As we approach Halloween 2024, a recent survey from the National Retail Federation (NRF) has unveiled intriguing insights into consumer behavior and spending trends surrounding the holiday. Despite ongoing economic uncertainties, including price increases attributed to tariffs, shoppers appear undeterred, indicating a robust Halloween retail season. The projected total spending for Halloween this year is expected to reach an unprecedented $13.1 billion, translating to approximately $114.45 per person, surpassing the previous record of $12.2 billion in 2023.
The NRF survey highlights that nearly 4 in 5 Americans (79%) anticipate price hikes this fall due to tariffs; however, this does not seem to dampen their enthusiasm for Halloween shopping. “Despite the current unsettled economic environment, it is encouraging to see that families are continuing to prioritize treasured traditions and community celebrations,” remarked Tod Griffin, president of the Kentucky Retail Federation (KRF). This sentiment echoes a broader trend where consumers seem willing to indulge in their Halloween festivities even in the face of rising prices.
Spending Patterns and Preferences
The NRF predicts that consumer spending will continue to increase, with nearly half of shoppers (49%) starting their Halloween shopping in September or earlier. This early shopping trend is driven by several factors: 44% of respondents look forward to fall, 37% consider Halloween their favorite holiday, and 33% aim to avoid the stress of last-minute shopping. Additionally, consumers are keen to secure sought-after items, as 33% expressed concerns about missing out.
Popular purchases this Halloween include candy (96%), decorations (78%), costumes (71%), and greeting cards (38%). The forecast for spending on Halloween costumes alone is expected to reach $4.3 billion. Among children, the most sought-after costumes feature Spider-Man, princesses, witches, ghosts, and superheroes, while adults favor witches, vampires, pirates, cats, and Batman. Pet owners are also getting into the spirit, with popular pet costumes including pumpkins, hot dogs, bumblebees, ghosts, and superheroes.
Shopping Destinations
When it comes to shopping destinations, discount stores have emerged as the top choice among consumers, with 42% indicating they will do their Halloween shopping there, marking a five-percentage-point increase from last year. Specialty Halloween and costume shops are favored by 31% of respondents, as are online retailers—also 31%. This evolution in consumer preferences showcases the importance of physical stores and convenience-driven online shopping in a competitive retail landscape.
The Role of Retailers
Retailers across the nation, particularly in Kentucky, are gearing up for what is anticipated to be a record Halloween shopping season. “October marks the official start of the holiday season for retailers—their busiest time of year by far,” Griffin noted. Local retailers, in particular, have been preparing for months to ensure they are well-stocked, mitigating the risk of inventory disruptions resulting from tariff-related supply chain challenges.
Specialty items that appeal to both children and adults are in high demand, and local retailers are committed to offering unique products to enrich the Halloween experience. This commitment is not only a testament to the resilience of local businesses but also underscores their role in fostering community spirit and celebration during the holiday.
Key Findings from the NRF Survey
The NRF survey, conducted from September 2-9, 2024, polled 8,045 consumers nationwide about their Halloween shopping plans. Some key takeaways include:
- Price Sensitivity: While 79% of Americans expect price increases, the willingness to spend indicates a prioritization of holiday traditions.
- Early Shopping: Almost half of consumers start shopping by September, suggesting a strategic approach to avoid missed opportunities.
- Spending Growth: Total expected spending has nearly doubled since 2015, with substantial year-over-year increases.
- Costume Trends: The popularity of specific costumes showcases evolving consumer interests, especially among children and pets.
Conclusion
As Halloween approaches, the data suggests a resilient consumer base willing to embrace the festive spirit despite economic hurdles. Retailers must continue to adapt their offerings to meet shifting consumer preferences while fostering community celebrations that embody the spirit of the holiday. While potential price increases loom due to tariffs, the overall enthusiasm for Halloween remains strong, indicating that the season will likely be more than merely a festive time; it could serve as a significant economic driver for retailers.
Ultimately, the NRF survey strongly reflects a broader narrative of cautious optimism. Consumers seem inclined to invest in their traditions, thus laying a foundation for a vibrant Halloween shopping season ahead. Whether shopping in local stores or online, shoppers are embracing the opportunity to indulge in the fun, creativity, and community bonding that Halloween offers, ensuring that cherished traditions remain upheld despite an ever-changing economic landscape.
