The birth of Great Britain’s royal prince may give a needed boost to the British economy.
According to the Center for Retail Research, Britons are expected to spend more than £243 million (or $420 million) on merchandise, other goods and party food in July and August to celebrate the royal baby. That would compare with £163 million spent on souvenirs for the wedding of the baby’s parents, Prince William and Kate Middleton (now the Duchess of Cambridge), in April 2011.
Harrods department store has been selling a cup and a plate with the message “The first baby of the Duke and Duchess of Cambridge 2013.” One online retailer is selling a royal baby pacifier while another is promoting a purple velvet diaper cover by saying that it was “inspired by royalty” and that “pretty soon Kate and William will be sleep deprived, too.”
Krispy Kreme is selling doughnuts with white baby feet glazing, and Roberts Bakery, a British family-owned brand, created a special brioche for the occasion – gold-leaf crusted loaves with dried apricots, glazed cherries and pineapple inside. The company says it will give the pastries away to 50 contest winners.
Not everyone is as optimistic about the economic baby bump, though. A poll by Kantar Retail revealed that “about 82 percent of Britons don’t plan to celebrate the infant’s arrival in any way.” The pollster also pointed to large amounts of unsold merchandise from the 2012 London Olympics.
And British economist Howard Archer noted that any boost to retail sales from the royal birth needs to be qualified by the possibility that the buying of souvenirs and commemorative items may be displacing some other discretionary spending.