Consumer spending for the upcoming Mother’s Day holiday (May 9, 2010) should improve slightly from 2009, according to two recent studies.
NRF Predicts 2% Average Spending Lift
The National Retail Federation (NRF) is predicting the average person will spend $126.90 on Mother’s Day this year, up 2.4% from $123.89 in 2009. Total spending is expected to reach $14.6 billion, a 3.5% lift from $14.1 billion last year.
Nearly two-thirds (65.2%) of Mother’s Day celebrants will buy flowers, totaling $1.9 billion. An additional 51.8% will purchase brunch or dinner, spending $2.9 billion on dining out. Jewelers will also see some traffic this year, with 26.2% of people planning on buying jewelry, totaling $2.5 billion. Others will buy clothing or clothing accessories ($1.3 billion), gift certificates ($1.5 billion), personal service such as a day at the spa ($933 million), consumer electronics ($906 million) and greeting cards ($671 million).
“Even with slight improvements in the economy, consumers are still looking for unique, sentimental and inexpensive ways to show mom that she is important,” said Tracy Mullin, president and CEO, NRF. “Retailers and restaurants will have an array of gift options for people to choose from, ranging from small flower bouquets to brunch and dinner promotions for the entire family to enjoy.”
As far as what retail channels will see Mother’s Day business this year, 30.6% of consumers will head to department stores, compared to 27.2% last year. Specialty stores such as florists or jewelers will see the most traffic, however, with 33.6% of consumers buying a gift in this channel. Smaller percentages of consumers will shop at a discount store (30.4%), online (19.7%), specialty clothing store (6.2%) or catalog (2.5%).
Of the 83.3% of Americans celebrating Mother’s Day this year, most will focus on buying a gift for their mother or stepmother (62.6%) or wife (20.6%). Others will buy a gift for a daughter (9.4%), grandmother (7.9%), sister (7.6%), friend (6.8%) or godmother (1.7%).
Men will spend much more than women on Mother’s Day, spending an average of $154.74, 57% more than women, who will spend an average of $100.46. Adults 25-34 years old will spend the most with the average person expected to spend $156.84; young adults will spend only slightly less at $155.52 average per person.
Brand Keys is More Optimistic
Brand Keys is even more optimistic about improving Mother’s Day sales performance this year than the NRF. The average consumer will spend $142 on Mother’s Day, up 5% from $135 last year, according to the Brand Keys Customer Loyalty Engagement Index. Total spending is expected to reach $15 billion.
Items that consumers will purchase for Mother’s Day this year include cards (97%), flowers (70%), gift cards (55%), clothing (36%), jewelry (25%), books (22%), spa services (15%), electronics (12%), and candy (5%). Retail channels where consumers will make these purchases include specialty retailers (45%), discount retailers (38%), department stores (35%), online retailers (25%) and catalog retailers (20%).
Men, following a long-time pattern also recorded by the NRF, intend to spend more than women. Male respondents to the Customer Loyalty Engagement Index reported an anticipated average spend of $168, 44.8% more than the $116 anticipated spend reported by women.
About the Surveys: The NRF 2010 Mother’s Day Consumer Intentions and Actions Survey was conducted among 8,197 consumers for the NRF by BIGresearch from April 6 – 13, 2010. As part of its Customer Loyalty Engagement Index, Brand Keys polled 5,000 men and women, 18-60 years of age and asked them whether, and how, they were planning to celebrate Mother’s Day.