The average consumer will spend $196.23 for Father’s Day, according to the National Retail Federation. In 2021, they spent $174.10. Adjusted for inflation, they are spending roughly the same.
Shoppers are still buying despite the higher prices. Consumer spending, adjusted for inflation, rose 0.5% in May, the highest since the start of 2023, according to data from the US Commerce Department.
The difference may be in what consumers are buying. Retail sales for May show moderating consumer demand from the past year. Still, recreation spending habits have continued to increase for categories like games, toys and hobbies, up 48.3%, and watches, up 31.7%.
There are still some deals to be had. Prices for jackets and outerwear have fallen 0.6% from last year, and the cost of watches has risen just 2.1%, less than the overall rate of inflation, Labor Department data show. Look for bargains for dad online, where prices for computers, electronics and home and garden items have fallen, according to Adobe’s digital price index.
Read More: The Best Luxury Father’s Day Gifts for the Dad Who Loves Design
©2023 Bloomberg L.P.
Source: Economy - investing.com
