The spooky season is officially upon us, but for millions of consumers across the country, the scariest part of the holiday this year isn’t ghosts, goblins, or haunted houses—it is the receipt at the checkout counter. According to a newly released LendingTrust survey, nearly two-thirds of shoppers are planning to scale back or entirely skip certain purchases this season, cutting deep into holiday staples like traditional costumes, decorative displays, and even the candy meant for trick-or-treaters.
The findings underline a broader economic anxiety that has gripped consumers in recent months, as persistent inflation, rising everyday costs, and looming uncertainty about the future economy force households to carefully reevaluate their discretionary budgets. While Halloween has traditionally been viewed as a resilient, fun-first holiday that brings communities together, the financial reality of 2023 has turned even lighthearted seasonal spending into a source of stress for a significant portion of the American public.
Generational Divides in Holiday Debt
Though many consumers are spooked about affording their Halloween purchases, some consumers are notably more financially strained than others, creating a stark generational divide in how the holiday is being funded.
The LendingTree survey revealed that roughly four in 10—specifically 43%—of Gen Z respondents said they are likely to take on Halloween-related debt this year in order to finance their celebrations, costumes, and parties. They are closely followed by millennials, 35% of whom admitted they expect to lean on credit cards or other forms of borrowing to get through the holiday. By contrast, older generations are showing far more restraint. Only 14% of Gen Xers and a mere 2% of baby boomers said they anticipated taking on debt for Halloween, highlighting a cautious, cash-conscious approach among older and more established demographic groups.
For those who have already taken on debt to fund their Halloween fun, the aftermath of the spending spree has brought widespread remorse. Among respondents who relied on credit or loans for the holiday, 51% stated that they ultimately regret overspending. When asked why they exceeded their initial budgets, these shoppers pointed to two primary culprits: intense social pressure to keep up appearances—particularly amplified by social media trends and elaborate costume expectations—and much higher-than-anticipated retail prices across the board.
Rising Costs and Inflationary Pressures
The anxiety surrounding holiday spending is not unfounded. Prices have crept upward across almost every category leading up to the autumn holidays, hitting everyday festive items, party supplies, and children’s toys hard.
According to the U.S. Bureau of Labor Statistics’ Consumer Price Index, toy prices alone jumped 4.2% between August and September alone. When compared to the same period a year ago, toy prices surged by a notable 6.6% in September, based on unadjusted figures from the index. Because many Halloween costumes, novelty items, and interactive party decorations share supply chains and retail footprints with toys and children’s goods, consumers are finding themselves paying substantially more for the exact same items they purchased in previous years.
To combat these rising costs and stretch their strained budgets as far as possible, a large number of holiday shoppers have proactively changed their shopping habits. Many have taken advantage of early-season discounts and promotional sales, launching their holiday shopping weeks ahead of the traditional timeline.
This behavioral shift reflects a wider pattern of economic insecurity. Nearly half—specifically 45%—of respondents to a separate survey conducted by Ibotta reported that they view their personal finances as insecure. Furthermore, over 70% of those surveyed emphasized that their primary financial focus for the current season is aggressive saving, rather than indulgence.
Shifting Shopping Destinations and Economic Outlook
Despite the widespread belt-tightening, the broader consumer base remains somewhat fractured in its outlook. While roughly seven in 10 shoppers surveyed in a recent Deloitte study stated that they feel they can easily afford their Halloween purchases without altering their lifestyle, a significant shadow of pessimism lingers regarding the broader macroeconomy.
According to the Deloitte survey of 1,500 U.S. shoppers, roughly four in 10 respondents—about 42%—anticipate that the national economy will actively deteriorate in the year ahead. This underlying lack of confidence is steering consumer traffic away from traditional specialty stores and boutique holiday shops, driving them instead toward more value-driven retail environments.
The Deloitte survey found that more than half of all holiday shoppers are choosing to buy their Halloween items at standard grocery stores, while 40% are opting for discount stores to fulfill their holiday needs. This trend is further corroborated by data from the National Retail Federation, which found that nearly four in ten consumers—approximately 39%—specifically cited discount stores as their absolute top destination for purchasing Halloween products, decor, and candy this season.
As retailers look ahead to the remainder of the autumn and winter holiday shopping calendar, these shifting consumer patterns serve as a clear indicator of what lies ahead. With shoppers prioritizing value, scrutinizing every dollar spent on seasonal staples, and increasingly wary of taking on avoidable debt, businesses across the retail landscape are being forced to adapt to a much more cautious, price-sensitive consumer base.
