Projected Dip in Halloween Spending for 2024

Overview of Halloween Spending

Following a record-breaking year in 2023, the National Retail Federation (NRF) predicts a decrease in U.S. consumer spending on Halloween items such as candy, decorations, and costumes. The anticipated drop is around $600 million, bringing the total to an estimated $11.6 billion.

Contextualizing the Decrease

Despite this predicted decrease, Florian Zandt from Statista points out that this would still be the second-highest spending amount in the past decade. The most recent decline prior to the 2024 Halloween season was largely due to the coronavirus pandemic. However, even before the pandemic, the industry was experiencing a period of stagnation. For instance, after a $2.2 billion increase in consumer spending between 2015 and 2017, there were drops of $100 million and $200 million in 2018 and 2019 respectively. Therefore, while the pandemic and subsequent social distancing rules contributed to a $800 million or ten percent drop compared to 2019, the industry was already anticipating a decline.

Breakdown of Halloween Spending

When looking at the specifics of what U.S. consumers are spending their money on, the majority of funds are projected to be spent on costumes and decorations. According to additional data from the NRF, consumers in the United States are expected to spend $3.8 billion each on these two categories, with candy following closely behind at $3.5 billion. However, the greeting card industry is not expected to benefit significantly from Halloween, with only an estimated $500 million being spent on Halloween-themed greeting cards.

Bottom Line

While Halloween spending is expected to decrease in 2024, it is important to remember that this is still projected to be the second-highest spending amount in the past decade. This suggests that despite the challenges and changes brought about by the pandemic, the spirit of Halloween remains strong among U.S. consumers. What are your thoughts on this trend? Do you think the decrease is temporary, or indicative of a longer-term change in consumer behavior? Share this article with your friends and let us know your thoughts. Don't forget to sign up for the Daily Briefing, delivered every day at 6pm.