TRENDS
Venture Outside
A report from the Outdoor Retailer Show
on the growth areas for outdoor sports. Are you tapping this end of the sports
eyewear category?
By Erinn Morgan
It is an industry experiencing tremendous growth. Total retail sales of products in the human-powered outdoor recreation activities are greater than $17.8 billion, according to the ORCA Top Line report (ORCA is the trade association of the outdoor industry). Specifically, SnowSports Industries of America (SIA) reports 1999 retail sales of $2.3 billion. Bike industry sales are estimated at $5 billion. ORCA�s 1996 Outdoor Industry Distribution Study, the most recent report for this figure, reports $200 million in paddle sports sales.
Participation is also at an all-time high. In fact, at least once last year, more than 53 percent of Americans 16 and older�nearly 111 million people�participated in one or more human-powered outdoor recreation activities such as trail running, snowshoeing, kayaking, climbing, hiking, canoeing, or cross-country skiing.
The excitement about this business trend was evidenced full-force at the Outdoor Retailer trade show, held in Salt Lake City in January. Many sports eyewear companies were present at the show, taking advantage of this broad growth in outdoor product sales. Many introduced new and technically advanced eyewear to attract the retailers and consumers in this market segment.
Sporting News
To best understand the outdoor industry, it is helpful to first take a look at the sports that are fueling its growth. Last year, according to ORCA�s Participation Study (March 2000) there was moderate to high growth in some of the more physically demanding and higher adventure sports such as kayaking, climbing, and telemark skiing. There were, however, distinct declines in higher-participation sports such as camping, cycling, canoeing, and rafting.
ORCA�s report also points out some interesting demographics: �Of the 111 million Americans who participated in at least one of the 14 human-powered outdoor recreation activities identified in ORCA�s Participation Study, nearly half are women. Most participant households make between $40,000 and $80,000 annually, and many are at least partially college educated. Half have children under the age of 18, and within most activities more than half of the participants are married.�
Overall, the number of participants in the 16-to-24-year age group, and those 45 and up, dropped in 1999. However, there were increases in the middle age brackets which made up for some of this decrease.
According to the ORCA report, �While the overall number of enthusiasts participating in outdoor activities declined slightly in 1999, much of the growth in individual out door sports is being driven by Gen X enthusiasts who are looking for the same challenges and development opportunities that originally attracted their boomer parents to the outdoors.�
|
|
The Outdoor Retailer Show even had outdoor booths. |
Product Growth Areas and Trends
The outdoor industry is similar to eyewear in that independent specialty stores rule retail sales. And their business is growing. In fact, specialty stores advanced 13.1 percent last year, while sales in the chains grew only 3.4 percent. At the independent store level, sales of big ticket items such as tents, sleeping bags, and packs leveled off or declined.
But accessory sales exploded, ringing in a 37 percent increase of $51 million. Accessories, which accounted for approximately $190 million last year, made up a full 12 percent of all equipment sales.
Eyewear is certainly a major part of this accessory mix and many outdoor retailers�both independents and chains�have increased their presentations of sports sunwear within the past few seasons. With the growth of certain sports�such as snowshoeing and kayaking�eyewear manufacturers have also set their sights in these directions, creating sports-specific products for the niches.
It was quite evident at the OR show that there is definitely another area to watch�women�s sports products. Realizing that this savvy consumer isn�t willing to compromise and wear men�s clothing, equipment, footwear, and eyewear anymore, many manufacturers have launched women�s specific products. Tubbs snowshoe company, for example, introduced a model with women�s specific bindings (for sizing) and a frame which is tapered for an improved natural walking stride. Additionally, many eyewear manufacturers showed women-specific product, including the Guru from Native Eyewear and the Toaster and Izzy from Smith.
It was also quite apparent at the show that the women-specific apparel companies (among them Cold As Ice, Jade Sports, and Betty Rides) were quite successful. In fact, many of the trade journals at the show featured articles on marketing specifically to women.
Another trend was the advanced use of technical materials for clothing and footwear. As titanium is to eyewear, so is polypropelene, laminated and welded watertight zippers, and �Trail Grip� rubber (in North Face footwear) to outdoor products.
The general consensus is that consumers in the outdoor arena want technical advances, and they want to know they have the latest and most up-to-date products. This goes for sports eyewear as well. Technology specific to certain activities is the focus here, as well as better lens optics and tints.
These strong directions in the outdoor industry can certainly be applied to an optical retailer�s own sports eyewear assortment. By focusing on marketing to the people who are participating in the sports that are growing, dispensers can create new business with their customers who are snowshoers, kayakers, rock climbers, etc. It is just a matter of asking questions and targeting the sale.
A focus on your sporty female clients is also mandatory these days. And offering an assortment of women-specific goods, as well as the most technically advanced sports eyewear, will ensure a route to success.
Top ranked sporting activities by age group |
|||||
16-24 |
25-34 |
35-44 |
45-54 | 55-64 |
65+ |
1.
Basketball 2. Football 3. Volleyball 4. Swimming 5. Running/ 6. Jogging 7. Soccer 8. Baseball 9. Golf 10. Body- building/ Weight- lifting |
Walking Basketball Running/ Jogging Golf Hiking/ Back- packing Aerobics Cycling Softball Swimming |
Walking Golf Swimming Cycling Running/ Jogging Tennis Hiking/ Back- packing Softball Body- building/ Weight- lifting |
Walking Golf Swimming Fishing Running/ Jogging Cycling Aerobics Body- building/ Weight- lifting Tennis |
Walking Golf Swimming Cycling Fishing Running/ Jogging Boating Bowling Aerobics |
Walking Golf Swimming Exercising Cycling Bowling Fishing Tennis Hiking/ Back- packing |
Outdoor sports participation |
|||
Sport | Median Age | 1998* | 1999* |
Telemark Skiing | 37 | 1.3 | 3.8 |
Snowshoeing | 3 | 2.9 | 4.0 |
Kayaking | 37 | 4.2 | 5.7 |
Rock climbing | 26 | 5.1 | 5.7 |
Xcountry skiing | 41 | 8.8 | 7.6 |
Rafting | 34 | 9.7 | 8.8 |
Backpacking | 30 | 16.4 | 16.4 |
Trail running | 31 | 31.2 | 35.4 |
Bicycling (track) | 36 | 37.1 | 37.1 |
Hiking | 38 | 72.2 | 72.6 |
Bicycling (paved road) | 36 | 79.6 | 76.0 |
*Annual participation numbers in millions |