NRF: Consumers will remember Dad this year

Anyone who is a dad, or sells products dads like, may be in for a happy Father’s Day.



According to a new survey from the National Retail Federation (NRF) and Prosper Insight and Analytics, consumers say they will spend more than ever on Father’s Day in 2016 (Sunday, June 19). Shoppers are expected to spend an average $125.92 for the holiday, up 9% from the prior year’s $115.57. Total spending is expected to reach $14.3 billion, the highest in the survey’s 13-year history but still below the 2016 Mother’s Day total of $21.4 billion.



“It’s encouraging to see consumers planning to splurge on dads,” NRF president and CEO Matthew Shay said. “This increase in spending could be a good sign related to consumers’ willingness to spend more as we head into the second half of the year.”



According to the survey, consumers plan to spend $3.1 billion on special outings such as dinner, brunch or other types of a “fun activity/experience” (given by 47%). Clothing (given by 43%) and gift cards (given by 41%) are tied at slightly less than $2 billion each, while consumer electronics (given by 20%) follow at $1.7 billion. As with Mother’s Day, greeting cards are the most commonly purchased gift at 65%), but account for only $833 million of projected spending. Other popular gifts include personal care, automotive accessories, books, music, home improvement/gardening supplies and sporting goods.



The survey found 22% of shoppers will opt for a “gift of experience” such as tickets to a concert or a sporting event. Two in five millennials are planning to give an experience, significantly higher than older generations.



In terms of retail verticals and channels Father’s Day shoppers will frequent, 38% of consumers will head to department stores and 32% will shop online. Another 27% will shop at a discount store, 24% at a specialty store and 17% at a local small business.



Among smartphone owners, 30% will use them to research gift ideas but only 16% will use them to make a purchase. Tablets are used more frequently both to research (32%) and buy (19%).



The survey of 7,200 consumers was conducted May 2-10.