The Halloween Economy: $2.52 Billion in Costumes, $2 Billion in Candy, $1.88 Billion in Decorations, $470 Million in Greeting Cards

The American economy may not be doing great, with jobless figures at an all-time high and debt repayments a constant burden. But this Halloween, Americans spent close to $7 billion in festive shopping.

The National Retail Federation estimates that $6.87 billion was spent on Halloween this year, up from $5.8 billion last year. According to figures, that is a $3.57 billion increase from 2005, before the financial crisis began.

The American economy may not be doing great, with jobless figures at an all-time high and debt repayments a constant burden. But this Halloween, Americans spent close to $7 billion in festive shopping.

The National Retail Federation estimates that $6.87 billion was spent on Halloween this year, up from $5.8 billion last year. According to figures, that is a $3.57 billion increase from 2005, before the financial crisis began.

“Eager to shake off the summer heat and forget about the economy for a few days, Americans are looking forward to having some fun this Halloween,” said NRF President and CEO Matthew Shay. “Many retailers have already stocked their shelves with Halloween merchandise and, given the popularity of the holiday this year, consumers should not hesitate when they find something that would make their celebration complete.”

The survey found this year’s celebrations will be far from tempered as more people planned to dress in costume, throw or attend a party, or visit a haunted house. Additionally, half said they would decorate their home and dress their pets in costume. Other traditional celebratory activities include handing out candy, carving a pumpkin and taking children trick-or-treating.

With celebrations increasing, spending is expected to slightly increase across the board as well. This year, Americans will spend $1 billion on children’s costumes, up from $840 million last year, and $1.21 billion on adult costumes, up from $990 million last year. Additionally, pet owners will shell out $310 million on pint size devils, pumpkins and witch costumes.

Spending on Halloween décor is second only to spending on Christmas decorations.

“Thanks to creative costumes and décor for consumers of all ages, Halloween has become one of the most anticipated holidays of the year for many people,” said Pam Goodfellow, Consumer Insights Director, BIGresearch. “As a non-gift holiday, even people on the strictest budget can enjoy themselves this Halloween.”  

Consumers aren’t completely blowing caution to the wind this year, however. According to the survey, nearly one-third said the state of the U.S. economy will impact their Halloween plans. To compensate, most said they would try to spend less overall.