In the dark voids of fall, lying between Labor Day and Thanksgiving is Halloween. While October typically has been a sale month, where many retailers clear excess inventory to make room for holiday merchandise, more retailers are jumping on the Halloween bandwagon, and for good reason.
The National Retail Federation expects Halloween spending to top $5BB this year with spending per person up 10% over last year. The continued spending by consumers for the holiday is mainly attributed to more people taking part in candy, costumers, pumpkins, haunted houses, hayrides and everything else Halloween.
Halloween is now the second biggest decorating holiday behind Christmas with 2 out of 3 people buying Halloween décor.
And the holiday is gaining speed among young adults (18-24), adults (25-34) and even the 35-44 age group, so the appeal is broadening as well.
You can see the synopsis of the survey here.
THE REAL WORLD RETAILING TAKEAWAY
October will continue to be a sale month to clear excess inventory. Are you putting merchandise on sale in order to reduce your inventory and create more working capital to bring in holiday merchandise?
But Halloween will continue to be a huge sales opportunity for the month of October. Halloween is the 6th biggest holiday in terms of overall spending, and the only reason it’s not higher is because it’s not considered a gifting holiday.
I’m amazed at how nearly every catalog I receive now features some Halloween merchandise. From home décor, to kitchen to clothing, retailers must be having success with the holiday if they continue to create merchandise for their customers that is Halloween-oriented.
Retailer beware! I also see that post-Halloween November catalogs typically have a huge sale section of Halloween merchandise. This is most likely due to retailers trying to figure out what their customers’ appetites are for Halloween merchandise – the types of products that appeal to customers, the pricing thresholds, etc.
If you decide to jump on the Halloween bandwagon, make sure you put your big toe in and check the temperature of the water first. Bring in enough merchandise to make a statement in your store, but not so much that you don’t move it and then you’re stuck.
A prudent approach to Halloween will leave you feeling like Glenda the Good Witch vs. the vampire who will suck the lifeblood out of your business.
How are you capitalizing on Halloween?