Each year, supply chain professionals work to bring candy, costumes, pumpkins, and more to consumers to celebrate Halloween. According to the National Retail Federation’s (NRF) annual survey conducted by Prosper Insights & Analytics, total spending for Halloween is expected to reach $8.4 billion this year. This marks an all-time high in the survey’s 11-year history. US consumers are expected to spend an average of $82.93 on Halloween this year (based on 171 million Americans planning to celebrate Halloween), which is about $8 more than last year.
From the 20 million pounds of candy corn sold each year to the increasingly popular DIY pumpkin décor trend, 3PLs, suppliers and carriers have been busy prepping from October 31 over the last couple of months.
Growth of Halloween Logistics
Halloween pop up stores are booming with sales and scrambling to keep enough inventory on the shelves. Shoppers are always looking to get the most bang for their buck, and Halloween is the perfect holiday to do just that. Compared to other holidays such as Christmas where the average American spends an average of $500-1000, Halloween is a rather affordable holiday.
Pop-Ups
One of the more interesting things about Halloween is the pop-up or specialty Halloween store. These are the store that show up in strip malls nationwide at the end of September and disappear by the first week in November. The majority of these stores focus their efforts on costumes, but also sell some decorations and candy.
The stores need to quickly source these products and get them in stock in a short period of time. The logistical constraints from this are significant, especially considering how many pop-up and specialty stores are trying to secure the costumes.
Spend
This year alone, US consumers will spend $3.1 billion on costumes. This number is about an equal split between adults and kids costumes. The second largest purchase bucket for Halloween is candy. US consumers are set to spend $2.5 billion on candy this year.
The candy needs to get shipped out across the country to stores everywhere. It is one of those holidays where a missed shipment can mean a candy shortage, and waiting a few extra days can mean retailers miss the boat. Late deliveries can lead to the dreaded fire sale where prices are slashed the first week of November.
All Hands On Deck
With so many moving parts that are integral to Halloween, it is no wonder that consumers, retailers, and manufacturers are certainly busy this month. While consumers are buzzing to scoop up the newest Halloween merchandise – retailers and manufacturers are busy trying to prepare for Halloween but also for the entire upcoming holiday season.
