Father’s Day is this Sunday, June 20. According to a recent National Retail Federation (NRF) survey, total spending on Father’s Day gifts will reach $9.8 billion in the U.S., up 3.8 percent from $9.4 billion last year. The average consumer will spend $94.32 on a gift for dad, up from $90.89 last year.
Wireless retailers will be happy to know that the third-highest spending amount on a Father’s Day gift is on an electronic device: consumers will spend $1.9 billion on dinner or brunch, $1.3 billion on clothes and $1.2 billion on electronics.
Three out of 10 respondents (31.2 percent) will buy dad a gift card, spending an estimated total of $1.2 billion on those purchases.
As for where people will be buying Father’s Day gifts, 34.4 percent will be shopping in discount stores, 34.1 percent in department stores, 26.4 percent in specialty stores, 20.5 percent online and 7.6 percent in clothing stores.
A separate survey, commissioned by Canadian electronics retailer Future Shop, found that 80 percent of dads just want quality time with the family for Father’s Day, followed by 55 percent who want new electronic goods and 49 percent who want new clothes and/or a day without household chores.
4 Ways to Attract Father’s Day Gift Buyers
Since electronic devices are such a popular Father’s Day gift, Mae Anderson of the Associated Press, suggests (June 10) four ways for shoppers to get a good deal. Wireless retailers should pay attention to these options, in order to respond with the appropriate marketing messages in the coming week:
1. Limited-time deals: “Check the web for short-term deals,” writes Anderson. “Amazon.com, for example, has a page for Father’s Day-appropriate ‘Lightning Deals.’ Borrowing the concept behind group coupons – but eschewing the middle man – Amazon offers short-term price cuts on a limited amount of a particular item. The site tracks how many items have been claimed and how much time is left on the deals.”
2. Refurbished Goods (see iQmetrix-Ditto article): “Refurbished items can be a way to get a great discount on a pricey gift. Just make sure to go to reputable dealers. Local electronics stores often offer deals, while cellphone carriers and electronics makers also offer discounts on used equipment.”
3. Family Deals: Although Anderson puts emphasis on fishing and camping trip deals for the whole family, this is a natural market for wireless retailers as well. Depending on what types of family plans or discounts on multiple-device purchases you offer, consider ways to attract Father’s Day (and college graduate) gift buyers – as well as combinations of such buyers.
4. Good Old Kickbacks: “Even when you can’t find the perfect gift on sale, you still may be able to ease the pain of the price with deals on shipping,” writes Anderson. “Some retailers are also offering substantial gift cards (see Gift Cards), free with Father’s Day purchases.”
- newsletter@iQmetrix.com
* To read more Shopping Trend Analysis, check out the following article from iQmetrix News & Views:
Android Users Mostly Male: Survey
Pre-Purchase Research Goes Mobile: Consumers Shift from PC to Smartphone
Understanding Your Customers' Cellphone Addiction
Brand Experience and Engagement Drive Great Customer Experience: Study
In Recession, Consumers Still Focus on Customer Experience (Not Cost)