Sherper’s, the Wisconsin-based outdoor store celebrating its 90th anniversary, could be the only retailer in the country able to sell the latest products from Yeti, Patagonia, Sitka, Vuori, and other premium brands alongside $9.99 flannel shirts and a “Lost C” section of close-out and scratch-and-dent outdoor gear.
The three stores in Port Washington, Hales Corners, and Oconomowoc in Southeastern Wisconsin also stand out for their diverse mix, selling not only traditional outdoor gear for camping and hiking but also paddle, hunting, fishing, tactical, and military surplus.
Nathan Scherper, the fourth-generation owner and president of Sherper’s, believes the store’s wide selection fully embodies the chain’s tagline, “Everything for the Great Outdoors & More.”
He tells SGB Executive, “Pretty much anything that people are looking to do outside in Wisconsin, we’ve got something for them.”
Sherper’s Evolution Over 90 Years
Scherper said the merchandise approach, in part, reflects how the chain has evolved since it was founded in 1935 by his great-grandfather, Sam Scherper, as a men’s haberdashery, selling top hats, canes, and other formal wear, with a location in downtown Milwaukee.
The store shifted to selling military surplus clothing and gear after Sam’s sons (Donald and Boyce) returned from fighting in WWII and took advantage of the army and navy surplus that flooded the marketplace. Scherper said, “That’s where our value proposition started because all of that stuff was used gear that you could buy for pennies on the dollar and sell it for a large discount to our customers as well.”
The store also began selling farm clothing, paint and other staples to further its position as a community store while cementing its reputation as a place to buy hard-to-find goods at a strong value.
In the 1960s, Sherper’s technically entered the outdoor business when it started selling pop-up trailers. In the late 70s and early 80s, the push toward camping and hunting categories accelerated after Nathan Scherper’s father and aunt (Gary and Gale) joined the business. The product mix changes were similar to those made by other purveyors of army and navy goods at the time. Said Scherper, “That was a natural transition for a lot of the military surplus stores at the time because they were buying cots, tents, sleeping bags, and stuff from the military.”
Among the first outdoor brands carried by Sherper’s was Eureka, which had a military contract at the time for tents, as well as Columbia Sportswear. Scherper remarked, “There weren’t as many outdoor brands then as there are now.”
Sherper’s Merchandise Mix Today
Among Sherper’s top sellers today in the traditional outdoor apparel category are Patagonia and Kühl. L.L.Bean, which began selling its brand to select wholesale accounts a few years ago, recently opened up Sherper’s and has seen a “really good response so far,” according to Scherper.
Vuori, the California-based active brand, has been a hit with Sherper’s customers since the store introduced it a few years ago. Said Scherper, “Vuori is definitely one of those brands that, at first glance, Sherper’s and the brand may wonder about the fit and potential volume given we aren’t necessarily your typical lifestyle clothing outdoors store, but they are one of our fastest growing brands and proof that an electric product mix for an equally electric customer base can be a great thing.”
In hunting apparel, Sitka has been a core seller. In addition to Sitka, Sherper’s has recently added the First Lite technical hunting apparel brand as one of its first retail partners in the country, and the response has been strong.
In hardgoods, Yeti “has always been very good for us and continues to come out with some good, innovative things. They are a great partner in business,” said Scherper.
Old Town’s kayaks and canoes have also been a steady leader in paddle, and a brand Sherper’s has stocked for many decades. Said Scherper, “Obviously, there’s been a lot of ups and downs in the paddlesports industry over the last five to 10 years, but they’ve been a great partner of ours and still are very innovative.”
Other key brands include Alps Mountaineering, Baffin, Danner, Keen, Kelty, Malone, Merrell, Benchmade, Rothco, and WFS (World Famous Sports). Each of which has been a strong brand partner over the years, some dating back generations, said Scherper.
Overall, the mix is approximately 85 percent in-season merchandise, with the remaining 15 percent allocated to “Lost C,” a bargain section featuring last year’s styles, scratch-and-dent gear and overstocks.
“If you’re coming in for the latest and greatest new release from a brand, chances are we’ve got it,” said Scherper. “And if you’re coming in looking for something that’s going to be discounted or value, we might not have the exact item you’re looking for, but I can guarantee you’ll find a good deal.”
Similar to what can be found in other gear shops, the stores feature shop-in-shops from Yeti, Sitka, Patagonia, and Vuori backed by strong customer service. Sherper’s internal team designs many of the shops to embrace Sherper’s local spin.
“We’ll make them a little bit kitschier and kind of Midwestern dive bar looking, almost, but they elevate those name brands very well,” Scherper said.
The stores are known by fans for their “Lost C” discount sections that trace back to the company’s military surplus roots.
The Story of The “Lost C”
The “Lost C” section in the stores originates from Sam Scherper, who decided in 1935 to drop the “C” from the family name, just as he was opening the original location. The last thing Sam needed to buy to open his store was the sign, but he didn’t have enough money left to afford one that could fit all nine letters of his last name, so he dropped the “C”.
Scherper said the story has long served as a guiding principle for Sherper’s owners across generations around financial discipline that he believes has supported the longevity of the business.
“The lesson became that while it’s really easy to spend money as a business, a lot of times what looks like the brightest and shiniest isn’t always the most fiscally responsible option,” said Scherper. “So, I think, we’ve always kept true to that. What’s going to work might not be perfect, but it could save you a little bit of money.”
