Few Americans are going to be Scrooge this Halloween, according to the latest industry report that shows shoppers are planning to give frugality a holiday this October.
Consumers expect to spend more this Halloween, according to a report released today by the National Retail Federation that indicates shoppers are going more for costumes and candy – not frugality – this year.
The average consumer will spend $79.82 on decorations, costumes and candy this year, up from $72.31 in 2011, according to the federation’s annual survey, which estimates total Halloween spending will reach $8 billion in 2012. The increased spending could signal frugality fatigue among American consumers, tired of pinching pennies through the prolonged economic downturn.
A record 170 million of Americans are planning to celebrate the holiday, according to the federation. That means seven out of every 10 (71.5 percent) plan to get into the holiday spirit, up from 69.6 percent last year. Consumers buying or making costumes will spend an average of $28.65 this year, up slightly from $26.53 last year, according to the federation.
“By the time Halloween rolls around each year it’s safe to say Americans have already spent two months preparing for one of the fastest-growing and most widely-loved holidays of the year,” Matthew Shay, federation president and CEO, said in a statement. “Retailers know that when it comes to Halloween, new costume ideas for children, adults and pets, and the latest in home and yard décor top peoples’ shopping lists.”
Millionaires, who attribute their financial success in large part to frugality, are less likely than the average American to celebrate Halloween this year, according to a Millionaire Corner survey conducted in September. Just over two-thirds (67 percent) plan to buy candy, but less than one-third (32 percent) plans to decorate their house and only 10 percent of Millionaire investors say they plan to dress up. The somewhat muted response to Halloween reflects, in part, the premium Millionaires place on frugality. Affluent investors consistently rank frugality, along with hard work, education and smart investing, as the top factors for building wealth.