The Business of Halloween

Business Of The The number of Americans celebrating Halloween and the amount they plan to spend on the holiday is at an all-time high. This popular holiday fuels Halloween pop- up stores that can make a profit in only 2 months. Learn more Halloween (1) The average consumer 7 in 10 Americans (68.6%) plan to celebrate Halloween: 43.9% plan to 34.3% plan to throw or attend a party 49.5% will decorate their homelyard dress in costume That's 161 million people, more than ever. (2) Average Spending (per person) 73.5% will hand out candy 47.8% will carve 32.9% will take children trick-or-treating People will spend about $72.31 on decorations, a pumpkin costumes and candy - up from $66.28 last year. $80 Of the total (S72.31), people will spend on average: $70 $60 $26.52 on costumes $50 $19.79 on decorations $40 $21.05 on candy $30 $4.96 on cards 2006 2007 2008 2009 2010 2011 (3) 2011 Halloween spending This year's estimates show an increase in Halloween sales. Learn more: Projection in billions of dollars Of those who think the economy will affect their Halloween plans: Candy: $2 87.1% say they will try to spend Pet costumes: $0.3 Decorations: $1.88 Children costumes: $1 less overall Nearly 1/3 of people who will celebrate Halloween, 18.9% will make their own costume 0.5- believe that the U.S economy will impact their plans. 1.0- 16.6% will use last year's costume 1.5- 40.2% will buy less candy 2.0 - 20 $ $ Even with people trying to spend less this year, the estimate is optimistic. Total Halloween spending is expected to reach $6.86 billion - up from $5.8 billion a year ago and more than double what consumers said they would spend in 2005. 2010 2011 $5.8 billion $6.86 billion Halloween pop-up stores Halloween pop-up stores may have a short lifespan, but they generate big business. How do they do it? Find out: 1 One study estimates the number of pop-up stores increased 8% per year since 2005. In 2010, that number jumped to 15%. 2 Although most stores are open for only two months (from Labor Day to the first week in 3 Strong consumer inter- est and high retail vacancy rates with landlords who are OK with short-term leases These stores have become more profes- sional over time, so 5 Some stores will pay as much as $60,000 for an eight-week rental, depending on size and location. landlords view them as November), they prepare for the holiday all year. good potential tenants. are key for this industry. 6 Employees look for empty locations in high- traffic areas. SPIRIT Store executives keep up with pop culture year round so they know which costumes to 00 purchase. 8 Pop-up stores look to rent property like former Bor- ders, Linens 'n Things and Circuit City locations. OPEN FOR RENT Major Players 1970s 1980s 1990s Year opened 1977 -1981 1983 1990 HALIOHEEN SPIRT HALLOWEEN CITY HALLOWEEN EXPRÈSS Description ADVENTURE Some Halloween pop-up stores have been around for more than three decades. It's a store with the largest selection of Hal- loween merchan- One of the oldest, leading national Halloween Learn about the largest temporary Halloween retailers in the business. innovative major players: approaches to real estate acquisition. retailer, with more than 900 locations. dise in the USA. Sources: National Retail Federation I Advertising Age The Washing- ton Post I Northjersey.com Spirithalloween.com i Halloweencity.com Halloweenexpress.com Halloweenadventure.com Information provided by: http://www.businesscreditcards.com/ Y BusinessCreditCards.com Cards: $0.4 Adult costumes: $1.2 $72.31