PROTECTING SMALL BUSINESS, PROMOTING ENTREPRENEURSHIP

Halloween Treats for Small Business

By at 27 October, 2021, 10:37 am

Small Business Insider

Halloween is the sweetest time of the year for many small businesses, which is especially welcome during the COVID recovery.

by Raymond J. Keating – 

Halloween is a major holiday for many American retailers. In fact, Halloween ranks as the second largest commercial holiday behind Christmas.

After the pandemic hit last year and Halloween 2020 was, well, pretty scary, expectations run high that we’ll see a bounce back, with Halloween arriving this coming Sunday, October 31.

The National Retail Federal (NRF) has reported that consumer spending on Halloween items “is expected to reach an all-time high of $10.14 billion, up from $8.05 billion in 2020,” based on its annual survey conducted by Prosper Insights & Analytics.

According to the survey, 65 percent of Americans are expected to participate in Halloween festivities. That’s up from 58 percent last year, but down slightly from 2019’s 68 percent.

What Halloween activities are favorites?

The biggest, according to the NRF survey, were “handing out candy (66 percent), decorating their home or yard (52 percent), dressing in costumes (46 percent), carving a pumpkin (44 percent) and hosting or attending a party (25 percent).”

The expected bounce back in Halloween spending would be good news for the small businesses that dominate the retail universe.

According to the latest U.S. Census Bureau data (from 2018), 56.8 percent of employer firms in retail trade have fewer than 5 employees, 87.5 percent fewer than 20 employees, and 94.9 percent fewer than 100 workers.

That’s small business. So, the commercial side of Halloween very much is about small business.

Happy Halloween!

Raymond J. Keating is chief economist for the Small Business & Entrepreneurship Council.

 

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