How To Make Money In The $78 Billion Wedding Industry

How To Make Money In The $78 Billion Wedding Industry

Okay, so we’re going to see how
many bouquets you can catch. Okay. I’m getting married. Hi, I’m Neha. I’m an officially certified
accountant and your unofficial money master. And welcome to New Money where each
week I look at interesting ways that people are making
money in the world today. And yes, I said each week, so hit
that subscribe button and bell icon to get notifications every
time we drop a new episode. Uh, so me and my boyfriend
were actually married. I just don’t like to tell people
that, cause I feel like if you tell someone that you’re married, they
actually know how much you love another person, which
is kind of disgusting. Anyways, I’m like whatever, I guess
I’m married, so I for sure am super qualified to talk
about today’s episode. This week we’re talking about how
people are making money in the wedding industry. How are they doing it? Let’s find out! In 2018 the wedding service
industry was worth $78 billion. Which makes sense because your
wedding day can be the best day of your life and also the single
most expensive day of your life. So if folks are spending a lot on
their special day, what exactly are business owners selling? Well there are the
obvious things, right? So gifts, photography,
flowers, cakes, food, venues. Etcetera. But then there’s the
less obvious thing. For example, uh, customizable boxes
for the wedding party, or maybe photos for the couple themselves. Wedding accessories. Ooh, personalized, cute
invitations or thank you cards. Wedding hashtags. So you can go to this website,
where a team of creative professionals, will create a custom
hashtag for you with both of your names. Wedding video apps that give you a
wedding video from everything your guests filmed during the wedding. That actually sounds really cool
because people always get the best stuff on their phones. There is pet wedding wear. Yes, pet wedding wear. And the list goes on and on, right? In 2018 the average cost of a
wedding was $34,000 and with more than 2.2 million weddings happening
in the U S every single year, that’s kind of a big
market to tap into. And today 82% of brides use social
media to find dress inspiration, which I can attest to. Honestly, I feel like during the
period of planning my wedding, I was always on Instagram just
scrolling through and Pinterest as well, just scrolling through
different outfits cause I wanted it look amazing. So I was just trying to find
like inspiration from everywhere. Denise and Molly, who founded
Floravere actually noticed there was a disconnect between what you
can see on Pinterest and Instagram and what you can actually get your
hands on and afford at showrooms. Which is such a huge problem. I would go to a gallery and I’d
be like, “Can you show me this Pinterest dress” and like if they
had, it would be like $1 million or they just wouldn’t have it. So they decided to sell runway
quality dresses straight to the consumers. So my question to them was, how? How did you manage to sell luxury
wedding gowns at historically impossible prices? Here’s what they had to say. For us, you know, having been in
sort of fashion and retail and eCommerce, we knew there
was a better way to do it. So what we do is we essentially
design and make the dresses ourselves. We cut out that retail markup
in the middle, which would traditionally add sort of a two
to four X multiplier on top of the price of your dress. And that means that we’re able
to essentially offer these really luxury designer quality gowns, for
an average price point of about $1,000 to $3,000 which
is collection range. Genius. So with no previous experience
in the wedding industry Floravere broken to a century old business,
by recognizing that millennial women were shopping and wanting
different things than they were being offered. So they’re now a digital first
business with flagship stores in LA and New York. And although the dress can, for
some, be an important part of the big day, it’s definitely not
the only big ticket item. For many wedding costs can
really start to add up. Which helps explain why there’s
been a 93% increase in online page views of pre-owned wedding dresses. And a 42% increase for searches,
including the words vintage and secondhand. So many elements of a wedding are
just used once, and a lot of smart entrepreneurs have recognized
this and built businesses on it. These businesses let people
rent things instead of own them. It’s a really good way of
keeping costs down actually. Did you know you can
even rent a wedding cake? How does that work? It’s like, man, eh, eh, eh, eh. I don’t know. But there are things like jewelry
and gowns that are more common to rent. Which is where Brittany
Finkle enters the picture. Brittany started Happily Ever
Borrowed, which is a luxury e-boutique that rents out things
like jewelry and veils or this hairpiece, for example. Okay, let’s try it on. So this hairpiece costs $200 to
buy, but only $40 to rent for four days. So since starting Happily Ever
Borrowed as a side hustle, Brittany now has made it her full time job
and seen her business grow 400% in the last eight years. This industry really does feel like
it’s evolving and a quick look at the past will show us this is
not the first time that wedding traditions and
businesses have changed. Wedding ceremonies have been taking
place across cultures all over the world for thousands of years. And through the ages, marriage was
