Father’s Day spending to reach near-record $15.3B
Kentucky resident Sara Mckenlee Sakowich wants to make sure her dad knows how much he is loved on Father’s Day.
“My dad, Brandon Pennington, is such a good dad,” Sakowich said in response to a Facebook poll by The Times-Tribune in Corbin, Kentucky. “He always helps me and my brother when he can. Gives the greatest hugs. Always is a call away when I need advice on how much a used tire should be or how to get my kid to stay in bed (which he laughs and yells ‘GOOD LUCK’). I’m very fortunate to have gotten a dad as wonderful as he is. I’m literally getting teary eyed as I write this because I love my dad so very much.”
Sakowich isn’t alone in wanting to recognize her father, so people are heading out to the stores to purchase gifts for their fathers.
Father’s Day spending is expected to total a near-record $15.3 billion this year, according to a study released recently by the National Retail Federation and Prosper Insights & Analytics. A total of 77 percent of Americans will celebrate Father’s Day today and spend an average of $133 per person.
“We are pleased to see consumer confidence continue to rise, leading to another near-record holiday spend on Father’s Day,” NRF President and CEO Matthew Shay said. “Leading into the second half of the year, Americans are looking forward to treating their dads, and retailers will be prepared to offer a variety of gift options that will create new memories on this special day.”
The expected spending would be second only to The survey found 47 percent of consumers plan to give a “special outing”gift, such as a concert, sporting event or dinner. This category represents the largest share of spending at $3.2 billion. last year’s $15.5 billion, the highest in the 15-year history of the survey at an average $135 per person. Individuals between 25 and 34 years old will be the biggest spenders this year at an average $188 per person.
According to the survey, consumers plan to spend $2.2 billion on clothing (purchased by 43 percent of shoppers), $2.1 billion on gift cards (42 percent) and $1.8 billion on consumer electronics (20 percent). In addition, $878 million will be spent on home improvement supplies (16 percent), $862 million on personal care products (19 percent), $844 million on greeting cards (63 percent) and $830 million on tools or appliances (16 percent). Another $798 million will be spent on sporting goods or leisure items (16 percent), $686 million on automotive accessories (16 percent) and $628 million on books or music (22 percent).
“Special outing gifts have steadily grown in popularity for Father’s Day since their lowest point in 2009,” Prosper Insights Executive Vice President of Strategy Phil Rist said. “These consumers, especially those between 18 and 24 years old, want to offer something to their dads that is unique, thoughtful and allows for quality time on dad’s special day.”
To find that special gift, 39 percent of those celebrating the holiday will head to a department store, 34 percent will shop online, 25 percent will visit a discount store and 24 percent will visit a specialty store. Nearly half of smartphone users plan to use their device to help making purchasing decisions while shopping this Father’s Day.
Over half of those surveyed plan to buy for their fathers or stepfathers (53 percent) followed by husbands (27 percent) and sons (10 percent).
The survey of 7,681 consumers was conducted May 3-10 and has a margin of error of plus or minus 1.1 percentage points.