It may seem the global financial crisis is behind us as everyone prepares to spoil their Dads for Father’s Day this weekend.
Business information analysts IBISWorld anticipate Australians will spend more than $1 billion this Father’s day.
Robet Bryant, IBISWorld general manager (Australia), predicts that while this year’s Father’s Day spending will be up 2.8 per cent from 2009 at $1,074.9 million, it will still fail to reach pre-GFC levels of $1,079.4 million recorded in 2008.
“Improved economic conditions, lower unemployment and higher disposable incomes will support increased Father’s Day spending in 2010, although Australians remain cautious,” he says.
IBISWorld forecasts that Australia’s hardware and electronics retailers will be wearing the biggest grins with Father’s Day spending in this sector tipped to rise 13 per cent to $236.4 million, while clothing retailers will be the most disappointed with a 6.8 per cent slump in sales to $127.4 million predicted.
“Father’s Day spending on hardware and electronics in Australia fell 18.8 per cent last year so this year’s IBISWorld forecast represents a big rebound, albeit not back to pre-GFC levels,” Bryant says.
“IBISWorld predicts electric shavers, power tools and computer games will be 2010’s most popular hardware and electronics presents. Indeed, IBISWorld analysis shows Father’s Day is the key sales period all year for electric shavers. It seems designer stubble is out of favour with Australian families.”
According to IBISWorld, Australia’s cafes and restaurants will be the top earners out of Father’s Day 2010 as many families will be treating dad to a meal. It is forecasted that spending in this sector will be $261.7 million – up 3.6 per cent on last year.
Similarly, sporting goods and apparel have been favourite Father’s Day gifts for years and its been predicted that 2010 will be no exception.
“This year’s higher level of Father’s Day spending will boost sales of a variety of sporting and camping equipment from tennis racquets to canvas tents, dumbbells to swags. Overall, IBISWorld forecasts Australians will spend $102.3 million in this sector – a rise of 3.0 per cent on 2009,” Bryant says.