PETALING JAYA: Celebrated annually on Feb 14, Valentine’s Day is traditionally associated with romantic gestures and expressions of love. However, it has since evolved globally as a commercial phenomenon, with businesses capitalising on heightened consumer spending on gifts and dining experiences.
Universiti Malaysia Kelantan Entrepreneurship and Business Prof Datuk Dr Nik Maheran Nik Muhammad said businesses strategically adjust prices during the Valentine’s season to maximise revenue.
“A recent survey found that 48% of Malaysians see Valentine’s Day as an opportunity to express love, reinforcing its significance for nearly half of the population. This emotional connection drives increased demand for flowers, chocolates, and fine dining, which prompts businesses to adjust their pricing accordingly,” she said.
Nik Maheran said businesses implement strategic pricing during Valentine’s Day to balance demand and profitability.
“The floral industry increases the prices of roses by 50%-100% due to supplier costs and limited availability.
“Premium chocolates experience a 10%-25% markup, often with exclusive packaging to justify the higher prices. Restaurants frequently switch to fixed price menus which are inflated by 20%-50% as couples seek special dining experiences to mark the occasion.”
She also noted that retailers in the jewellery and luxury goods sectors subtly increase base prices before offering “discounts” to create a perception of savings, while hotels and travel companies take advantage of the occasion to raise room rates and romantic getaway packages by 20%-60%.
Nik Maheran said such pricing strategies reflect the efforts of businesses to maximise profits while catering to heightened consumer spending on Valentine’s Day.
“For florists, Valentine’s Day is a crucial period that often compensates for slower sales during the rest of the year. In 2024, some florists reported a nearly 50% drop in Valentine’s Day sales compared with 2023, underscoring the risks of relying too heavily on a single day for revenue.”
She said this suggested that while demand remains high, economic factors and shifting consumer preferences are affecting sales.
Premium florist White On White managing director Thong Weng Seng, who has over 20 years of experience, said while flower prices rise significantly during Valentine’s, profit margins do not necessarily increase.
“There are many factors contributing to price hikes, but the main one is supply and demand. Bouquets are in high demand during Valentine’s and suppliers charge us more. We only adjust prices in relation to costs, including materials and labour.”
He added that during this period, the cost of materials increases by 50%-70%, florists require additional manpower and also spend more on advertising and operational expenses.
“Despite the price increases, customers are still willing to pay higher prices because gifting flowers is not just about buying them. It carries a sentimental value, emotions, and is an expression of love.”
While some consumers accept seasonal price hikes, others have expressed frustration.
A frequent Valentine’s Day shopper who asked to be known as Daniel, 24, said he always bought flowers for his girlfriend because it is a tradition and she loves them.
“But the price hikes are ridiculous. A bouquet that usually costs RM80 can go up to RM150 or more. I understand supply versus demand, but the truth is that businesses are taking advantage of the occasion.”
To manage costs, Daniel has started exploring alternatives.
“Last year, I ordered flowers earlier to avoid peak pricing, and I also planned a picnic date. It saved me a lot while still making the day special. I think more people are looking for creative ways to celebrate without overspending.”
Aaron Raj, 25, said he believes Valentine’s Day has become too commercialised.
“I used to buy flowers, but now I just find other ways to celebrate, like giving my girlfriend a handwritten letter, a do-it-yourself ribbon flower bouquet and a home-cooked meal,” he said.
“She appreciates thoughtful gestures more than expensive gifts, so this works for us.”
