Halloween is right around the corner and Halloween Pop-Up Shops have begun sprouting up left and right. We define those types of shops as a temporary leasing of space for anything from a day to a year – though usually for about 6 – 8 weeks for Halloween Shops.
These short-term businesses usually rent space in a vacant storefront and quite often find relatively reasonable rent for temporarily occupying a space that might otherwise not be seeing any rental income. However, some national chain stores actually pay a premium.
For national chains such as Spirit Halloween and Halloween City, that concentrated selling time brings in big sales –even in New York City where the rents for retail spaces can top $79,000 per month, according to Christina Norsig, CEO of PopUp Insider, a firm that helps retailers locate and staff temporary shops. Those retailers and e-commerce merchants aren’t even as concerned about operating their profit margins because of the brand and name recognition they earn.
To further maximize sales, these seasonal retailers have also turned to the Web. It’s the #2 destination for shopping during the holidays, especially when consumers are discouraged by packed mall parking lots and crowded stores. Wide selections and overnight shipping mean that procrastinators can have their vampire fangs delivered to their door just in time for the big night.
The size of the market is one reason that Halloween is a solid business opportunity. Around 160 million Americans celebrate Halloween and that number seems to be increasing year over year. The National Retail Federation says consumers spent $6.9 billion on Halloween in 2016, while Canadians have become so wild about Halloween that they now spend more per capita on costumes, candy and décor than those in the U.S., with holiday-related spending that is second only to Christmas.
So now you know – those Pop-Up Shops are actually credible, seasonal businesses, operating in a substantial economic space.
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