SIA The Intelligent Partner - Summer 2007 - (Page 12)

T R E N DS | SE ASON W R A P | BY P E T ER K R AY | Want Instant Success? Just Add Snow An analysis of 2006-07 specialty store sales t was a Tale of Two Winters. Extreme weather from early season droughts in New England and California to nearblinding blizzards in the Northwest and Colorado made it crystal clear how wild ﬂuctuations in snowfall patterns can have a major impact on retail snowsports sales. Total US skier visits declined an estimated 6.9 percent according to the Kottke National End of Season Survey for 2006-07, falling to 54.8 million total visits from 58.9 million in 2005/06. Which meant that it came as a pleasant surprise when US retail sales managed to ﬁnish the season at $1.8 billion overall, down just one percent from the previous year. But those sales reﬂect a much different mix in product than they did in previous years. At the same time that record Rocky Mountain skier visits in Colorado and Utah combined for more than one-third of the total US ski market – Colorado notched a whopping 23 percent of the US overall ski business with 12.56 million total skiers – specialty retail saw an equally impressive shift in power from hard to soft goods sales. According to the SIA Executive Market Summary, “All specialty store snowsport apparel gained an impressive 8 percent in dollar sales, ﬁnishing the season with $623M. That increase helped offset an anemic season for equipment which ﬁnished the year with just $564M in sales, a 9 percent drop over last season. Equipment accessories dipped 5 percent in dollars whereas apparel accessories picked up 2 percent. ” I SOFT GOODS SURGE AS HARD GOODS FALL The weird weather’s late arrival in New England meant a marked downturn in hard goods sales, and margins, as retailers had to wait until after Christmas to make the majority of their ski and snowboard sales. SIA reports that overall, alpine skis fell 2 percent in dollars, snowboard equipment fell 13 percent in dollars and alpine ski boots alone saw a drop of six percent in dollars last season. But when the snow did come – typically right after New Year’s and then falling steadily all the way through April – it spurred a boom economy in apparel sales. According to SIA, insulated parkas jumped 19 percent in dollars, softshell tops were up 33 percent in units and ﬂeece tops were up 29 percent in dollars. 12 | SIA | T.I.P. | SUMMER 2007

Table of Contents Feed for the Digital Edition of SIA The Intelligent Partner - Summer 2007

Contents Word off the Slopes SIA Staff Contributors SIA Business SIA Board of Directors Greening the Biz Want Instant Success? Just Add Snow Out and About Day in the Life – Supplier Day in the Life – Retailer Day in the Life – Rep Products & Services Index to Advertisers

SIA The Intelligent Partner - Summer 2007

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