, hats/ hair accessories, eyewear, wraps, slippers, socks, stretch jeans and other women’s pants, athleisure wear, men’s accessories, resort wear/beach coverups, general footwear, other apparel

Garden products: Wind chimes, bird feeders/baths, flags, outdoor mats, statues/ accents, planting pots, garden tools/accessories, outdoor lighting, outdoor canvas art

Gift baskets or product bundles

Gourmet food: Chocolate, candy/treats, jams, shelf-stable food, tea, coffee, pet treats, other grocery items

Gourmet tools: Kitchen textiles, wine/bar accessories, cookbooks, kitchen utensils, kitchen gadgets, baking accessories, tea accessories, coffee accessories

Handcrafted products

Holiday products: Christmas, Easter, birthdays, Mother’s Day, Thanksgiving, Valentine’s Day, Halloween, Graduation, Father’s Day, Independence Day, Hanukkah, New Year’s Eve, Juneteenth

Home décor/home accents: Decorative accents, wall art/signage, decorative pillows, photo frames, accent lighting, tabletop/serveware, permanent/faux botanicals, blankets/throws, clocks, mirrors, accent rugs

Home textiles

Inspirational products

Licensed products

Accessories

Locally sourced

Pet products

Private label/custom for store

Religious/faith based

Snarky/punny products

About the data

Gifts & Decorative Accessories’ Strategic Insights fielded an annual online survey to gift retailers in February and March 2026. The findings contained in this report are qualitative in nature. They are derived from a small sample of respondents and should not be projected in numeric terms to larger populations. As such, the findings are directional and should be considered descriptive rather than explanatory.

GIFTS

Stationery/greeting cards: Greeting cards, books, journals, notepads, coloring/ activity books, writing instruments, calendars/planners, stickers/buttons/ patches, desk/home office accessories, gift wrap, party products, paint/art kits

Tabletop: Coffee cups/mugs, cutting/cheese/charcuterie boards, serveware, vases, table linens, stemware, melamine, glassware/crystal, centerpieces, dinnerware, tea/coffee pots/sets, flatware, bamboo, sustainable

Toys: Games/puzzles, plush, arts and crafts, books/music, dolls, outdoor toys, pretend play, STEM/educational, blocks, action figures, construction sets, STEAM

Wall art

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