Hardware Retailing The Industry's Source for Insights and Information
Total Halloween spending in 2023 is expected to reach a record $12.2 billion, outpacing last year’s record of $10.6 billion, according to the National Retail Federation’s (NRF) annual survey conducted by Prosper Insights & Analytics. A record number of people, 73% of respondents, will participate in Halloween-related activities this year, up from 69% in 2022, according to the report.
“More Americans than ever will be reaching into their wallets and spending a record amount of money to celebrate Halloween this year,” says NRF president and CEO Matthew Shay. “Consumers will be shopping early for festive decor and other related items, and retailers are prepared with the inventory to help customers and their families take part in this popular and fun tradition.”
Handing out candy is the top way consumers plan to celebrate at 68%, followed by decorating their home or yard at 53% and dressing up in costume at 50%. Consumers plan to spend a record $108.24 each, up from the previous record of $102.74 in 2021. The greatest increase in spending came from costumes, which are more popular than ever.
Total spending on decorations is expected to reach $3.9 billion. Of those celebrating Halloween, more than three-quarters plan to purchase decorations, an increase from 72% in 2019.
“What’s changed these last few years, post-COVID, is that people are going all out on decor,” says Stefanie Lucas, president of Qurate home decor and furnishings brand Grandin Road. “They are decorating for themselves now as much as for others. They want their home to be a place of fun, inspiration and creativity. People are still nesting, but nesting looks quite different. It’s more ebullient, it’s bigger, more over the top.”
According to the survey, 40% of consumers plan to shop at discount stores for Halloween items, 39% will purchase at specialty Halloween stores and 32% will turn online.
“Halloween may tell us how consumers are feeling about commemorating special events throughout the year,” says Katherine Cullen, NRF vice president of industry and consumer insights. “Is this something consumers are prioritizing, even in the face of inflation, as they cut back in other areas of their lives?”
Discover merchandising and display ideas to get your operation ready for Halloween here.
