A recent Lending Tree survey highlights that 59% of previous Halloween shoppers plan to cut back on their spending this year due to inflationary pressures. This trend is mainly noticeable among Gen Z consumers, who are the most likely to reduce their holiday expenditures.
Despite the overall trend of reduced spending, the average anticipated expenditure for Halloween is projected to rise to $172, compared to $162 in 2023. As many as 47% of Halloween lovers plan to indulge this year, primarily focusing on costumes (17%), decorations (16%), and themed activities (14%). Moreover, 33% of respondents expect to spend more than they did the previous year, indicating that while many tighten their belts, some are still willing to splurge.
“It never surprises me to hear people cutting back on anything because of inflation. Life is much more expensive than just a few years ago, and it has left many Americans squeezed to the breaking point. When that happens, sacrifices have to be made, and sometimes that means dialing back on things you love, like Halloween spending, ” said Matt Schulz, LendingTree chief credit analyst.
Tradition plays a crucial role in Halloween shopping habits, as sweets remain the most popular item, with 59% of Americans planning to purchase them. Other top choices include outdoor decorations (23%) and children’s costumes (22%). In addition, in a nod to the evolving entertainment landscape, 52% of Halloween shoppers are considering subscribing to a new streaming service to enjoy seasonal spooky films and shows.
These findings show that while inflation is causing many to rethink their spending, others are maintaining their Halloween traditions and even looking for new ways to celebrate. The ongoing economic challenges may impact the types of purchases consumers make. However, the festive spirit of Halloween seems to endure, with many still eager to engage in the holiday festivities.
As Halloween approaches, businesses may need to adapt their marketing strategies to cater to both budget-conscious shoppers and those ready to invest in holiday cheer.