NSGA logo Research Newsletter                Compliments of the National Sporting Goods Association
March 22, 2010 - Vol 12, No. 6
In This Issue
American Women Spend More than $3 Billion on Sports Logo Apparel
February CPI for Sporting Goods Continues Negative
Snow Sports Market Flat in January
Colorado Ski Visits Down
Firearms Sales Indicator Drops, Continues Downward Trend
New Footwear Brand Share Reports Now Available at Pre-Publication Pricing
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NSGA Research Newsletter highlights information from NSGA research as well as from other sources.

 

Thomas B. Doyle

vp/information & research

tdoyle@nsga.org

Ph: 847.296.6742 
American Women Spend More than $3 Billion on Sports Logo Apparel
Of the $3.1 billion that American women (age 16+) spent on sports logo apparel in 2009, which sports activities attracted the highest percentage of female purchasers? According to a new study released by the National Sporting Goods Association (NSGA), college football logo apparel attracted the highest percentage, garnering 48.1% of the almost $1.5 billion spent for that apparel. In second place attracting female purchasers was NASCAR, whose logo apparel attracted 45.6% of female purchasers.
 
Adult Americans spent more than $8 billion on sports logo apparel in 2009, according to the study. "Sports Logo Apparel Market 2010,"based on a consumer study of 20,000 U.S. households, provides dollar consumer purchases on sports logo apparel for 14 sports activities. It profiles the fans who attended or viewed the activity, the dollars they spent and the place(s) they purchased the apparel. In the study, adults are defined as Americans 16 years of age and older.
 
In total dollars spent, Major League Baseball grabbed more money than college football from the females' spending. MLB purchases by women totaled more than $800 million. Female purchases of college football logo apparel held the second position, garnering more than $700 million.
 
Across the 14 sports activities included in the survey, American women (age 16+) were responsible for 39.1% of the more than $8 billion spent.
 
In the report, individual sport activity tables (each 16 pages in length) are provided for: Auto Racing: Indy Car; Auto Racing: NASCAR Cup; Baseball: MLB; Baseball: Minor League; Basketball: NBA; Basketball: College; Football: NFL; Football: College; Golf: PGA; Hockey: NHL; Hockey: Minor League; Soccer: MLS; Tennis; Mixed Martial Arts: UFC, WEC, and WCL.
 
Within each table, both the number of purchasers and dollars spent on purchases are reported. Average dollars spent per purchaser is reported for each demographic (gender, age, household income and region of the country). Place of purchase is reported by stadium/arena, Internet/online, sporting goods store, department/discount store and other. Dollars spent is also reported by attendance at or viewership (television, Internet, mobile) of sports activities.
 
The 266-page report is marketed by NSGA from research prepared for SBRnet by Irwin Broh Research, a company nationally recognized for its work in the sports and leisure field. Price of the report to NSGA members is $290, to non-members, $340. For additional information, contact Dan Kasen at NSGA, 1601 Feehanville Drive, Suite 300, Mount Prospect, Ill. 60056-6035. Phone: (847) 296-6742 x108; dkasen@nsga.org; fax: (847) 391-9827; or visit the NSGA website, www.nsga.org.
 
February CPI for Sporting Goods Continues Negative
  
Mar 22 CPI Chart
With the spread (the distance between the CPI for Sporting Goods and the CPI for All Items)continuing to grow, the CPI for Sporting Goods continued its slide into negative territory for the fourth consecutive month. The index fell 4.4% in February, after declines of 3.6% in January, 2.3% in December and 2.0% in November. It had risen 0.3% in October. This is just the fourth month in negative territory since June 2008 when the CPI for Sporting Goods turned positive and had remained there since then. 
 
At 6.5%, the spread between the two CPIs is the highest it has been since February 2009. In that month, the spread hit 7.3%.
 
The CPI for All Items, which turned negative in March of this year and had remained there since, rose 2.1% in February after rising 2.6% in January, 2.7% in December and 1.5% in November.
 
For 2009, the Sporting Goods CPI averaged a 2.1% increase following a 2.3% increase in 2008. These are the first years since 2004 that the Sporting Goods CPI  has shown a positive change from the previous year.
 
For 2007, the Sporting Goods CPI averaged a 1.5% decline. For 2006, it averaged a 1.3% decline. For 2005, the decline averaged 1.1%; for 2004, 1.2%; for 2003, 0.8%; for 2002, 2.6%. The Sporting Goods CPI reached its negative peak in December 1999, when it was down 5.8% versus the previous year.
 
