2. Spending Reality Check
After reaching a recent high average of $1,139 spent on a 2013 prom, the average decreased 14% to $978 for 2014 and then another 6% to $919 for the 2015 prom season.
Comparing what families spent during and 2015 based on income reveals a complete reversal. For 2014, households with incomes less than $50,000 spent an average of $733, but for 2015, it increased significantly to $1,109.
Families with incomes of more than $50,000 spent $1,151 for 2014 proms, but $799 for For reasons not totally understood, families with incomes of less than $25,000 spent the most on average for 2015 proms, or $1,393.

3. The Importance of the Promposal
For the first time, Visa added a new category to prom spending in its 2015 survey: the promposal. This is the often elaborate and expensive method that teen males use to ask teen females to be their prom date.
The national average spent on the promposal was $324 during 2015, or 35% of the total average of $919, making the actual cost of prom night $595. Canadian families and teens are spending “just” $119 on the promposal and another $283 for prom night.
Some parents, educators and even teens think the promposal phenomenon has become ridiculous, which is understandable considering one young man in Connecticut skydived from 10,000 feet holding a sign that read “Prom?” and had a friend shoot a video.

4. Prom Price in Perspective
With data from the US Bureau of Labor Statistics, an economist at a Midwest university has concluded that since 1998 the cost of a prom has increased approximately 22%, compared to 45% for most consumer products.
He studied 10 categories that correlate as closely as possible to prom expenditures and discovered that seven had actually decreased or increased at a slower rate than general consumer prices since 1998.
Men’s suits, for example, cost 16% less during March 2015 than March 1998, and women’s shoes had only increased 6%. Only full-service meals, as the best equivalent of a prom ticket, increased more (56%) than the general inflation rate of 45%.

5. Parents Open Their Wallets
Dads continued to spend more on proms than moms. During 2014, dads spent an average of $1,357, compared to $673 for moms, which was a bit more than double. For 2015, dads spent “only” 63% more than moms, $1,160 vs. $710.
Parents were willing to spend a greater percentage of 2015 prom costs. It was almost an even split during 2014: parents, 56% and teens, 44%; however, for 2015, parents accepted responsibility for 73%, compared to 27% for teens.
This change may indicate that US households’ finances have improved. The trend may also make it easier for teens to add more costs to prom night because they know their parents will pay a higher percentage.

6. Advertising Strategies
Department stores and dress shops that sell prom dresses should consider a TV advertising schedule immediately after Christmas, promoting advanced shopping for the best selection and a special weekend sale or promotion during early January.
Recommend similar late December/early January TV advertising flights to tux rental shops, florists, limo services and restaurants, including an incentive for early bookings and/or purchases.
Prom retailers could also use TV to promote group-purchase discounts: the more friends that select and reserve a tux together, the more of a discount for each or a dinner reservation at a restaurant for 5 or more couples includes a free dessert.

7. Social Media Strategies
A strong, engaging social media campaign is an absolute must for all prom retailers. Primary content is the latest dresses, tuxes, hairstyles, etc., but there should also be tips and other “how to” content by linking to such sites as MyPromBlog.
Department stores and dress shops, specifically, should encourage girls to upload photos and videos of their dress selection shopping and fitting, why they picked the dress they did and asking friends to comment on their selection.
Prom retailers can also use their sites to list all the local high schools’ prom information: dates, ticket prices, rules, etc. and provide both girls and boys with a schedule checklist and posting and emphasizing each “deadline” in the schedule.