Scherper added that while Sherper’s has long sold surplus merchandise, the section was only rebranded to “Lost C” a few years ago because the story of the missing “C” resonated with customers. Said Scherper, “It’s allowed us to talk about the story and our tagline in that we offer some things that involve a little bit more of a scavenger hunt. What you find might not be the shiniest and brightest, but you’re going to find something that is going to fit that value proposition to you, even if it’s missing a letter.”
Sherper’s Broad Customer Appeal
Scherper believes Sherper’s has found success securing many trending outdoor brands, partly because the stores reach “smaller communities” in Wisconsin that those brands aren’t reaching. He also said his customer base has proven to attract enough outdoor enthusiasts willing to pay up for quality products.
“We’ve got a lot of different people who have a lot of different experiences with the outdoors,” said Scherper. “Some have been camping, hiking, hunting, or paddling for 40 years, know exactly what they want, and they want higher-end, real-quality gear. Some are just getting into it. We’ve got a broad range of customers with a broad range of discretionary incomes as well. We try to appeal to everybody in the community.”
He admitted that trying to offer something for everyone is generally seen as “taboo,” as opposed to the standard retail practice of targeting a narrow group of consumers. He learned about customer segmentation while working as a merchant at Abercrombie & Fitch in their corporate offices in Ohio for six years, before returning to his family’s business as president in 2015 to seek a more entrepreneurial challenge.
“They had a very specific idea of who they wanted as their customer for better or worse,” said Scherper of Abercrombie. ‘Abercrombie was an amazing education, and I worked with some of the best people in retail, but I think at Sherper’s, I’ve rebelled against that and said we are for everybody, at least within our communities. I think that’s what we’ve always tried to do. This strategy is not always the easiest to manage from a product assortment standpoint, but it works.”
He believes the wide range of categories offers more options for many of Sherper’s core consumers who are looking to shop local instead of at a big box store. Scherper said, “The same person that might work as an EMT during the week might be coming in to buy 5.11 and other tactical items, but then they’re going to the Grand Canyon hiking with their family that coming week and are buying Patagonia or some Danner boots.”
He also believes the broad range of prices holds appeal as some consumers are open to paying a premium for quality in certain categories but not others. Most people don’t fit in this perfect “demographic box”. Said Scherper, “For example. I love downhill skiing. If I were to spend $1,000 on a pair of skis, I don’t see that as crazy because I want something I know works really well. But I would probably never spend over $100 on a pair of casual pants because I don’t see value in that. I see that type of shopping pattern in our stores every day. For example, we have a big knife section, and a collector may come in and buy a $1,000 knife because they see the value there and might also buy $5.99 seconds of wool socks because that’s the value they put in their socks. It’s the same customer but different values across categories.”
90th Anniversary Celebration
Sherper’s will be celebrating 90 years in business with a three-day anniversary festival across its three store locations from October 10th through 12th, with live music, kids’ activities such as a bounce house, local food and drink, including a Sherper’s-themed Octoberfest brew, bags tournaments, and giveaways totaling over $30,000. A celebration is planned at each of the chain’s three locations on one of those three days.
“Brand partners have stepped up to help donate or subsidize,” said Scherper. “We’ve got a number of grand prizes planned for each day. We’ve got a kayak from Old Town, a kayak trailer from Malone and a paddle from Bending Branches that we’re going to give away at each of the store locations, and those together have about a $3,700 value.”
The first 400 customers spending $50 or more at each location will receive a commemorative 90th anniversary Yeti Rambler. Active-duty personnel and military veterans receive a military branch hat with any purchase from Rothco. The “Lost C” section will include some 90 percent off deals in honor of the anniversary.
Expansion Plans
Scherper does not expect to open stores in the near term, given the uncertainty surrounding tariffs and the overall economy. Long-term, if they were to expand, he envisions opening one or two more stores, as he sees value in maintaining a lean store base.
“Obviously, there’s a lot of positives to going to that 10 to 15 store level and there’s people out there that are having success with that,” said Scherper. “But, I think, if we got too big, we’d lose some of the things that make each store unique and keep ownership and employees close to the sales floor. Over the next couple of years, we’ll focus on the best version of ourselves with what we have and look for areas of growth that we already have within the company.”
Competition
Scherper believes Sherper’s biggest competitor these days is online sellers, whether from Amazon or in-store shoppers heading to a website of one of the brands Sherper’s carries to find a cheaper deal. Said Scherper, “Some of the brands that operate in the DTC space are really good partners that do a great job of supporting specialty, while others are not as good. That obviously becomes a factor when deciding which brands we want to work closely with to grow the business together.”
Scherper said Sherper’s has expanded its e-commerce business from about 1 percent of sales since he started in 2015 to a meaningful portion of their business by 2025, with the site currently able to ship worldwide and generally deliver next day to locals.
He said an REI has had a store nearby for over two decades, but he believes Scherper’s product mix has offset direct competition. The arrival of Fleet Farm, a regional farm store, about six years ago has put pressure on certain categories. The arrival of a Scheel’s location in Wauwatosa, just west of Milwaukee, set to open in 2027, could drive some traffic to Sherper’s stores but may also require some adjustments.
Scherper described himself as “very much a ‘control the controllable’ type person,” but is confident that Sherper’s will be able to pivot to any newer competitive challenges.
“I think with us being three stores, we can wake up tomorrow and decide to do whatever we want and do it pretty quickly,” said Scherper. “Working for a big retailer like Abercrombie during part of their brand transformation and seeing that take place over the course of a decade, makes me really appreciate the advantage we have as a small, nimble retailer. We can make some changes happen overnight, and many changes occur within a couple of months. I think as long as we’re willing to be nimble and react to those things, that’s our biggest advantage.”
Images/Video courtesy Sherper’s
