Heading into the upcoming Grassroots Connect in November, Grassroots Outdoor Alliance (GOA) retailers reported a flattening of overall sales in the trailing 12 months prior to September, in what the specialty retailer organization is calling “an expected return to earth” after back-to-back record growth seasons in 2021 (+32 percent) and 2022 (+11 percent). Within those numbers, 32 percent of Grassroots retailers are reporting year-to-date (YTD) growth of more than 3 percent in 2023, while 46 percent are showing a decline of more than 3 percent for the YTD period.
In addition to mixed sales results, inventory issues are also unresolved, according to a statement from Grassroots.
While manufacturing and buying behaviors have largely normalized from the mood swings of the pandemic, impacts of past oversupply are still being felt in the marketplace and caution is in the air as the outdoor sector readies for the transition away from usage of PFAS beginning in 2024.
“Most of what we’ve encountered in the last six months are stories of mixed success and outlook,” said Gabe Maier, president of GOA. “For instance, the iconic shop Midwest Mountaineering is closing its doors after 53 years in business, while other retailers are having record growth, opening new doors and bringing new energy and enthusiasm to the table. At Connect, we’re expecting to see a substantial focus on pre-season planning conversations as both retailers and brands attempt to find balance.”
Grassroots Connect, the twice-annual buying show of the GOA, returns to the Kansas City (MO) Convention Center next month, gathering the outdoor sector’s leading brands and independent specialty retailers in the midst of a season marked by mixed business indicators.
Slated for November 5-9, Grassroots Connect will welcome 409 retailer buyers from 145 independent specialty stores as they engage with 190 total brands (123 on the main floor and 68 in the Discovery Marketplace) throughout more than 9,500 pre-scheduled appointments, as well as a full slate of education and networking events.
One factor contributing to optimism ahead of Connect is news about broader ownership trends within the group. According to a September retailer survey, 10 percent of Grassroots retail stores have successfully moved to new ownership in the past two years, and 11 percent of the membership is anticipating opening new doors in 2024.
“There’s a new generation of retail ownership that’s slowly and steadily moving into leadership roles within the Grassroots community,” added Dana Howe, vice president, Grassroots Outdoor Alliance. “Those stories don’t always get all the media attention they should because they’re happening behind closed doors, but they’re an important indicator of how these businesses are perceived as valuable long-term assets at the local business level.
Grassroots Connect will begin on November 5, with exhibitor move-in. Education Day and will be followed by four days, November 6-9, of pre-scheduled show meetings, lunchtime learning sessions and evening special events. For more information on Grassroots Connect and the show schedule, go here.
Photo courtesy of GOA/Jason Domingues
