Halloween and It's Economic Impact

Halloween is a tradition in western world, with its roots in the Christianity. Halloween is the first day of the three days of triduum of all hallows also known as Hallowmass. This triduum, religious observance of three days starts with Halloween (All Hallows Eve) on Oct 31^st and concludes with All Soul’s Day on Nov 2^nd. The 1st day of Nov is All Saint’s Day. Halloween is also celebrated as harvest season in Celtic region of Europe.

Halloween is one of the most important events in the US. The typical celebration is trick or treat, children who visit your house are to be given candies else they play pranks. Costumes and costume parties are important part of the Halloween. Pumpkin carving is another important activity in this celebration. Haunted attractions in Halloween are for thrill and to scare. Age is no bar but largely it’s the children who participate the most. Many of the holidays in US are on Fridays or Mondays to enjoy long weekends. Some of the days are celebrated on a particular day in the month not on the date like Mother’s Day or Father’s Day. Not many ‘days’ that are celebrated on a particular date but Halloween is one of them that’s always on Oct 31^st, just like the Chrtistmas on Dec 25th. However the communities, schools have Halloween parade or party on preceding Friday evening, Saturday and Sunday. Schools also have some celebrations and parades on Oct 31^st.

Pumpkin farm with witches and black cats

Pumpkins have great importance during this period. Every decoration in showcases has pumpkins. In restaurants pumpkins takes over other routine cuisine. One gets right from pumpkin soup to pumpkin ice cream. And of course the main course is full of pumpkin, pumpkin and pumpkin. The orange coulor of pumpkin dominates everywhere. Farmers growing pumpkins are the happiest lot.

I tend to compare this period with Sarva Pitri Amavasya (सर्व पितृ अमावस्या last day of Shraddh श्राद्ध fortnight) in India as far respects are to be paid to departed souls and to Holi in terms trick or treat and costumes. Here colours of Holi are replaced with costumes. Decorations of the houses reminds of Diwali, but for the fact that these decorations are haunted/horror based. All festivities come with great business opportunities. I wrote a blog Marketing Significancs of Shravan in July 2011. I got reminded of that when I saw the marketing activities for Halloween in USA.  

Costumes for sale

Any taker for 59.99 plus Taxes

Celebrations have some rituals. These rituals are from belief  (in Sanskrit shraddhā श्रद्धा). There is a thin line that divides faith and blind faith, as these are mostly religion based. It’s best not to touch them. UNICEF an organ of United Nations Organization collects donations on Halloween Day to support the children from poorer nations. Traditions are followed, departed souls are respected and no one has challenged UNICEF as to why they believe in Halloween. It should be left to individuals to decide what they should believe or not believe. However in India certain elements want to encroach on individual religious practices and sentiments. They pronounce themselves as crusaders for abolition of blind faith. As far as an individual causes no trouble or harm to the society and has some faith or a blind faith, others need not worry. In India these so called champions attacks the poor Hindus for reposing certain faiths or blind faiths. They have a lobby. Ghosts demons, souls all have a mention in every religion, Christianity and Islam included, yet only Hindus are targeted by these groups. Someone observes a fast, someone doesn’t drink water, someone remains absent from meat and alcohol, how can one pass a judgment? What one calls as a faith may be a blind faith for others, it’s subjective. Leave it alone as long as it is not a threat to the society.

I always teach my students of International Business that faith, beliefs, superstitions have a great potential for business. Chinese trader and manufacturers become rich when India celebrates, Ganapati festival or Diwali. Most of items needed for decoration come from China. Faith, rituals and religious practices of Indians is a business opportunity for Chinese. Celebrations in any part of the world have an economic angle. Halloween has a great impact on American economy. The business reported last year for Halloween was nearly USD 8.00 billion. This year it is expected to be USD 7.00 billion. The drop of USD 1.00 billion is attributed to slowdown and shutdown of US government for few days in this October. But we really don’t know, the business may be higher than estimates. There has been a constant growth in the Halloween related business. It has grown from USD 3.29 billion in 2005 to USD 8.00 billion in 2012, a phenomenal growth even in the so called recession. Of the USD 8.00 billion spent last year USD 2.33 billion was spent on the Halloween Candy and USD 2.87 was expenditure on Halloween Costumes. Decorations had a share of USD 2.33 billion and the greeting cards could net USD 0.59 billion in competition with free e-cards and texting on BBM, WhatsApp etc. Remember these are all direct expenses. Indirect expenses are not accounted. Chinese must have been happy to supply variety of products and the local government is happy to collect taxes. The rituals have generated the income.

Crooner and children in costumes

There is month long horror movies schedule on TV channels. Serials like Walking Dead top the TRP charts. Haunted places, haunted hotels are in great demand. One finds lots of advertisements for haunted hotels. Malls have special activities to attract the customers. They conduct programmes and event particularly for children, like pumpkin carving, face painting, singing and dancing.

Pumpkin painting for children in a mall

Parents and Children in a mall

Homes are decorated with pumpkin lamps and with haunted look. Halloween parties are a big attraction as everyone comes in Halloween costume. Artificial skulls, bones are in great demand. A local cake shop in Princeton had an offer of a free skull on order of thee dozens of cupcakes, needless to mentions that many of these cakes had pumpkin. People dress up in Halloween costumes and go to the work place, have fun, enjoy the thrill and scare. It’s a great atmosphere. I only wish no self-advocated reformist group comes forward and demands a ban on these celebrations. Enjoy the festivals and rituals, it’s a binding force for the society.