It may not be crucial to the smooth operating of Canada's economy, but Halloween has become big business.
The Retail Council of Canada estimates that by the time the last of the pumpkins hits the compost heap in 2007, Canadians will have spent $1.5 billion on treats, costumes, pumpkins and decorations as they mark the scariest night of the year.
That's about $60 for each of the 72 per cent of Canadians who plan to take part in at least one Halloween-related activity, according to a poll conducted for the council. That's about the same amount as Canadians spent in 2006.
Canada's biggest Halloween spenders are in British Columbia. Their Halloween bill averages $77 each. Residents of the Atlantic provinces spend the least at about $52 per person taking part in the festivities. Candy and treats eats up the bulk of most people's spending at a national average of $30, according to the council. Men spend a little more ($32) on candy than women ($27). In overall spending — including costumes, decorations and pumpkins — men ($64) shell out more than women ($56).
A similar study in the United States — by the National Retail Federation — found that Halloween is the sixth biggest-spending holiday after:
- Winter holidays ($457.4 billion US).
- Valentine's Day ($13.70 billion US).
- Easter ($12.63 billion US).
- Mother's Day ($13.80 billion US).
- Father's Day ($9.01 billion US).
The U.S. study found that Halloween sales have grown by about $2 billion since 2003, to just over $5 billion in 2006.
More people joining Halloween fun
The popularity of Halloween among young adults continues to surge on both sides of the border.
In 2006, 85.3 per cent of 18- to 24-year-olds in the United States planned to celebrate the holiday, up from 66.8 per cent in 2005. But they weren't the only ones taking advantage of the ghoulish fun — 76.5 per cent of consumers aged 25 to 34 and 71.3 per cent of 35- to 44-year-olds intended to join the fun.
"Halloween has especially exploded among young adults who are celebrating with large parties and elaborate costumes, driving spending and bringing good news for retailers," said Phil Rist, the vice-president of strategy for BIGresearch, which conducted the U.S. study.
Half of Canadian celebrants buy costumes
The American study found that close to two-thirds of young adults between the ages of 18 and 24 plan to don a costume at some point over the Halloween season. The most popular choices among them include witches, pirates and vampires.
Meanwhile, the study by the Retail Council of Canada found that of those adults planning to do something to celebrate Halloween, just under half planned to buy their costumes — and spend an average of $38 doing it.
Wal-Mart Canada reports that the Halloween season is its fourth-busiest shopping period of the year, after Christmas, back-to-school and Mother's Day. Its best-selling costumes for men are the zombie, pirate and beer keg man. For women the costumes of choice include pumpkin girl, pirate, and fairies.
In the U.S., the most sought after costumes include witches, pirates, vampires and cats.
Jewel-studded costumes for dogs: $240 US
A store in Hartsdare, N.Y., just outside the city of New York, caters more to a niche market. E&E Hallstrom Haute Couture sells high-end Halloween costumes for dogs ranging in price from $200 US to $240 US.
Eva Hallstrom, who sells doggy costumes made of silk, velvet, leather and semi-precious stones, says, "Dogs like to feel glamorous."
Wal-Mart Canada reports that in 2007, its sales of Halloween costumes for dogs was 10 times higher than a year earlier. The National Retail Federation says the top choices for pet costumes by owners of American pooches are devils, pumpkins, witches, princesses and angels.
Meanwhile, Halloween paraphernalia is increasingly having to compete with Christmas merchandise as a phenomenon known as "Christmas creep" continues to pick up steam. That's the retail practice of offering Christmas-related merchandise on store shelves earlier each year.
Retailers do it to extend the Christmas shopping season, in hopes that people may be enticed to pay full price for an item, fearing that if they wait too long it will be sold out. There are no statistics yet to show whether Christmas creep either increases Christmas sales — or bites into Halloween's market share.
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