Snow Sports Product Sales Records Strong Growth at Retail for 2007-08 Season to Almost $3 Billion

The snow sports products market grew by $280 million to reach $2.97 billion for the 2007.08 season, up from approximately $2.69 billion in all channels last season. Equipment sales were relatively flat in specialty shops and chain stores but increased by more than $40 million in online sales. Apparel sales increased by more than $100 million with snowboard tops and parkas selling very well in all channels.
Author:
Updated:
Original:

McLean, VA -- The snow sports products market grew by $280 million to reach $2.97 billion for the 2007.08 season, up from approximately $2.69 billion in all channels last season. Equipment sales were relatively flat in specialty shops and chain stores but increased by more than $40 million in online sales. Apparel sales increased by more than $100 million with snowboard tops and parkas selling very well in all channels. Kurt Widen, KJUS USA COO says, “The US market is challenging especially in these difficult economic times. However, snowfall is a great equalizer in our market, and early snowfall in the 07/08 ski season helped jump start sales in our segment. This along with strong sell through and continued growth in awareness of our relatively young brand positioned us well for the 08/09 order season where we saw a 27% increase over last year.”

Healthy sales of helmets, goggles and snowshoes led increases in accessories sales that grew by $64 million this season in specialty shops and online. “It's hard to imagine a better season in the accessories business. We sold out of helmets and our goggle supply was similarly tight thanks to a season where every region had record snowfall and every resort was open,” states Blair Clark, SMITH Optics, Sr. VP, Marketing and Sales.

Chain store sales were not measured in 2006.07, however, in the 2005.06 season, total chain sales reached $537 million and this season they increased to $616 million. Trending was used to estimate total chain store sales at $578 million for the 2006.07 season.

2007.08 Season's Trends

Twin Tips
Twin Tip skis sold well in every channel and more than 75,000 new pairs were sold this season. The most popular place to buy a new twin tip ski was in a specialty shop where the average price was $355.63. Almost 30,000 clicked online to buy their twin tips between August and March this season where the average price was slightly lower at $304.51 and online customers and specialty shop customers probably paid about the same amount for their twin tips once shipping costs were added into the online price. Fewer skiers purchased their twin tips in chain stores; just 6,300 were sold in that channel this season. Twin tips do not sell well as integrated systems; more than 95 percent are sold as flat skis with bindings sold separately.

Cross Country Equipment
This season's heavy snowfall created excellent conditions for cross country skiing as reflected by the 26% increase in cross country equipment unit sales. In fact, Nordic skiers purchased more than 114,000 new pairs of skis, 135,000 pairs of boots, and 107,000 cross country bindings this season.

Helmets
934,000 skulls have new protection this season as helmets sales reached record levels. Specialty shops sold about three quarters of all helmets purchased throughout the snow sports market this season at an average price of $81.68. Online customers paid an average of $70.47 for their new helmet and chain stores sold helmets at an average price of just $67.64 but fewer than 20% of the helmets were purchased there.

Snowboard Tops
In apparel, snowboard tops led the charge with more than $173 million in sales representing a 12% increase in dollars sold in the specialty channel and more than 142% gain in dollars sold in the Internet channel. However, specialty shops are still the place to shop, just 14.5% of all snowboard tops sold were sold online this season.

Snowshoes
The weather conditions were right across the country for snowshoeing this season and many headed outside wearing new snowshoes. Snowshoe sales topped 200,000 pairs this season, a 20 percent gain in units sold.

Sales by Channel
Specialty
The Specialty channel was the largest sales channel with $1.86 billion in sales, 60% of industry total. Apparel sales in specialty shops increased by more than 6% this season with snowboard apparel leading the way. Accessories sales increased by more than 7% as heavy snow drove helmet and snowshoe sales up significantly. Equipment sales in specialty shops were relatively flat this season but twin tip skis and cross country ski equipment flourished.

Internet
Sales in the Internet channel grew 75% in dollars this season. The Internet channel totals include sales made by companies that have no brick and mortar locations as well as the online sales made by specialty shops that sell on their shops' websites and record those sales separately from in-store sales. The dramatic growth in this channel represents more accurate measurement of these sales as well as the changing behavior of consumers and of retailers. Many Internet-only shops have their roots in catalog sales. These “clicks-only” shops formerly sold products by catalog (phone and mail order) before the Internet made catalog shopping even more convenient for shoppers who cannot, or will not come into a shop to buy products.

