Dads can expect a little less to be spent on them for Father’s Day this year.
According to a study by the National Retail Federation and Prosper Insights & Analytics, spending on the holiday is projected to reach $15.3 billion this year, down just slightly from the $15.5 billion spent last year.
This translates into an average of $133 a person for the 77 percent of Americas who plan on celebrating the holiday on June 17. Individuals between 25 and 34 years of age are expected to spend the most, an average of $188.
“We are pleased to see consumer confidence continue to rise, leading to another near-record holiday spend on Father’s Day,” said NRF president and chief executive officer Matthew Shay. “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.”
According to the survey, consumers plan to spend $2.2 billion on apparel, which is expected to be 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).
Some 47 percent of consumers also said they plan to give their dads a “special outing” gift such as a sporting event, concert or a dinner out, a category that will account for the largest share of spending, or $3.2 billion.
“Special outing gifts have steadily grown in popularity for Father’s Day since their lowest point in 2009,” said Phil Rist, executive vice president of strategy for Prosper Insights. “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.”
Gifts will be purchased at department stores by 39 percent of customers, while 34 percent will shop online, 25 will visit a discount store and 24 percent will shop at a specialty store.
The survey of 7,681 consumers was conducted May 3 to 10 and has a margin of error of plus- or minus-1.1 percentage points.