Dads are getting some extra love this Father’s Day, according to a study by the National Retail Federation (NRF). Total spending for the holiday is expected to hit $15.5 billion. That’s up from $14.3 billion last year and sets a new record since the study was first conducted 15 years ago.
“It’s encouraging to see that consumers are spending on special occasions such as Father’s Day,” said NRF President and CEO Matthew Shay. “This is a positive sign of strong consumer confidence heading into the second half of the year and a good deal for all the dads who will reap the benefits.”
Seventy-seven percent of consumers surveyed said they planned to celebrate the holiday, whether they’re buying gifts for their own father or for a husband or son.
On average, shoppers will spend $134.75 this Father’s Day, with the majority of those dollars going to “gifts of experience” such as tickets to concerts or sporting events. Twenty-seven percent of dads said they preferred these types of gifts, and 25 percent of shoppers planned to give them.
Gift cards, clothing and consumer electronics were the next most popular categories, each projected to rake in well over $1 billion this Father’s Day. Personal care products such as cologne and home improvement supplies were less popular but still projected to generate $888 million and $885 million in sales, respectively.
The majority of consumers (64 percent) said they planned to buy a greeting card, but that only accounts for $861 million of projected spending.
The bulk of consumers planned to shop at brick-and-mortar retailers including department stores (40 percent), discount stores (26 percent), specialty stores (24 percent) and local small businesses (19 percent). Thirty-four percent planned to shop online, though many shoppers said they would research ideas online before heading to a store to make their purchase.
The report was conducted by Prosper Insight & Analytics and surveyed 7,335 consumers.