My MBA Career: The Lucrative Business of Halloween Haunted Houses

Last Updated on October 18, 2023 by Robert C. Hoopes

Title: Haunted House Attractions: Costly Ventures with Potential Profitability

Word Count: 314

Investing in a haunted house attraction can be a costly endeavor, requiring a strategic location, engaging storyline, skilled labor, quality materials, special effects, and a dedicated staff. These attractions have become a lucrative business in recent years, offering exhilarating experiences for thrill-seekers during the Halloween season.

Blood Manor, an iconic haunted house in New York City, recently invested a staggering $1 million to refresh its horror-filled attraction. With a team of 125 to 135 employees during the Halloween season, Blood Manor spares no expense in delivering hair-raising scares to its visitors.

But it’s not just major cities that embrace the haunted house trend. Small businesses like Phillips Farms in North Carolina also recognize the financial potential of these attractions. They invest between $25,000 and $50,000 to create their Halloween experience, employing upwards of 70 staff members. These haunted houses offer a unique entertainment option for local communities and drive economic growth.

Even charity attractions are not exempt from the financial commitment required to create a successful haunted house. Scare for a Cure in Texas, a volunteer-run haunted house, spends roughly $20,000 to curate a terrifying experience while giving back to the community. This highlights how the Halloween industry holds possibilities for both profit and philanthropy.

It’s important to note that haunted houses rely on a short window of time to generate revenue, making them susceptible to risks such as adverse weather conditions and unforeseen events like the COVID-19 pandemic. The pandemic has forced many haunted attractions to temporarily close or alter their operations, impacting their profitability and survival.

However, despite the uncertainties surrounding the 2023 season, the National Retail Foundation remains optimistic. They predict that Halloween revenue will exceed a massive $12 billion, indicating the resilience of this industry and its ability to bounce back from challenges.

Haunted house attractions continue to captivate audiences and provide thrilling entertainment options during the Halloween season. While they require significant financial investments and face various risks, the potential for profitability remains high. As the Halloween industry evolves and adapts to changing times, haunted houses are poised to continue making unforgettable experiences for visitors while contributing to local economies.