Father’s Day is fast approaching, and Americans are set to dig deep for dad, with a recent survey by the National Retail Federation (NRF) indicating this year spending is set to reach $16 billion, up $700 million on last year.
So, what are likely to be the hot-ticket items when it comes to gifts for Dad this year, and how should you best protect your shop against theft?
A record high
This year the NRF survey has found Americans expect to fork out more than ever on their fathers, with 75.9 per cent of people expected to mark the occasion, spending on average $135.97 each.
The NRF notes that figure is an increase on last year when the average expenditure was $132.82. It also indicates a general trend which has seen Father’s Day spending increase each year since 2009 when average spending was $91.
“Father’s Day spending has grown 70 per cent, approximately $6.6 billion, since 2009. The biggest drivers of Father’s Day spending are growth in spending by consumers ages 35-44, and spending on clothing, special outings and gift cards,” the NRF notes.
The big-ticket items
When it comes to what people buy, special outings, gift cards, clothing and electronics are among the most popular items.
Almost half (46.8 per cent) of people will give the gift of a special outing, spending on average $29.10 per person to equal $3.3 billion in total.
Clothing follows close behind, with 46 per cent expected to purchase apparel, spending on average $21.88 each to equal $2.5 billion in total.
Gift cards are the next big-ticket item, with 43 per cent of people looking to allow dad a gift of his own choosing, spending $19.64 each to equal $2.3 billion in total.
Meanwhile, 20.4 per cent will purchase electronics, spending on average $15.80 to equal $1.8 billion in total.
Where people will shop
The NRF notes, when searching for the perfect gift, most people will look to bricks and mortar retail, but will rely on technology to assist in the purchasing journey.
“Over half (57 per cent) of smartphone/tablet owners plan to use their device to assist in Father’s Day gifting decisions, with 38 per cent using their mobile device to research products and compare prices,” the NRF says.
Their survey also found:
- 39 per cent of consumers will head to department stores
- 34 per cent will shop online
- 24 per cent will shop at a discount store
- 23 per cent at a specialty store
- 11 per cent will purchase at a specialty clothing store
- 2 per cent will shop via catalog
“More than half of those surveyed plan to buy for their fathers or stepfathers (53 percent) while others will shop for their husbands (27 per cent) or sons (9 per cent) among other dads in their lives,” the NRF says.
Protecting your store
Like Mother’s Day, the lead-up to Father’s Day will likely see an increase in foot traffic throughout stores, making theft prevention a priority for retailers looking to maximize the sales increase.
Importantly, electronics and clothing are some of the most commonly targeted items when it comes to shoplifting and, with retailers prioritizing these for display, they will need to be vigilant when it comes to security. Meanwhile, gift cards can be a prime source of consumer fraud.
Here the top tips to guard your store against theft:
Prime your staff – Staff remain a key deterrent for any retail loss, so give them a word to the wise in advance, re-instilling the need to meet and greet customers and remain vigilant about keeping a watchful eye on the floor.
Secure displays – For high value items or additional stock, secure displays, security packaging and stop locks are also widely used. These are particularly valuable for decreasing the theft of electronics and accessories.
Surveillance – CCTV surveillance is a strategy used complement vigilant staff and EAS, and can also act as a theft deterrent as well as a means to catch thieves in the act. To ward off would-be thieves, consider the placement of signage notifying them CCTV is used.
The final word
As retailers enjoy increased foot and expenditure in advance of Father’s Day on June 16, the holiday looks set to provide a major boon to their annual bottom line.
The key for retailers looking to maximize this welcome spending spike is to ensure their security is up to par and shoplifting doesn’t detract from dad’s big day.