Marketing to Moms: How Will Mom Spend This Year’s Tax Refund?
April 1, 2010 § Leave a comment
With a record high average income tax refund of $3,036, Moms will have some extra cash to spend for the household.
How will Mom spend the tax refund?
A larger number of consumers say they are willing to spend their tax refunds on a treat for themselves. After paying down debt and economizing, families are ready to enjoy themselves a little. A survey from the National Retail Federation says about 13 percent will use the money for a major purchase such as a television, furniture or a car. Others will put the money in savings (40.3 percent), put it towards everyday expenses (28.8 percent) or go on vacation (10 percent).
For Moms planning the family vacation, 24 percent are using their tax refund to pay for that well-needed getaway. Our WhyMomsRule.com 2010 Family Travel Survey showed that cost is still a major concern for family vacations, so the extra money will help ensure this year’s vacation is not a staycation.
Moms are still cautious in their spending, but marketers providing the right incentives should benefit from the new attitude of those treating themselves to a major purchase.
The average income tax refund is up some 10 percent, or $266, through March 12, reflecting the impact of tax credits included in the 2009 economic stimulus package. Approximately two out of three consumers expect to receive a tax refund.