The Big Business of Breakups

The Signal: We know what you're thinking. Why are we diving into breakups? Let's just say it's been a tumultuous start to 2022 for our analysts, with Taylor Swift's latest album blaring through the virtual corridors of the Trends office.

Breaking up is big business. It turns out that unnamed members of the Trends team are not the only people spending big bucks to mend the shattered pieces of their broken hearts; the average person spends ~$1.5K after a breakup.

Expenses include new clothes, nights out, weekends away, comfort food, beauty treatments, moving out, and even learning to drive. Singles Day in China is the biggest global shopping day:

*Source: CNBC, TechCrunch, and CNBC

Potential to help people navigate the stormy seas of a romantic separation is only rising. Last year was dubbed "the year of the breakup," as many relationships buckled under the pressures of quarantines, long distance, and lockdowns.

Before you shoot the messenger, we're not advocating that you profit off of the misfortunes of the heartbroken. But there are opportunities to help plenty of newly single people, including angsty teens on TikTok who have viewed videos with the #breakup hashtag an eye-watering ~17B times.

*Source: Google Trends

1. Events and celebrations:

Gone are the days of quietly crying yourself to sleep to get over a tough breakup. It's now totally acceptable (encouraged, even) to celebrate in a very public way.

Breakup celebrations and associated paraphernalia are trending on Pinterest, with "divorce party ideas" and "breakup cake" projected to be up 55% and 100%, respectively, from last year.

You could get in on the trend by providing breakup-themed gift boxes and cards, balloons, rental neon signs, T-shirts, or (if you're feeling really petty) custom piñatas. Take it one step further by offering all-inclusive getaways and retreats for the newly single.

2. Marketing collaborations and sponsorships:

You don't have to have a breakup product or service to get in on the trend.

Follow in the footsteps of companies like Babe Wine, which collaborated with Bumble in 2020 to provide Instagrammers the chance to have their breakup costs (up to $700 for furniture removal and Babe wine) covered by the companies.

A Swedish hotel pulled a similar stunt in 2017 when it offered refunds to any couples who divorced within a year of having a romantic getaway at the hotel.

Use your existing product or service to help people get over their separation while earning some social media cred. You could also combine trends by sponsoring a breakup party or night out on the town.

*Source: Babe Wine's Instagram

3. Breakup services:

Onward is a New York-based breakup concierge that connects customers with a range of services including moving, storage, pet care, and therapists. Their packages range from $200-$1,050.

*Source: Onward

Instead of offering the full service, you could niche down on specific pain points. One example: Getting rid of unwanted stuff. You could provide on-demand storage facilities to help people outsource the ever-awkward "returning your ex's stuff" moment.

Not petty enough? You could take inspiration from Never Liked It Anyway, "the eBay of Emotional Baggage," which encourages the newly single to turn mementos into cold hard cash, rather than throwing them out the window.

Other ideas for services include:

• Post-breakup counseling and financial planning.
• Co-living spaces for people who need temporary living arrangements at short notice.
• Legal documents (i.e., cohabitation agreements) for unmarried cohabitating partners seeking legal protection in the event of a breakup.
• Breakup insurance.
• Online emotional support platforms (like Circles, which recently raised $8M).

Would you build in the breakup business? Share your thoughts below!