The story was inspired by a family tradition that started with Carol Aebersold when she was a child, in Oak Ridge, Tennessee,[1][2] and which she later carried on with her twin daughters, Chanda Bell and Christa Pitts, in Georgia.

Once everyone goes to bed, the scout elf flies back to the North Pole to report to Santa the good and bad activities that have taken place throughout the day.

[citation needed] The Atlantic columnist Kate Tuttle calls The Elf on the Shelf "a marketing juggernaut dressed up as a tradition", whose purpose is "to spy on kids".

"[10] Writing for Psychology Today, David Kyle Johnston calls it a "dangerous parental crutch", akin to what he terms the "Santa lie".

[14] Professor Laura Pinto suggests that it conditions kids to accept the surveillance state and that it communicates to children that "it's okay for other people to spy on you, and you're not entitled to privacy.

"The elf is a visual cue to act nice", Judith Tellerman, clinical professor of psychology at the University of Illinois College of Medicine, tells Yahoo Parenting.

[19] Scenarios shared online included the elf using toilet paper to swing from ceiling lights or filling a sink with hot chocolate and marshmallows.

[14] In contrast, Common Sense Media called the special "a great addition to families' holiday TV traditions", although they warned parents about the consumer-driven nature of the story and made note of its lack of educational value.

[22] On October 9, 2020, multiple media outlets reported that Netflix, in partnership with the Lumistella Company, was developing "series, movies, and specials" based on The Elf on the Shelf.

[23][24][25] The content would be produced by Roy Lee and Miri Yoon, "including original live-action and animated series and movies for pre-school audiences as well as families".

[26] On October 3, 2023, TheWrap reported that Food Network had developed a reality television show titled The Elf on the Shelf: Sweet Showdown, which premiered on November 19, 2023.

[27] Hosted by Duff Goldman, it follows "six teams of what the series is dubbing Sweetmakers for the chance to win $25,000 and the title of the Ambassadors of Confectionery Concoctions.

[34] Other rhyming jokes became popular in internet memes in 2017,[35] after a Tumblr user named "dankmemeuniversity" shared an image of an action figure of Ash Ketchum from Pokémon in a trash bin.