Australians are set to splash $860 million on Father’s Day gifts this year, with 35 per cent of Aussies spending an average of $112 per person.
However, research from the Australian Retailers Association (ARA) in collaboration with Roy Morgan projects a modest dip in Father’s Day spending this year, down $12 million (1.3 per cent) from 2022.
ARA CEO Paul Zahra says while the spending forecasts are marginally down on last year, it’s understandable given the current economic environment and potentially bigger if you factor in recent price increases.
“With Australians experiencing unprecedented cost-of-living pressures and mortgage holders under extreme financial stress, the decline in Father’s Day spending is no surprise,” he says.
“Retailers will still be encouraged by the $860 million projected spend, which will provide a reprieve for some retailers from the intense pressure due to rising operating costs and an overall discretionary spending slowdown.”
Food and alcohol are the most popular gift for 18 per cent of survey respondents, followed by clothing and shoes (10 per cent) and books, music and games (six per cent).
“Father’s Day is another gift-giving event centred around giving back and we find that when shoppers are showing appreciation for loved ones, they are more likely to splash out.
“This is a very social family event and food and alcohol are typically the favoured gifts on Father’s Day, with barbeques and gatherings proving a very popular way to celebrate the occasion.”
Father’s Day is on Sunday 3 September 2023.
