Halloween spending will hit a record $13.1 billion this year, per the National Retail Federation (NRF). That’s up nearly 12% YoY, and well above the previous record of $12.2 billion in 2023. The healthy increase in Halloween spending reflects consumers’ growing excitement around the holiday, and retailers’ concerted efforts to cater to it. At a difficult time for retail spending, companies should take note of shoppers’ willingness to spend big on items that get them into the holiday spirit, and carry that enthusiasm forward in their assortments and messaging for the rest of the year.

Retailers are stretching traditional holiday shopping periods into longer seasons and creating new shopping moments throughout the year, as consumers become more strategic about their spending and retailers seek to drive consistent traffic.

Starbucks is taking a different approach to its much-hyped Pumpkin Spice Latte this year. Rather than pulling the launch forward, as it has done for the past several years, the drink will make its debut on August 26—four days later than in 2024, and the PSL’s latest launch date since 2022. Delaying the launch slightly could build excitement over Starbucks’ fall menu, and encourage customers to visit more often once the PSL hits stores. The move might also lift sales for Starbucks’ grocery assortment—especially given the current popularity of at-home coffee brewing—which could in turn help offset the company’s in-store softness. Still, the enduring popularity of the PSL alone won’t be enough to lift Starbucks out of its slump.

The trend: Walmart has begun rolling out “Summer Frights” Halloween displays in about 1,000 stores across the US, featuring quirky early-season items like watermelon jack-o’-lanterns and ghost plushies in Hawaiian shirts. Our take: Walmart is smart to embrace offbeat retail moments like Summerween. While consumers are cutting back on discretionary spending, they continue to splurge on seasonal celebrations like Halloween and the holidays. Halloween alone has become a major retail event, with spending hitting $11.6 billion last year—a 31.8% increase from pre-pandemic 2019. Summerween pulls some of that spending forward and gives budget-conscious shoppers a playful reason to open their wallets—even if they’re feeling spooked by the economy.

The news: Michaels is getting a head start on the spooky season. The arts and crafts retailer began stocking its shelves with Halloween merchandise this past Friday, marking its earliest-ever rollout of themed items. Our take: Michaels is betting that even as consumers pull back on discretionary purchases, they’ll keep splurging on Instagram-worthy seasonal décor—especially if they can get it first. From black rose wreaths to candy-colored pumpkins and disco-themed skeletons, the early drop positions Michaels to win over shoppers eager to get a head start on Halloween.