Valentine's Day spree forecast
Spending to be highest in 8 yrs: UTCC
Spending related to Valentine's Day tomorrow is expected to reach the highest level for eight years at more than Bt3 billion, boosted by the brighter economic outlook and higher disposable income.
A survey by the University of the Thai Chamber of Commerce showed that spending on the day of love will show the strongest year-on-year expansion since 2009, at 15 per cent. Some Bt3.21 billion is forecast to be spent.
Thanavath Phonvichai, director of the UTCC's Economic and Business Forecasting Centre, said yesterday that people were expected to spend more than usual because of strong confidence in the economy amid smooth growth and stable politics.
Based on a survey derived from 1,200 respondents during February 4-8, Thais, especially teenagers and working-age people, will pay more attention to Valentine's Day this year.
Average spending per person is estimated to increase to Bt1,510, from Bt1,349 last year. The majority of the spending will be on the purchase of gifts.
Consumers have greater confidence about spending more due to brighter economic growth and higher incomes resulting from the nationwide increase in the daily minimum wage to Bt300, Thanavath said.
This year's level of Valentine's Day spending is also expected to rise due to increases in goods prices. Some 44 per cent of UTCC respondents said they would purchase the same volume of goods as last year, but about 57 per cent believed the cost of the items would be higher this time around.
Businesses that are expected to benefit the most from Valentine's Day are restaurants, cinemas, florists, gift shops and karaoke establishments. The most popular products are flowers, chocolate, dolls and greeting cards.
The UTCC survey found that the main sources for consumer spending would be savings at 57.6 per cent, salaries (37.6 per cent), bonuses (2.5 per cent) and parents (2.3 per cent).
Many respondents also said they believed the day would lead to problems of sexual relations among teenagers.
The Thai Chamber of Commerce has called on agencies to raise the level of campaigning to prevent sexual problems and pregnancy among teens.