How candy companies are affected by Halloween expenditure decrease

Candies are no doubt one of the products that people are going for every Halloween. In fact, statistics show that in the annual planned expenditure for this year's Halloween, $2.4 billion comes from candies alone, which is 25% of the expected expenditure of $8 billion for this year.

This amount of money is huge, but according to the National Retail Federation's annual survey, Americans usually spend $2.6 billion on candy or about $25 per person on average. Meaning, although candy companies contribute 25% of the expenditure, it is expected that they will experience a decrease in sales this Halloween.

It all started when the outbreak of the coronavirus went worldwide. Candy companies started to lose customers and sales as many people went unemployed and financially unstable. This not only placed candy companies in a difficult situation but also other businesses as well because of the restrictions and compromises that are mandated due to the pandemic.

However, the specific role of candy companies for Halloween is critical since lots of Americans became less interested in celebrating the holiday. Candy companies are doing their best to regain their sales and customers, but the overwhelming negative effects of the pandemic make it hard to achieve.

The decrease and increase in sales

One way of celebrating Halloween is by eating candies or giving them out. The simple purchase of candy products is considered to be a way to commemorate Halloween, and it has become a tradition every year. This is how "Trick-or-treat" was established.

However, since a lot of adjustments and protocols must be followed to avoid the risk of getting infected with the coronavirus, it is unlikely that consumers will head to malls or stores just to buy candies. This factor alone caused the loss of thousands of customers since there are consumers out there that rely on physical stores to buy their candies.

They may have lost customers and sales from physical stores, but statistics also show that candy sales went up this year, which is not what candy manufacturers expected. According to the National Confectioners Association, the 13% increase in sales is good news to both the companies and the Halloween expenditure chart. One of the reasons for the increase may be because of sales and discounts that are offered by the various candy companies out there.

Although there are only one in three adults that do not allow their children to go trick-or-treating, 38% of parents still allow their children to go out and ask for candy around the neighbourhood despite the pandemic.

It is also among the top Halloween activities that 62% will be handing out candies. This goes to show that even though candy companies lost a number of customers because of the stores that were forced to shut down, consumers find that without candies, Halloween would simply not be complete.

How candy companies found a resolution

Despite the decrease in candy sales, companies came up with an alternative – selling their products through an online shop or website. Although their sales have not toppled the sales from last year, this alternative managed to regain customers and transactions.

Candy companies focused on optimising their websites to give their customers the best surfing experience. An online shop that has little to no bugs or glitches at all is highly appreciated by online customers. They also made their websites easy to navigate to avoid confusion when searching or ordering their products.

Another key factor that they gave a lot of thought to is adding live chat support. Companies hire a set of teams of live agents to accommodate online customers to assess their questions, concerns, and needs. Compared to a chat bot, customers are getting a better shopping experience by talking to a real agent from the company itself.

The author is the editor of couponlawn.com