For over four decades, the PNC Christmas Price Index (CPI) has been calculating the prices for the 12 gifts featured in the iconic holiday song "The Twelve Days of Christmas." This year, the overall price of these festive gifts has risen to $49,263.47, representing a 5.4% increase from 2023's tally of $46,729.86. The index serves as an unconventional barometer for inflation trends, paralleling changes observed within the U.S. Consumer Price Index and reflecting how the prices of goods and services have shifted due to various economic factors.
The prices of the gifts themselves vary widely, with the most significant increase occurring for the Partridge, whose total cost rose by 16%. The most expensive item, Ten Lords-a-Leaping, costs $15,579.65, marking also the highest percentage increase of 7.2% among the gifts.
Here’s the breakdown of the costs of each gift as recorded by PNC for 2024:
- A Partridge in a Pear Tree: $370.18 (2023: $319.18) (+16.0%)
- Two Turtle Doves: $750.00 (2023: $750.00) (+0.0%)
- Three French Hens: $346.50 (2023: $330.00) (+5.0%)
- Four Calling Birds: $599.96 (2023: $599.96) (+0.0%)
- Five Gold Rings: $1,245.00 (2023: $1,245.00) (+0.0%)
- Six Geese-A-Laying: $900.00 (2023: $780.00) (+15.4%)
- Seven Swans-A-Swimming: $13,125.00 (2023: $13,125.00) (+0.0%)
- Eight Maids-a-Milking: $58.00 (2023: $59.00) (+0.0%)
- Nine Ladies Dancing: $8,557.37 (2023: $8,308.00) (+3.0%)
- Ten Lords-a-Leaping: $15,579.65 (2023: $14,539.00) (+7.2%)
- Eleven Pipers Piping: $3,714.96 (2023: $3,023.00) (+15.8%)
- Twelve Drummers Drumming: $4,016.85 (2023: $3,468.00) (+15.8%)
Despite the increase, some items experienced price stability. The price of the Two Turtle Doves, Four Calling Birds, Five Gold Rings, Seven Swans-a-Swimming, and Eight Maids-a-Milking remained unchanged. The Two Turtle Doves cost $750, reflecting their continued rarity.
The PNC report highlighted notable trends influencing prices this year, particularly labor costs impacting performers such as the Pipers and Drummers. PNC stated, "The price of the 11 Pipers Piping jumped by 15.8% this year due to rising labor expenses, hinting at trends seen broadly across the entertainment sector." Similarly, Twelve Drummers demonstrated wage inflation with their prices increasing by the same percentage.
Housing costs, represented by the expense of the pear tree, also contributed to the overall increase, pointing to the uptick mirrored by the housing market. PNC Asset Management’s chief investment officer, Amanda Agati, said, "We're still seeing the cause and effect of the pandemic-inflation hangover, even nearly five years later." With years of steep price increases, it was expected inflation might decline, yet trends indicated otherwise.
For those curious about the cumulative cost of purchasing each item on the index multiple times—counting all 364 gifts (12 gifts each day for 12 days)—the total for this year reached $209,272. This figure marks the first time the overall cost breached the $200,000 mark, illustrating not only the whimsical nature of the traditional holiday song but its serious reflection of current market conditions.
The analysis also noted geographic variabilities, whereby purchasing costs could differ significantly across states. According to Swyft Filings, California, Hawaii, and Washington hold the title of the most expensive states for holiday gifts, contrasting with Arkansas, Mississippi, and Alabama, which are among the more affordable options.
While the idea of tracking Christmas gift prices might seem trivial, it provides insights not only on seasonal spending but also on broader economic indicators. The charming juxtaposition of the holiday spirit and hard economic data makes the PNC Christmas Price Index both entertaining and enlightening.
Overall, as consumers prepare for the holiday season, this year’s inflation trends through the lens of holiday gifting offer both jovial anecdotes and cautionary tales about the rising cost of love and celebration.
With many families gearing up for festivities, the joy of giving remains undeterred by the rising costs of gifts. After all, the heart of Christmas lies not just in the numbers but also in shared moments and cherished traditions, even as they come at an increasing price.
