Gift, Novelty, and Souvenir Stores Revenue Benchmarks
The average gift, novelty, and souvenir stores business in the United States generates $1.4M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 13,641 gift, novelty, and souvenir stores businesses in the U.S., employing 111,598 workers with an average profit margin of 4.0%.
What Does a Gift, Novelty, and Souvenir Stores Business Actually Do?
Retailers selling gifts, greeting cards, novelties, and souvenirs. Often located in tourist zones, hospitals, airports, or malls. High markup on impulse purchases.
Who buys: Gift-buyers, tourists, hospital visitors, impulse shoppers.
Average Revenue
$1.4M
per year
Profit Margin
4.0%
industry average
Revenue / Employee
$177K
per year
Total Businesses
13,641
in the US
Est. Owner Income
$58K
small business avg
Labor Cost
14.0%
of revenue
Avg Employee Wage
N/A
per year (BLS)
Market Saturation
4.1
firms per 100K people
How Much Do Gift, Novelty, and Souvenir Stores Charge?
Gift shops earn 80–150% markup on impulse purchases and souvenirs.
| Service | Typical range |
|---|---|
Souvenir markup | 100–300% |
Novelty item markup | 80–150% |
Greeting cards markup | 300–500% |
Average transaction | $15–45 |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete gift, novelty, and souvenir stores business plan
A 12-section data-backed business plan for a gift, novelty, and souvenir stores business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the gift, novelty, and souvenir stores industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Cost of goods sold | $61 | $891K | Wholesale cost of merchandise purchased for resale. Retail's biggest expense. |
Wages & benefits | $14 | $203K | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $8 | $119K | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $4 | $59K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $8 | $119K | Utilities, POS fees, shrinkage, insurance, store maintenance. |
Net profit | $4 | $58K | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
9.78%
openings/year
Closure Rate
10.34%
closings/year
Net Job Growth
+2.5%
annual
Businesses Closed
1,403
in 2023
Firm Count Trend
Should You Start a Gift, Novelty, and Souvenir Stores Business?
Startup Cost
$75K – $400K
Break-Even
49 months
5-Year Survival Rate
48.0%
Related Industries
Frequently Asked Questions
- What does a gift, novelty, and souvenir stores business do?
- Retailers selling gifts, greeting cards, novelties, and souvenirs. Often located in tourist zones, hospitals, airports, or malls. High markup on impulse purchases. Gift-buyers, tourists, hospital visitors, impulse shoppers.
- How much do gift, novelty, and souvenir stores charge?
- Gift shops earn 80–150% markup on impulse purchases and souvenirs. See the pricing table above for typical rates by service type.
- How much does the average gift, novelty, and souvenir stores make per year?
- The average gift, novelty, and souvenir stores business generates $1.4M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $58K per year at a 4.0% profit margin.
- How many gift, novelty, and souvenir stores businesses are there in the US?
- There are 13,641 gift, novelty, and souvenir stores businesses operating in the United States, employing a total of 111,598 workers.
- How much does it cost to start a gift, novelty, and souvenir stores business?
- Startup costs for a gift, novelty, and souvenir stores business typically range from $75K to $400K, with a 5-year survival rate of 48.0%.
Industry Growth & Survival
The gift, novelty, and souvenir stores industry is actively growing — adding jobs at a net rate of 2.5% per year. New establishments are opening faster than existing ones close (9.8% entry vs 10.3% exit), indicating healthy demand.
Approximately 58% of gift, novelty, and souvenir stores businesses survive their first 5 years. This is near the national average (~50%), with typical business risk. In 2023, 1,403 firms in this industry closed permanently.
Industry Trend (2000–2023)
The gift, novelty, and souvenir stores industry has declined 51% since 2000 (from 29,340 to 14,269 firms).
See full historical statistics →Compare Gift, Novelty, and Souvenir Stores revenue with other industries: