By Charlie Lunan
Colorado’s snow sports industry is about to find out a lot more about how the demise of Sports Authority is going to impact the upcoming season.
Christy Sports and Colorado Ski & Golf will conduct the bulk of their annual pre-season clearance sales between now and Labor Day. The events are designed to clear inventory left over from the prior season at discounts of up to 75 percent and clear the way for full-margin sales of 2016/17 merchandise.
For the first time in their history, they will not be competing against Sports Authority’s annual “Sniagrab” clearance sale. Sniagrab, or “bargains” spelled backwards, would have celebrated its 62nd anniversary this year.
On the other hand, the chain’s going-out-of-business sales injected an unknown quantity of carryover product — particularly apparel and accessories — into the market from March through July. It’s not known how much of the inventory ended up with consumers and therefore cannibalized annual clearance sales, nor how much will resurface at retail in season.
Retailers and analysts are less concerned about the impact on skis and snowboards, because Sports Authority focused on entry-level price points and was already transitioning out of winter sports by the time store liquidations started in March. However, there is concern about outerwear, base layers, socks, gloves, hats and helmets.
“That inventory will probably have some sort of impact on the market, probably negative,” said Kelly Davis, director of research for Snowsports Industry Association. “I think we will feel it early and will continue to feel it through the holiday. I’m very concerned about the Black Friday time period.”
During bi-weekly visits to a Sports Authority’s Denver clearance outlet this spring and summer, Christy Sports Vice President of Operations Dan Fox did not see many hardgoods worth buying. But he did hear reports of merchants buying merchandise by the pallet. Fox expects much of that inventory to surface online closer to winter.
In the meantime, the absence of Sniagrab should benefit Christy Sports’ “Powder Daze” clearance event, which kicked off August 18 at its Denver location and wraps up Labor Day Weekend.
Randy Bush, regional manager for Colorado Ski & Golf, said merchants buying for the retailer’s two-week “Ski Rex” clearance event have seen the best availability of winter apparel and junior ski gear in five years. Ski Rex runs September 2-18 at the retailer’s six locations, which are among nearly 200 winter sport specialty stores owned by Vail Resorts Inc.
Bush could not say how much of that was due to Sports Authority’s demise. He did call it a welcome development following four or five years of limited availability of junior skis, which Bush attributed to tighter management of rental fleets by Vail Resorts and other resort operators.
“It’s incredibly important to our business because it gets family out at an affordable price,” said Bush of the company’s Junior Trade program, which locks in the cost of equipping children with skis, bindings, snowboards, boots and poles for as little as $99 or $199 per season.
While anchored by a tent sale near Colorado Ski & Golf’s warehouse in Aurora, Ski Rex spans all six of the company’s retail locations. It partnered with Keystone Resort this year to add a “Kidtopia” play zone to its store in Park Meadows during Ski Rex.
“I will have much greater grasp of the outlook after this event,” Bush said.
Photo courtesy Colorado Ski & Golf/Ski Rex