basically a transaction with the goal of expanding family size for
access to land and prosperity. It was only about 250 years ago
that the idea of marrying for love became a reason to get hitched. It wasn’t until halfway through
the 19th century that women started wearing white wedding gowns. And while you’d assume that a
diamond ring was a super old tradition, it’s really only been
around for less than a hundred years. Yeah, I bet you didn’t know the
engagement ring was invented as a marketing tactic by
a jewelry company. Back in the 1930s De Beers diamond
company started a successful ad campaign that tied the idea of
diamond rings to romantic love. And oh boy did that work. So what does the future of the
wedding industry look like? Well, people are waiting way longer
than they used to to get marrie. And while fewer people are opting
to get married, they’re actually spending more on weddings,
so the market remains strong. Plus with many places embracing
marriage equality, and hopefully more to follow, there’s an
opportunity for enterprising businesses to broaden their market
to include all types of weddings, or even specialize. Okay, so we’ve covered
a lot of ground. Are you ready? It’s time for tip time. Three tips to help you
break into the wedding biz. Tip number one. You heard from Denise from
Floravere about budgets. And that’s because a wedding with
all the bells and whistles is definitely not an impulse buy. It’s always a good move to find
ways to disrupt industries that you know are going to be in the budget. So things like venues, photography,
attire, unless it’s a nude wedding. Which brings us to tip number two. 80% of wedding planning is done
online and mobile usage peaks during 9:00 PM through to midnight,
and Sundays are pretty popular too. So if you’re running social ads,
I would definitely target those windows. And finally, tip number three. You don’t have to own a banquet
hall to get into the wedding venue game. These of traditional wedding venues
decreased by 16% in 2017 as more people look to have
a unique wedding. For example, in a heritage home, in
barns or farms, to create more of an intimate experience. I don’t really have access to a
barn or anything, but if you do, it’s definitely a start. Or if you have horses, you could
definitely rent those out because grooms in Indian weddings
often ride in on a horse. So make that horse money. So all this wedding talk has
definitely got me feeling nostalgic. Weddings are super fun,
to attend not to plan. And sorry to say this, getting
gifts is super fun too. Hashtag capitalism. So now it’s time for my favorite
part of the show where every week my producer Alex gets me a super
cool product to take a look at from someone who’s had a lot of
success in this industry. So Alex. Let’s see what it is. Can we fast forward all this
part cause I’m so slow with it. Okay. That’s all. What is, what is this? Oh my God, this is so cool. The Just Married jacket. This is, um, I know this jacket
cause one of my cousins had this jacket at her wedding. I’m gonna, I’m gonna like
explain what it is in my words. And then Alex, you correct me. This, so this is, this
jacket is created by a woman. It’s kind of like a sisterhood of
the traveling pants, leather jacket for weddings. Um, I think you can try to borrow
it from her and uh, you don’t pay her, you send her a bottle of wine,
I believe, uh, and you get to wear it at your wedding. And I think over a hundred
brides have worn it. I just want to put it on. Oh wow. It’s going to be 101 brides. You guys are gunna witness
my wedding right now. Guys, can you tell me if
I have boogers showing. I’d like to cordially invite
you to a wedding today. This wedding is with me and myself. I’d like to promise you Neha that
I will always be there for you through sickness and thickness. I love you Neha. We’re going to be together forever
until we die because we’re the same person. I’m obsessed with myself and
I don’t care who know it! So what do you think? Can you find space in
the wedding industry? Because although there are fewer
people getting married these days, weddings are
definitely more costly. Millennials are spending $10,000
more on their big day than Gen X people did. And one thing I learned through
researching this episode was how personal and customized
weddings have become. With so many ways to say, I do, i
do think there is a big opportunity for a slice of that wedding cake. Thanks so much for tuning into
this week’s episode of New Money. If you liked it, then subscribe
because we have new episodes weekly. And in the meantime you can
comment, like, subscribe and hit that bell icon for notifications. And we take suggestions. So let us know if there’s an
industry that maybe you’re thinking of breaking into and we can help. Or what are some of the most
wild things that you’ve seen at a wedding? Let us know in the comments below. See you next time on New Money. Bye.

16 thoughts on “How To Make Money In The $78 Billion Wedding Industry

  1. fun fact: i was half an hour late to my wedding because i hated my makeup and redid it myself at the last minute

  2. So smart to start a business with wedding dresses and accessories you rent instead of buy – good for the environment and the budget. You can also rent flowers and wedding decor!

  3. We're in the middle of planning our wedding right now and this industry is crazy!! I'm curious to know what company/app has the service of uploading your guest's cellphone footage?!

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