Elf on the Shelf was first introduced in 2005 by two sisters who wanted to create a new Christmas tradition that would bring families together and foster good behavior in children. The concept of Elf on the Shelf is that every family has a special elf who lives with them during the Christmas season. The elf is a playful and mischievous character who observes the children and reports back to Santa every night. As long as the children are well behaved, the elf will return every morning to continue its fun and whimsical antics.