The wedding industry is still in recovery from its slump in 2020—a year in which a vast majority of couples decided to postpone their big day owing to restrictions across the U.S. and beyond. The industry has strongly recovered and now has a US market size of $61.9 billion, representing a 3% growth in 2022—as reported by IBIS World. The industry has seen an annualized market growth of -6.2% between 2017 and 2022, largely owing to the effects of the pandemic. What factors are driving the industry’s growth, and what factors offer the greatest opportunity for success in the sector?
Reconnection is the Zeitgeist of the Current Wedding Industry
Although the market size of the sector has declined over the past five years, 2022 has seen a notable boom in weddings, with couples once again embracing trends like big weddings and destination ceremonies and receptions. Couples are including family and friends in extended celebrations that often involve days in a paradisiacal location. Currently, the top destinations for weddings are Italy, Thailand, and Croatia.
Wedding Jewelry is Going from Strength to Strength
Wedding jewelry is one of the most successful sub-sectors in the industry, with the diamond engagement ring market expected to reach $39.7 billion by 2027 in the US and Canada alone. In the US, over 70% of brides-to-be receive a jewelry piece. Other strong markets are China and Japan, followed by India, the Gulf, and the rest of the world. Solitaire engagement rings continue to appeal, though couples are also favoring vintage stones and cuts. Tanzanites and tsavorites have made a big comeback, as have tsavorites and colored sapphires— these are sometimes chosen in favor of traditional white diamonds. Cuts are also varied, with jewelers creating both eternally popular styles (such as the Asscher or brilliant cut) and vintage ones such as the rose cut. The strength of the jewelry sector has been spurred on by the popularity of wedding jewelry for men, many of whom wish to sport traditional gems such as diamonds on their wedding bands. Trending materials for this piece of jewelry include tungsten, carbide, and titanium.
Factors Affecting the Growth of the Wedding Industry in the US
The IBIS report indicates that tough competition and low barriers to entry in the industry are two factors that are affecting growth. These factors have led to couples looking for the best deal, which in turn forces many businesses to lower their price or match the latter to a competitor’s. To succeed in this environment, wedding providers must offer clients a unique experience, cut costs by removing unnecessary items from their offerings, and invest in attracting their target market. This can be achieved via a smart SEO strategy, building an attractive and useful website, spending time on social networks, and ensuring one’s appearance at bridal exhibitions and on top wedding sites and blogs.
The wedding industry is faring far better than it was two years ago, though it still has a long way to go to match revenues made in years like 2016. Factors slowing down the growth of the sector include the ease of entering it and the sheer amount of competition. Companies wishing to succeed should focus on creating unique experiences that clients cannot access elsewhere at a lower price.