The Golf Report: February Hardgoods Sales Grow on Clearance

Sales were strong at both full line and Internet/catalog retailers, but were slightly offset by declines at club/mass retailers. At full line sporting goods retailers, golf sales increased in the high-teens in dollars, with a mid-singles increase in average selling price.

 

Internet/catalog retailers, which saw a low-20s increase in dollars sold, also saw a sharp decline in average selling price. This dichotomy could signal a burgeoning trend as brick and mortar retailers capture the at-once sales of golfers getting in early season rounds, while Internet retailers pick up the dollars of customers looking to find the best deal available.

In a similar vein to the at-once business suggested by the ASP movement on a channel basis, the sales trends show a beginning golfer, or at least one getting back into the game again, as boosting both sales and average selling price through purchases of Starter Sets.

 

Though overall ASP improved in the high-singles, each individual category of golf hardgoods products, except for Accessories, saw average selling price decline. Sales of Starter Sets more than doubled for the month, while general Sets sales improved only mid-singles. Both categories saw ASP declines.  TaylorMade had the top selling set for the month with their RAC O/S Steel Irons.

Balls sales improved in the high-singles for the month in terms of dollars sold, but saw dollar sales increase at half the rate of units. Titleist’s ProV1 was the top selling ball at retail for the fiscal month.

Hybrid sales decreased in February, down low-teens, as Fairway Woods sales improved in the low-singles. Within Hybrids, only the 5 Hybrid saw dollar sales improve for the month as a result of more vendors taking the category further down the product line. In Fairway Woods, mid-singles growth in 3 Woods more than offset a decline in 4 Wood sales, which were likely, and will likely continue to be, cannibalized by Hybrid sales. TaylorMade had the top three best selling Hybrids for the month, while Nike’ Sasquatch Squared 3 Wood was the top selling Fairway Wood.

Driver sales increased in the double-digits for February in dollars, but average selling price declined high-teens. The month appeared to be a clearance period for retailers as the top seller board concentrated around clubs that had a sharp decline in ASP from their original sale price. Nike’s Sumo SQ was the top selling driver for the month, though that club’s ASP dipped below the $200 mark. TaylorMade’s R7 was the second best seller, though also with an ASP below $200.

Accessories sales increased in the low-singles for the month on a high-singles decline in units. Gloves sales increased in the high-singles with a  slight ASP improvement. FootJoy’s Weathersoft glove was the top selling Golf Glove in February, benefiting from the hazardous, cold weather often faced in the early season. Travel Covers, sold to golfers heading for warmer climes, and Practice Aides, for the listless golfer ready to get back outside, also posted increased sales and average selling prices for the month.
 

Nike and adidas both picked up market share in dollar terms for the month, coming at the expense of FootJoy. However, FootJoy’s men’s GreenJoy in white and brown was the top selling golf shoe for the month. Sales were strong at both full line and athletic specialty retailers, but declined at family footwear and mid-tier department stores, likely due to less concentration on the category by these retailers.

Whether considered the beginning to the new season or the tail of the last, February offers a ray of hope for the year ahead. With retailers reporting sales gains on mostly last season’s product, the market will have to wait for participation results to begin trickling in to see if there is any correlation. However, paired against the tough results reported at retail in general, as well as with the more or less dire mood espoused by much of the market about the economy, any sales gains, let alone strong sales gains have to be a good sign.