SGMA: Wholesale Sales Fall 4.3% in 2009

 

“In many respects, the decline in sales in the sports industry was a mirror image of the struggles in the U.S. economy during the last 12-18 months,” said SGMA President Tom Cove.  “As the economy begins to improve, Americans will be more likely to spend more money on fitness equipment, sports gear, athletic clothing, and footwear.  Overall, sports participation remains strong in the U.S. though activities which are family oriented and low-cost-to-participate are attracting large numbers of participants.  This year could easily be a significant year of change for the sports industry as people are posed to play more and, hopefully, spend more.”

 

In sports equipment, SGMA reported that sales dipped 2.4% to $20.2 billion in 2009. Notable declines were seen in golf (down 11.4% to $2.5 billion); ski (-12% to $441 million); baseball/softball (-4.5% to $487 million); basketball (-3.9% to $342 million), tennis (-6.2% to $242 million) and paintball (-17.5% to $198 million). On the positive side, fishing was up 5% to $2.02 billion; firearms surged 21.8% to $3.1 billion, and martial arts product was up 8.3% to $323 million. Other categories gaining ground included volleyball (+3.8% to $58 million); lacrosse (+3.6% to $61 million); and ice hockey (+2.3% to $223 million).

 

Camping was up 0.9% to $1.7 billion while football inched up 0.3% to $497 million. For 2010, gains are expected for archery, boxing, camping, golf, ice hockey, lacrosse, martial arts, ski, soccer, volleyball and water sports.

 

SGMA said exercise equipment sales dipped 1.5% to $4.7 billion last year as a 0.4% gain in consumer sales (to $3.5 billion) was offset by a 7.0% decline in institutional sales (to $1.15 billion.) In consumer equipment, the big winner was ellipticals, rising 5% to $721 million.

 

Sales were down in treadmills (-5% to $827 million); home gyms (-14% to $199 million); and ab machines (-5% to $195 million). Sales of exercise machines were flat at $344 million. For 2010, notable growth is predicted for ellipticals, treadmills and free weights.

 

The trade association report indicated that sports apparel revenues were down 5% to $28.2 billion in 2009. Shirts/tops, the biggest category within the segment, was down 4.7% to $4.8 billion. Swimwear, the second largest, was off 3% to $2.4 billion. The steepest declines came from fleece/sweats, which was off 19.1% to $1.38 billion and licensed apparel, down 13.8% to $6.93 billion. Other declining categories included performance apparel (down 6.5% to $1.16 billion); outerwear (-4.6% to $1.1 billion), and team uniforms (-2.3% to $1.13 billion.) The only positive category was fitness apparel, up 0.5% to $315 million. For 2010, gains are predicted for swimwear, shirts/tops, shorts/skirts, pants, warm ups, fleece/sweats and apparel accessories.

 

The report suggested athletic footwear dipped 0.8% to $12.3 billion last year. The only gaining categories were running (up 6% to $3.35 billion); and outdoor/adventure (+4.0% to $603 million). Among other major categories, declines were seen in classics/originals (-5.0% to $1.88 billion); casual/fashion (-8.0% to $680 million); fitness/workout (-5.0% to $765 million); basketball (-5% to 786 million); and skate/surf (-2.0% to $896 million). Other notable declines came in soccer (-8% to $278 million); walking (-5.0% to $342 million); and golf (-3% to $255 million).

 

Kids was flat at $1.78 billion. For 2010, SGMA said fitness/workout, outdoor adventure, running, soccer, and walking are all expected to see wholesale sales increases of at least 4.0%.