Slight rebound in Father’s Day spending, studies show
Father’s Day retail spending is set for a modest rebound this year, recovering slightly from a significant $100 million drop recorded last year.
Findings from the Australian Retail Council (ARC) and the comparison platform Finder indicate that consumers are favouring father figures’ celebrations while keeping tight control over their finances.
According to data from the ARC and Roy Morgan, nationwide gift spending is projected to reach approximately $730 million this year, marking a 1.4 per cent increase from last year.
The figures also show that around 5.5 million Australians plan to purchase a gift for dad this Sunday.
While this represents an increase of 800,000 shoppers compared to last year, participation remains low compared to the 35 per cent recorded two years ago, with individual budgets decreasing from $145 to $135.
Meanwhile, Finder’s research estimates total expenditure at $867.8 million, with 44 per cent of respondents indicating that they plan to buy a gift. The platform found the average expected spending to be $90.50 per shopper.
Both studies highlight food, alcohol, clothing, and dining experiences as the most popular gift categories.
The ARC reported that food and alcohol are leading, making up 29 per cent of purchases, followed by apparel at 19 per cent and experiential gifts at 14 per cent. Similarly, Finder noted clothing as the top choice at 27 per cent, dining out at 24 per cent, and alcohol at 23 per cent.
In-person gatherings are gaining momentum, as ARC data shows 8.7 million Australians plan to celebrate the day with a meal at home, a cafe, or a restaurant, a sharp rise from 28 per cent last year.
Addressing the financial context, Sarah Megginson, a personal finance expert at Finder, emphasised that despite the pressures on household budgets, the desire to treat father figures remains strong.
“It can be a tricky balance because people want to make Father’s Day special, but they’re also closely monitoring their spending,” she said.
Fleur Brown, chief industry engagement officer at the ARC, shared similar sentiments regarding cost-consciousness.
She said that while the increase in shopper turnout is encouraging, overall participation levels have yet to return to those seen several years ago.
“As Australians head out to find something special for Dad, we encourage them to support retailers that back Australia – businesses that employ Australians, invest here, and support communities across the country,” said Brown.
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