Father’s Day marks a special occasion for dad’s across Australia to celebrate with their loved ones.
This coming Sunday, dad’s across Australia will receive an average of $65 dollars worth of shavers, deodorant and socks. In 2017, an estimated $768 million was spent on Father’s day, with data from retail software organisation, Vend showing Father’s Day shopping is expected to increase by 9% in the following weeks. Despite these expected projections, the retail industry is unlikely to receive outstanding sales results this Father’s day.
Previous years saw an expenditure of $731.7 million on Father’s day, with the average person spending $51.60 according to IBISWorld figures. This year, the projected average spend per gift is around $50 dollars, a 3.1% decrease from 2014.
The Australian Retailers Association Executive Director, Russell Zimmerman acknowledges the challenges facing the celebrated event, however recognises that consistent flow of foot-traffic in stores will assist retailers during this period.
“Although Father’s Day is the least important of all the celebrations – not the biggest for retail, it does lead to an increase in sales.”
“The people who celebrate things like Father’s Day and events like that are going to make sure they celebrate it irrespective. What may or may not be the problem is that they may not spend as much money as they have in the past, and that 8 to 9 per cent is probably a bit softer than what we’ve seen in years gone by,” Mr Zimmerman said.
Whilst sales have been projected to be low this year, trends recorded by Vend indicate the top three categories likely to notice an incline in consumer spending. These categories include:
1. Food and drink +17
2. Sports +10
3. Home and Lifestyle +5
According to ING, the most popular items to purchase for fathers day are:
In a report released by the Commonwealth Bank, found over $400 million was spent last year on dining out, with $94 million spent on hard-ware and lifestyle items and $114 on fashion and accessories. The technology and gadget category noted an rise in 2017, with an average spend of $52 million, a 32% increase from the previous year. In the last minute rush leading up to Father’s Day, recorded volumes of spending have been in excess of $117 million.
Last year’s trade results also indicated, a total of 39.9% of consumers planned to purchase a gift from a department store, with 33.7% opting to purchase gifts online and 25.7% choosing discount stores, with Vend predicting similar spending patterns for this year.
Whether its purchasing shavers, socks, golf-clubs or power tools, there is no shortage in the variety of gifts you can spoil your dad with this Father’s day!
Photo credit : Freepik