PHOENIX (AZFamily)<\/b> \u2014 As Halloween approaches, local businesses in Phoenix are dealing with more than just the usual seasonal rush. <\/p>\n
Rising costs from newly enforced tariffs are creating challenges for store owners and shoppers alike, and some say the scariest thing this season isn\u2019t in the costume aisle, but on the price tag.<\/p>\n
Jeremy Veal, owner of Evil Izzy\u2019s Haunted Emporium in Phoenix<\/a>, says this year has brought financial uncertainty for his store. <\/p>\n \u201cIt\u2019s scary. It really is,\u201d Veal said. \u201cYou know, it\u2019s one of those things where the future is a little bit uncertain as far as what it\u2019s going to look like next year.\u201d<\/p>\n More than half of the store\u2019s inventory is imported from China, and the impact of the tariffs increased under President Donald Trump is now hitting hard. <\/p>\n For Veal, this season marks the first time the store has felt the full effect. \u201cIt was a sticker shock,\u201d he said. \u201cWe saw the price. We were like, \u2018Oh my gosh, we\u2019ve got to bring it down.\u2019\u201d<\/p>\n According to Veal, the cost of imported goods rose by about 20%. While the store has tried to absorb some of the increase, the higher wholesale prices have pushed costume prices to the brink.<\/p>\n \u201cIf we were to sell at full retail price based on the wholesale price that we got, they would probably be about $100,\u201d Veal explained. \u201cWe\u2019ve got that dropped down to about $60\u2013$65.\u201d<\/p>\n All this comes at a time when Halloween spending is expected to hit record levels. The National Retail Federation reports that shoppers across the U.S. are projected to spend an average of $114.45 per person, about $11 more than last year.<\/p>\n Still, for local businesses like Evil Izzy\u2019s, the increased demand doesn\u2019t necessarily offset the rising costs. <\/p>\n Retailers are now faced with balancing competitive pricing against shrinking margins, all while trying to give customers the Halloween experience they expect.<\/p>\n \u201cWe all work together to make sure we can get through these tariffs, so we don\u2019t close down,\u201d Veal said. <\/p>\n See a spelling or grammatical error in our story? Please click here to report it<\/a>.<\/p>\n