Not the Nightmare Before Christmas:
Halloween Lures Millennial and Gen Z Consumers to In-Store Shopping
Halloween has morphed into a durably popular American holiday. For retailers, it’s a growth strategy marketing opportunity of Frankenstein proportions. During the spooky season, Halloween merchandising will be a key driver of in-store traffic among younger generations. Let’s dive into the details of this potent potion.
Last year, 60% of US consumers planned to celebrate Halloween, and 61% plan to celebrate the holiday in 2024. Millennial and Gen Z Americans are more likely to join in the fun. In general, these consumers are also the generations least likely to prefer in-store shopping, which means they have the most potential for growth strategy marketing.
Gen Zs, now in their teens and early 20s, are getting a reputation for reclusive behavior. But my research shows that Halloween shopping just might lure them out of their lairs.
Growth Strategy Marketing:
Consumers Carve Out a Budget for Halloween Spending
Last year, I wrote “Halloween Growth Strategy Example: Are Consumers Spooked?” as consumers were planning to pinch pennies over Halloween—but ultimately increased spending. Numerator’s holiday research proved invaluable for understanding consumer behavior, so I turned to its “2024 US Holiday Annual Preview” for this year’s growth strategy marketing insights. Here are US consumer purchase intentions for 2024’s major holidays.
Of all Halloween revelers, 97% plan to make purchases for their celebrations. This statistic tops the list for the 14 US holidays tracked by Numerator.
Comparatively, one percent fewer Americans plan to make purchases for Christmas, at 96%. So, that’s the first way Halloween conquers Christmas in 2024.
To be sure, merry-makers plan to spend significantly more at Christmas, with 81% spending more than $100. Here’s the breakdown for anticipated Halloween spending:
- 44% plan to spend less than $50
- 31% plan to spend $50-$100
- 25% plan to spend over $100
Growth Strategy Marketing:
What Goodies Are on Consumers’ Shopping Lists?
Next, let’s check in with what consumers plan to buy for Halloween:
- 79% intend to buy candy
- 42% intend to buy decorations
- 34% intent to buy food
- 16% intend to buy alcohol
- 8% intent to buy gifts
Of the 14 US holidays tracked by Numerator, only Halloween is notable for decoration purchasing (not even Christmas competes!). Decorations are included in the top two purchase categories for Halloween alone. And that’s the second measure by which Halloween conquers Christmas.
Candy is the other big category for Halloween, which is comparable to Easter and Valentine’s Day—although at a much higher rate.
Growth Strategy Marketing:
Digging into Decorating
In 2023, 58% of Halloween celebrators decorated their home—and that was the most popular way to celebrate. This statistic matches up with the 56% of consumers who handed out candy to trick-or-treaters (although, only 37%went out trick-or-treating. I suspect these figures mean kids came home with huge piles of candy!).
It’s worthwhile to note that consumers don’t seem to be decorating for parties. Only 28% of Americans say they will celebrate Halloween by gathering with family and friends, compared to the average for all holidays of 45% (Even Cinco de Mayo and St. Patrick’s Day beat out Halloween, at 30% and 32%, respectively). Halloween celebrators are decorating for themselves, and the trick-or-treaters who pass by.
Toil & Trouble:
Planning & Shopping for Halloween
When and where might consumers be purchasing all these decorations? Numerator’s survey indicates 94% do most of their Halloween prep more than a week in advance of the holiday (with 58% more than a month in advance). And they are mostly going to bricks-and-mortar retail:
- 59%plan to shop at big box stores
- 45% plan to shop at grocery stores
- 31% plan to shop at online retailers
In-store purchase intent for Halloween shopping is much higher than for shopping in general. Retailers can conjure up quite the spell of growth strategy marketing with Gen Zs and Millennials by crafting thrilling in-store displays of Halloween candy and decorations.
Growth Strategy Marketing:
World Market’s In-Store Halloween Merchandising Casts a Spell on Shoppers
Some retailers have caught on to this growth strategy marketing opportunity. World Market places its expansive Halloween displays front-and-center. This placement may look like it’s designed for impulse buys, but the strategy is more than it first appears. On social media, the retailer promotes photos and videos of tantalizing in-store displays. Millennials and Gen Zs are compelled to get off their phones and out of the house to shop for themselves.
Influencers also help drive in-store shopping. MRD Creations took a video shopping tour, showing what several retailers had on hand in August, including Nordstrom Rack, TJ MAXX and World Market.
Here are five reasons why this social-to-store approach is great for inspiring Millennial and Gen Z consumers who have become entrenched online shoppers:
- These consumers spend a lot of time scrolling through their social feeds—much more time than they spend out shopping or watching TV ads.
- Showing visuals of the in-store experience prepares these consumers for what they will see, giving them confidence in navigating the store and knowing their shopping experience will result in “great finds.” This preparation reduces anxiety.
- Showing the fun shopping experience can activate a FOMO response – fear of missing out.
- For generations who have lost the “thrill of the hunt” shopping experience, social content may help change shopping behaviors. Instead of searching for the perfect product online, they can discover products they never imagined.
- These photos and videos help consumers anticipate the tactile enjoyment of seeing and touching a physical product that you can buy and take home with you right away.
Extra Eerie Examples of Halloween In-Store Displays
For more growth strategy marketing inspiration, I asked my friends and family to send me photos of in-store displays that stood out to them as they shopped. Here are three different approaches.
For the soft-and-cuddly consumers, Halloween can be fun and friendly. My mom sent me this cute picture. Lest you think only kids would enjoy Halloween plush, check out my market segmentation examples on “kidults” (who are currently the top target for toy brands).
Eek! Halloween decorations are often elaborately scary. Lowe’s seems to focus on bringing the fright with these realistic outdoor props. My best friend Laura shared this photo with me (although she was shopping for home improvement items and wasn’t bewitched into purchasing this zombie Puritan fellow).
Like World Market, Big Lots places their Halloween decor front-and-center. There seems to be a mix for every Halloween haunter, from huge and terrifying models to small and adorable accessories. My good friend from church Stephanie shared this photo. She is a huge fan of Halloween and found many of these products tempting.
In the United States, Halloween is anything but frightening for retailers. Each year we’ve tracked the holiday, Americans have become more and more enthusiastic in their celebrations and spending. At Insight to Action, we evaluate trends across many topics, including travel, video games, parenting and more. Check out our Growth Strategy Marketing Resources. And meet the experts behind our analysis at one of our Open Office Hours events.
