Father’s Day 2017 Spending to Reach Record High of $15.5 Billion

According to the NRF’s 2017 Father’s Day Spending Survey, conducted by Prosper Insights & Analytics, Americans plan to spend quite a bit on Dad for Father’s Day, which falls on June 18 this year: $134.75 on average. That figure is up from $125.92 last year, and in 2017, total spending on the occasion is expected to reach a record high of $15.5 billion. “It’s encouraging to see consumers spending on special occasions such as Father’s Day,” NRF President and CEO Matthew Shay said. “This is a positive sign of strong consumer confidence heading into the second half of the year.” [caption id="attachment_86875" align="aligncenter" width="720"] Source: NRF/Prosper Insights & Analytics[/caption]   [caption id="attachment_86876" align="aligncenter" width="720"] Source: NRF/Prosper Insights & Analytics[/caption]   Shoppers’ Planned Purchases Special outings such as dinner or brunch remain the most popular gift category for dads. Consumers plan to spend $3.3 billion on experiences, up from $3.1 billion in 2016. They plan to spend about $2.2 billion on clothing and roughly the same amount on gift cards, which are expected to see a sales increase of 10% ($200 million) from last year. Consumer electronics or computer-related gifts are the fourth-most-popular category, with consumers expected to spend around $1.8 billion. Completing the top-five table are greeting cards, on which consumers are expected to spend approximately $0.9 billion. While they represent only a small fraction of dollar spend, greeting cards are the most commonly purchased Father’s Day gift: 64.3% of consumers surveyed plan to buy a card for their Dad. Some 48.0% of consumers expressed a desire to bring their Father out for a special dinner or brunch. [caption id="attachment_86877" align="aligncenter" width="336"] Source: iStockphoto[/caption]   [caption id="attachment_86878" align="aligncenter" width="720"] Source: NRF/Prosper Insights & Analytics[/caption]   Personal Care will be the category to watch this year. Prosper Analytics suggested that planned spending on personal care products for men such as aftershave, cologne and razors will rise by around 20% year over year, outpacing growth in every other category for Father’s Day.

Where Are People Shopping?

[caption id="attachment_86879" align="aligncenter" width="720"] Source: NRF/Prosper Insights & Analytics[/caption]   Similar to last year, the majority of Father’s Day shoppers will head to department stores to find a gift for Dad, followed by shopping online and visiting discount stores. We notice a continuous shift in the tendency to shop offline for Father’s Day. Some 33% of smartphone owners surveyed will use their device to research gift ideas, but only 18% of them will use the device to make a purchase. All in all, Americans are poised to spend more money on Father’s Day this year than previous years, which is certainly welcoming news for the entire retail sector.