He appears in episode 63, when Lulu's family was hosting a party in their home.
He looks like a normal person, and wears a Santa outfit. He has small green eyes and brown hair.
He is seen on the streets trying to hand out store coupons as 'presents' to passerbys. Though he is trying his best, no one stops to take one. When someone accidentally pushes him, some of the coupons fall out and a passerby steps on one of them. He becomes depressed, weakening his Heart's Egg. Lulu eventually finds him and takes advantage of his weakened Heart's Egg by turning it into a Mystery egg.
Special Confusion Powers
When he Character Changes with his Mystery egg, he demands Lulu to take a present from him. Lulu does not want it, yet he chases her around. Lulu accidentally drops the present she had wanted to give to her mother during the party her family hosted. The Santa does not allow presents that aren't given by him, so he character Transforms with his Mystery Egg, turning into Santa Dream.
Character Transformation: Santa Dream
When he Character Tramsforms with his Mystery Egg, he becomes fatter, and has a complete Santa outfit, with a gold belt and white boots. He is also seen wearing a white beard as well, and his Santa cap has a big question mark on it, with the dot of the question mark on his forehead, just like all the other people who character transformed with their Mystery eggs. He 'confiscates' all presents that are not given by him by stealing all of them away. He does this by opening his bulky bag, which sucks in all presents that are not given by him. Miki sensed his Mystery Egg earlier on, informing Amu about his Mystery Egg being nearby. Amu finds him confiscating everyone else's presents, and Character Transforms with Ran, turning into Amulet Heart. Amu summons her Heart's Rod, and demands he return everyone's presents. He gets mad, and uses his bag to suck in Amu's Heart Rod. She summons her pom poms, which also get stolen by the Santa, but she summons more and more, until the Santa's bag becomes full. Amu talks to him, and he eventually realizes what he is doing is wrong. His Heart's Egg becomes a X-Egg, so Amu turns his X-Egg back into a Heart's Egg. Everyone has their presents returned back to them, and everything is settled.