The legend is part of a centuries-old Christmas tradition in Germany, where Christmas celebrations begin in early December. Krampus was created as a counterpart to kindly St. Nicholas, who rewarded children with sweets. Krampus, in contrast, would swat "wicked" children, stuff them in a sack, and take them away to his lair.

Unlike North American versions of Santa Claus, in these celebrations Saint Nicholas concerns himself only with the good children, while Krampus is responsible for the bad. Nicholas dispenses gifts, while Krampus supplies coal and the Rute.

The creature and St. Nicholas are said to arrive on the evening of December 5 (Krampusnacht; “Krampus Night”). While St. Nicholas rewards nice children by leaving presents, Krampus beats those who are naughty with branches and sticks. In some cases, he is said to eat them or take them to hell.

While preparing for a busy Christmas, Santa Claus discovers that all of his elves and his wife have turned into zombies after one of the infected elves dies following a fit of rage. He manages to kill them all, but is then forced to fight against Krampus.