NRF: Consumers To Spend Record Amount For Father’s Day

NRF: Consumers To Spend Record Amount For Father’s Day

Consumers will collectively spend a record-high $22.9 billion to celebrate Father’s Day this year, according to the annual survey released by the National Retail Federation and Prosper Insights & Analytics. Total expected spending for the holiday is up 14.5 percent from last year’s $20 billion and exceeds the previous record of $20.1 billion in 2021.

“Father’s Day remains a momentous occasion for Americans to honor the important men in their lives,” NRF President and CEO Matthew Shay said. “Consumers plan to celebrate the holiday in a big way this year, and retailers are ready to help make it special.”

Three-quarters of consumers plan to celebrate Father’s Day this year, which is on par with participation in recent years. Consumers expect to spend a record $196.23 on average, up from $171.79 last year and exceeding the previous record of $174.10 in 2021.

The record highs for both collective and average spending are primarily driven by an increase in the percentage of consumers purchasing clothing, electronics, personal care and special outings and the amount they are spending on these categories.

Half of those celebrating the holiday plan to buy for a father or stepfather, followed by a husband (27 percent), son (11 percent), brother (9 percent), friend (8 percent) or grandfather (7 percent).

As in previous years, the most popular Father’s Day gifts are greeting cards, purchased by 61 percent. Other top gifts include clothing (55 percent), a special outing such as dinner or brunch (52 percent), gift cards (48 percent) and personal care items (32 percent).

“The big spenders this Father’s Day are consumers aged 35-44 who are expected to outspend other consumers by nearly $100,” Prosper Executive Vice President of Strategy Phil Rist said. “Those aged 45-54 plan to increase their spending the most, by spending $57.04 more than they planned last year.”

Online remains consumers’ primary shopping destination for Father’s Day, with 43 percent shopping online, up from 40 percent last year. This is followed by 38 percent shopping at department stores, up from 34 percent last year. Other popular destinations are discount stores (24 percent) and specialty stores (22 percent).

Nearly one-third (29 percent) of those celebrating Father’s Day are planning to give a gift of experience, such as tickets to a sporting event or concert. This is up from 25 percent last year and is the highest since NRF started asking this question in 2016. Also, 42 percent are interested in giving a product subscription box, up from 37 percent last year, and is the highest since NRF began tracking this gift option in 2019.

The survey of 8,414 consumers was conducted May 1-8 and has a margin of error of plus or minus 1.1 percentage points.