If there is one category in this high growth channel to highlight, it is equipment. While apparel and accessories sales grew by more than 40% each, equipment sales increased by more than 75% in dollars. Sales of alpine skis were exceptionally strong with 121% growth in units sold, that's more than 111,000 pairs of skis sold online. Flat skis, particularly twin tips sold well online with 138% growth in dollars sold. Adult bindings sales increased by 155% in dollars, and sales of boots did equally well with more than 75,000 units sold. Apparel sales increased by 37% in units led by parkas and snowboard apparel. Accessories sales also increased dramatically in this channel to $120 million.

Chain Stores
The Chain stores sold $616 million in snow sports equipment, apparel and accessories. End of season data on the top lines is compared to 2005.06 season data because SIA did not measure sales in chain during the 2006.07 season. Using simple trend lines, we can now estimate sales in this channel for 2006.07 at $519 million. Equipment sales were flat at $150 million this season but there were some notable exceptions; juniors' skis, poles, and boots sales, carry-over skis, boots, and bindings, cross country equipment, and randonee/AT equipment sold well in the chain stores. Apparel sales were up 16% in dollars over sales during the 2005.06 season, and accessories sales increased by 23% in dollars over the past two seasons.

SIA partners with Leisure Trends Group to provide reliable data about the snow sports market and about the people who work and play in the snow. The data contained in this press release and in the SIA Executive Market Summary for August to February snow sports sales is collected by Leisure Trends Group for the SIA. If you need additional information, contact Kelly Davis, Director of Research, at kdavis@snowsports.org.

SnowSports Industries America (SIA) is a not-for-profit trade association whereby competing on-snow product suppliers magnify their power, by working together, for the development of the on-snow sports industry. For more information, check out www.snowsports.org. SnowSports Industries America, 8377-B Greensboro Drive, McLean, VA 22102-3587. Phone: (703) 556-9020, Fax: (703) 821-8276, E-mail: siamail@snowsports.org

Related

SIA reports snow sports sales up 13 percent with $2.4 billion in revenue

In a besieged economy, the snow sports market is booming with $2.35 billion in sales representing a growth rate of approximately 13 percent over the same period last season. “The subprime mortgage crisis, the falling value of the dollar, increasing prices for consumer goods, ...read more

Snow Sports Set Billion Dollar Record in December

The snow sports market sold more than $1 billion worth of equipment apparel and accessories in December alone and reached $2.1 billion season-to-date. This is the first time in history snow sports sales have topped a billion dollars for sales in a single month. Sales through ...read more

Snow Sports Market Sees First Decline in Sales According to SIA Report

MCLEAN, Va. --The snow sports market contracted for the first time this season as recession-conscious holiday shoppers spent fewer dollars. "According to the Census Bureau the rest of retail trade is down 11% so considering that, the snow sports market is weathering this economic ...read more

SIA: Snow Sports Accessories More Than Just The Basic Essentials

MCLEAN, Va. – As already announced in May, overall sales for the entire winter sport market (including specialty and chain stores) were up 4% in dollars to $2.3 billion for the August 2005 through March 2006 period, according to the SnowSports Industries America (SIA) Retail ...read more

Snow Sports Break Another Sales Record in January

The snow sports market broke another sales record this January with more than $500 million in sales on the heels of more than $1 billion in sales in December. The market hit $2.6 billion for the season at the end of January; 16% higher in dollars sold and 10% more units sold ...read more

Snow Sport Breaks Record with $3.3 Billion in Sales

The snow sports market brought in a record $3.3 billion over the full 2010/11 season (previous highest sales record was $3 billion, set in 2007/08). Overall, snow sports sales were up 8% in units sold, and 12% in dollars sold. Leaner inventories kept prices strong throughout the ...read more

Snow Sports Market Stays Afloat as the Economy Sinks

MCLEAN, Va. -- While the overall retail market struggled to make it into the black after Thanksgiving, the snow sports market remained healthy with 3% growth according to SnowSports Industries America's (SIA) exclusive research. August to November snow sports sales surpassed $917 ...read more

Strong Pre-Season Snow Sports Sales Driven by Pent-Up Demand

Today, SnowSports Industries America (SIA) and Leisure Trends Group have released for the first time, SIA RetailTRAKâ„¢ numbers for August through September 2012, collected from the Point of Sale systems of more than 1,200 snow sports retailers. Pre-season snow sports sales ...read more

Bargain hunters drive August to September Sales Increases for Snow Sports Market

McLean, VA - Snow sports shoppers are willing to spend their money on snow sports equipment, apparel and accessories even when the overall economy is significantly down. August to October snow sports sales of $507 million were up 9% overall bolstered by very strong sales of ...read more