NEW YORK — With US consumer confidence hitting historic lows and inflation squeezing household budgets, mainstream retailers across the country are facing a brutal squeeze. Yet, against all economic logic, one niche sector is expanding rapidly in and around New York City: the humble neighborhood candy store.
It is a phenomenon driven by what economists sometimes call a “pocket-change luxury” the idea that when people can no longer afford big-ticket items, they pivot to small, inexpensive comforts to lift their spirits.
The “Lipstick Effect” for the Sweet Tooth
Mitchell Cohen, the third-generation owner of Economy Candy on Manhattan’s Lower East Side, knows this economic trend better than anyone. His store, packed wall-to-wall with vintage sweets and international treats, is currently thriving despite the broader retail slump.
“The dollar isn’t going as far these days. Inflation, uncertainty, all that—but there’s always room for candy.”
Mitchell Cohen, Owner of Economy Candy