While more than half of consumers treat themselves to Halloween candy for Summerween, Halloween spending will see record sales with a projected $13.1 billion across all categories and confectionery sales expecting to reach $3.9 billion, according to data from the National Retail Federation (NRF).
While price hikes from tariffs are a concern – with 79% of shoppers anticipating higher prices – 73% are planning to celebrate, compared to the 72% of consumers last year, according to NRF.
Chocolate and candy continue to play a sweet role for Halloween, with 94% of Americans reporting they will share these treats with friends and family during the holiday, according to the National Confectioners Association.
How are brands winning Halloween?
Creating specific packaging, flavors, shapes and colors will help brands capture the 89% of consumers who are looking for Halloween-centric treats, per NCA.
Shape and packaging innovations include Hershey’s Count-shaped Kit Kat features its signature chocolate-covered wafer in the shape of a smiling vampire and Snickers Pumpkins packaged in seasonal wrapping with caramel, nougat and peanut filling in individual and share-sized packs.
Flavors are also an opportunity for seasonal innovation, such as Hershey’s Nuggets Pumpkin Spice Latte, which blends milk chocolate with pumpkin spice crème, and M&M’s Halloween Blend – a mix of black and orange-colored milk chocolate, peanut and peanut butter varieties.
Bright and mismatched colors also drive sales. Examples include Jolly Rancher Gummies Trickies, which feature gummies with unlikely flavors and colors (e.g. cherry-flavored purple treats), and Sour Punch Frankenstraws in pear, melon and Midnight Mystery flavors.
With one-quarter of Americans planning to buy chocolate and candy before October, “it’s clear that Halloween is about much more than just Oct. 31. Manufacturers are meeting consumers where they want to be met, offering more variety in pack sizes and portion options than ever before – and aligning seasonal products’ availability with consumer demand for an extended Halloween season,” explained Carly Schildhaus, director of public affairs and communications at NCA.
Chocolate and candy continue to be staples for US consumers who enjoy their sweets two to three times per week as a way to celebrate “everyday moments and seasonal celebrations,” added Schildhaus.
Cocoa struggles continue to impact brand’s pricing strategy
While cocoa prices are nowhere near its peak from December 2024 of $12.6 per kilogram, ongoing price fluctuations lead companies to seek less expensive ingredients like cocoa powder, reevaluate pack sizes (e.g. shrinkflation) or turn to biotech for yeast-based cocoa butter alternatives. As of Oct. 14, cocoa prices rose to $5.88 per kilogram, up 1.05% from the previous day, according to data from Trading Economics.
While cocoa prices are leveling off, prices are still higher than the pre-2022 average of $2-3 per kilogram.
With continued higher costs, companies like Lindt and Nestle raised their prices. However, Hershey Co. will not raise prices for its Halloween-packaged chocolate, despite hiking its prices for the rest of its chocolate portfolio, per Associated Press.
