As October unfurls, Halloween, commonly recognized as the eeriest time of the year, prompts early discussions on costumes, trick-or-treat, and, most essentially, candy. Beyond the fun and fright, Halloween has become a significant profit-generating venture in the retail sector.

2021 witnessed a considerable resurgence in Halloween sales as the world moved past the pandemic’s threats and kindled their long-awaited festivities. Halloween expenditure exceeded the pre-pandemic benchmark, promising a new record high for 2023.

According to the National Retail Federation, Halloween spending could reach approximately $12.2 billion this year, translating to an average of $108.24 per person. This figure is measurably higher than last year’s record-setting $10.6 billion or $102.74 per capita.

Research highlights an enhanced interest in Halloween-centric events, with 73% of people indicating plans for celebration, a rise from last year’s 69%. Within this group, 68% plan to distribute candies, driving the overall candy expenditure predictions to a staggering $3.6 billion.

However, the Halloween spirit might face a chilling blow this year. Escalated candy costs could potentially burn severe holes in buyers’ pockets. The latest Consumer Price Index report unveils candy prices to increase 7.5% year-over-year in September. Inflationary trends have cast shadows on almost every commodity this year, but high candy costs call for heavier blame.

Increasing candy costs are primarily attributed to the global sugar shortfall. Global sugar supply is expected to decline by 10% to 15%, steered by harsh weather conditions. Additionally, soaring cocoa prices, fueled by supply chain hurdles and persisting droughts, present a disheartening picture for ardent chocolate lovers.

Researchers at the sales and marketing group Advantage Solutions surveyed over 1,000 adults. About 40% of those surveyed said inflation will impact their plans to buy candy. However, despite rising costs, many people would be unwilling to hold back on celebrations, as evident from the projected Halloween spending, benefiting the candy companies.

A recent survey conducted by Advantage Solutions amongst a sample of over 1,000 adults revealed that approximately 40% of respondents anticipate a considerable inflationary impact on their candy purchases. Yet, the spirit of Halloween appears indomitable, as consumers are seemingly unwilling to dampen their celebrations, resonating with the foreseen spending predictions. Candy companies would benefit by passing the increased prices to the customers.

Given the landscape of mushrooming Halloween spending in the U.S. and globally, let’s look at some…

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