Costume stores around ASU felt the effects of the recession but still had strong years, capitalizing on consumers choosing costume parties over more expensive activities.
Doug Fielder, owner of Fantasy Costumes on South McClintock Drive, said the Halloween season makes up 50 percent of his Tempe costume business’ annual rentals and sales, and after this Halloween, business is good.
Fantasy Costumes’ rentals and sales have increased every Halloween season since October 2007, a few months before the U.S. entered a recession, Fielder said.
“It’s increased so much [this year] that I had to bring on help,” he said. “The economy has no effect on me and business keeps on getting better and better.”
Fielder said one reason his business might be improving is that people are traveling less because of the economy and are instead finding cheaper things to do for recreation.
“They’re staying at home,” he said. “They’re finding things to do at home. Therefore, a lot of parties.”
Dennis Hoffman, a professor of economics at ASU’s W. P. Carey School of Business, said businesses that depend heavily on specific seasons actually fare better than average retailers during a recession.
“People need a release and holiday parties can offer one,” he said in an e-mail.
Holidays are a big deal for businesses because retailers really push them, Hoffman said.
“Retailers spend a lot of time marketing Halloween, Valentine’s Day, Mother’s Day and Father’s Day,” he said. “The holidays have been folded into the overall annual marketing plan.”
But this doesn’t mean these types of businesses don’t go untouched by the effects of the recession, Hoffman said.
“I am sure they are feeling some degree of pressure,” he said, adding that regular merchandisers, such as Wal-Mart, put additional pressure on these stores by pushing holiday merchandise.
Robert Sanchez, a business exploratory sophomore, did his Halloween shopping at Easley’s Costumes and Fun Shop on West McDowell Road in Phoenix.
Sanchez said businesses that depend on Halloween were probably affected by the recession just like most other businesses, but he said he thinks they probably still had a good year.
“I think they might make it up in volume and sell more of the cheaper costumes rather than people that buy the big-ticket type of costumes,” he said. “It’s definitely not going to be a bad year for [these businesses] — at least for this particular holiday, it’s not going to be too bad.”
Sanchez said Halloween is a good time for people to get together and stay home.
“You can have people at your house — it’s less expensive,” he said. “People … would rather go hang out with their friends than go party somewhere and spend $100 on a bar tab.”
Reach the reporter at salvador.rodriguez@asu.edu.
