Halloween is proving to be all hubble and bubble, no toil and trouble for the Little Potion Co, which has defied broad economic uncertainty to record year-on-year sales growth this spooky season.
The Little Potion Co, founded by sisters Jacinta and Alicia Evans, offers kid-sized kits filled with sparkling and bubbly ingredients, miniature cauldrons, and instructions on how to create a ‘magic’ concoction at home.
The company combines non-toxic ingredients like bicarbonate soda and citric acid with biodegradable glitter, giving children and watchful parents the chance to rustle up their own ‘potion’.
Ingredient and instruction cards are partnered with written affirmations, with some kits focused on mindfulness and resilience for young readers.
Speaking to SmartCompany, Jacinta Evans said the Smart50 Retail Award finalist has seen significant sales growth compared to 2022.
“We’ve seen a huge demand for it this year with the growth of over 160% on our Halloween products this year,” Evans said.
The enterprise represents a best-case scenario for small businesses this October, which are not only subject to harsh economic pressures, but the ability of bigger competitors to capitalise on Australia’s growing appetite for Halloween gifts, toys, and celebrations.
New data from the Australian Retailers Association and Roy Morgan states that Australian spending on Halloween-related items and activities will reach $490 million in 2023, marking a 14% jump from 2022.
Among those planning to celebrate, 49% plan to spend on costumes, 45% want to participate in trick-or-treating, with more than a third hoping to stock up on lollies and decorate their homes, respectively.
“Halloween is a great chance for Australians to let their hair down and partake in some spooky silliness during this challenging economic period,” said Australian Retailers Association CEO Paul Zahra.
“It’s also important for retailers to build sales momentum in the run-up to Christmas.”
Major retailers like Coles, Kmart, and even Bunnings are delving into the Halloween market, offering local consumers thousands of costumes, toys, and decorations unimaginable in Australia even a decade ago.
But small businesses can capitalise on what those big businesses aren’t doing, Evans said.
“Parents like the idea of Halloween products that are interactive and can still be enjoyed at Halloween time, without having to offer candy or lollies to their children,” she said.
“I think we are seeing a huge move in the small business space to be offering Halloween-themed products that aren’t as disposable [as those] you see in the larger stores,” the potion-master continued.
“Small businesses have a more eco-conscious approach to Halloween, creating more heirloom-style products that can be used and celebrated with year on year.”
Looking beyond the spells being cast on Tuesday, Evans said Australian small businesses should seriously consider the emergence of Halloween as a recurring seasonal event in Australia.
“These days with the rise of social media in children’s lives, we are seeing less of a disconnect between Australia and the US, that we can’t see changing in the future,” Evans said.
“We are becoming more of a global society so celebrations are becoming more universal… and what child doesn’t want to celebrate a trend that has costumes and candy?”
Senior Business Journalist
Focused on the small business sector, David’s work covers the political, regulatory, and economic issues facing Australian entrepreneurs. Prior to joining SmartCompany, he was a reporter for Business Insider Australia. You can follow him on LinkedIn.
