Jackson Kayaks new retail concept is primed to bolster the companys reputation for innovation both on and off the water. At the pinnacle of the three-tiered approach to dealer sales is a Super Store concept that is already proving its validity in the marketplace. The second tier, a Preferred Dealer partnership, is also sparking interest in the retail community for its dealer-centric flexibility.
Barely over one year old, Jackson Kayak is already the author or an unbelievable success story in the whitewater kayak market. According to the Leisure Trends Group's paddle sports retail tracking data, Jackson Kayak went from zero sales to the number eight ranking in market share in 2004. Leisure Trends year-to-date 2005 market report shows Jackson Kayak ranks fourth. Founder Eric “EJ” Jackson expects to close out the year in third and has his sights set on the top ranking. “Going from not even on the charts to being in contention for third place is almost unheard of in the outdoor industry,” Jackson pointed out.
Newly formalized sales programs are expected to propel Jackson toward his goal. The JK Super Store is defined as a store that displays the entire Jackson Kayak line-up, including having demo boats, while carrying only the Jackson Kayak brand. The results of the first JK Super Store speak to the success of the concept. Valley Mill Camp outside Washington, DC piloted the Super Store in May 2004 when it added retail operations to its 50-year success story founded on multi-sport summer camps and kayak school. To date, Valley Mill has sold 280 Jackson whitewater boats at full MSRP, has already sold more retail boats in 2005 than in all of 2004, and is leading the North American sales charts so far in 2005.
Late last month, a second store signed onto the Super Store concept. High Country Outfitters in Atlanta, GA became the second JK Super Store when owner Bubba Sloan approached Jackson about “becoming a player” in the highly competitive whitewater market around Atlanta. The success of the concept was affirmed when Sloan sold four new boats and got customer commitments for another five during the grand opening of the Super Store. Jackson predicts that High Country will have to reorder as many as 12 boats after their first week. In Sloans own words, “We havent had this much excitement about whitewater in many years! Our staff is pumped, and we saw many of our old customers show up that havent been through our door in a long time, let alone, buying new kayaks.”
An industry veteran, Jackson works with buyers like Sloan to first determine whether market conditions are favorable to become a JK Super Store. Optimal conditions include the presence in the territory of other retailers carrying multiple brands and the desire of the retailer to gain a differentiating competitive advantage. “The Super Store designation gives the retailer a single, high demand line to build their whitewater business on and not have to worry about the store down the street,” Jackson said. “That translates to fewer lost sales and little or no pressure to discount.”
Jackson added that any dealer that believes in the Jackson Kayak brand will improve their profitability by at least considering the Preferred Dealer program. Best-suited to destination shops that need to offer a selection of kayak brands, the Preferred Dealer partnership gives participating dealers financing of their display models (one of each model, total of 12 boats), demos, and additional stocking boats with a due date of December 15.
This represents an investment by Jackson Kayak of 24 or more boats into the dealership in exchange for the best presentation of the product on the showroom floor. Jackson will also protect the Preferred Dealers territory by giving them a geographically generous market to sell to without a competing Jackson Kayak dealer. Tennessee-based Rock Creek Outfitters, is the first to sign on to the Preferred Dealer program and early indications are that a majority of current US Jackson Kayak dealers will opt into the Preferred Dealer program. Those who dont opt into the Super Store or Preferred programs can still remain Standard Dealers.