In the past five years (2009 versus 2004), the Sporting Goods CPI average has risen only 0.6% in the face of a 13.6% rise in the CPI for All Items. 
 
Snow Sports Market Flat in January
Snow Sports market season-to-date sales reached $2.26 billion in January with a less than one percent gain in dollars sold compared with August through January last season, according to the SnowSports Industries America (SIA) Retail Audit Report. Excluding carryover sales, only accessory sales showed a gain, up 2.3%.  Apparel sales fell 1.8% and equipment sales, 1.3%.
 
Despite significant gains in the South, declining season-to-date sales in other regions, particularly in snowboard equipment sold, resulted in flat dollar sales overall. In the South, sales rose 9.5%. In the Midwest, sales fell 3.8%, in the Northeast, 2.0%, and in the West, 1.4%.
 
In the Snow Sports Specialty channel, sales reached $1.33 billion, down 7% in units and up 0.3% in dollars.  Alpine ski equipment sales increased 2% in dollars. Carryover unit sales of alpine equipment fell 17% for skis and 10% for boots. Snowboard equipment unit sales were down 10% and dollars sold were down 8%. Sell through in specialty shops was at 52% for equipment, 57% for apparel items, and 51% for all accessories. Retail prices have increased about 7% overall in specialty driving better margins (1.4% growth).
 
In the Internet channel, sales reached $478 million for the August through January period. Although this channel continues to expand in dollars sold (up 7%), unit sales are down (-2%) and overall sales are leveling off after three seasons of hyperactive growth. Equipment sales increased most with 10% growth in units sold and more 13% growth in dollars sold. Equipment sales were led by the snowboard category that realized its only sales gain in the Internet channel. Snowboard equipment sales increased 16.5% in unit sales and 15.6% in dollar sales online August through January.
 
Internet sales include sales through "clicks only" establishments that have no brick and mortar shop for customers to visit as well as online sales in shops with a brick-and-mortar location and a commerce enabled website for their customers.
 
Sporting goods chain stores, with sales of $449 million, were hardest hit through January of this season with declining sales in every category of equipment, apparel and accessories. Overall, dollar sales were down 4%.  Equipment sales continued their nosedive, with a 17% decrease in units and a 9% decrease in dollars. Snowboard equipment sales were particularly hard hit, with 21% fewer units and dollars sold. Even the traditionally strong apparel sales in chains decreased in January with declines of 10% in units and 3% in dollars sold season-to-date. Sales of accessories declined 7% in units, although the chains realized a modest gain of 1.3% in accessories dollars sold through January.
 
The Leisure Trends Group conducts the SIA Retail Audit. Each season, Leisure Trends gathers snow sports market data between August 1 and March 31 from a representative panel of more than 1,200 snow sports retailers who provide sales data from their point-of-sale systems. The panel and the method for extrapolating the results out to the entire industry are based on a triennial census of snow sports retailers designed to accurately define the size and structure of the snow sports retail marketplace. For more information about SIA's Retail Audit information contact Kelly Davis, SIA's Director of Research, at KDavis@snowsports.org.
 
 Colorado Ski Visits Down

According to a report in the Denver Business Journal, visits to Colorado Ski Country USA (CSCUSA) resorts in January and February were down 4% in 2010 versus the same period in 2009. The figures were released March 18 by the trade group, which represents 22 ski areas.
 
The announcement came one day after Vail Resorts Inc., which owns four resorts in Colorado and one in California, said that its skier visitations are up just 0.4% for the season-to-date through March 7. Vail Resorts ski areas - Vail, Beaver Creek, Breckenridge and Keystone - do not belong to CSCUSA and are not included in its data.
 
For the season to date, skier visits are down 2% at CSCUSA resorts.
 

Firearms Sales Indicator Drops, Continues Downward Trend
NICS Chart 2
Continuing a downward trend began in November 2009, background checks for firearms fell again in February, according to data from the FBI's National Instant Criminal Background Check System (NICS). The system showed background checks on the sale of firearms fell 1.3% in February when compared to February 2009. In February 2010, 1.24 million background checks were performed; in the same month in 2009, 1.26 million.
 
Background checks had fallen 7.8% in January, 7.6% in December, and 20.0% in November. The four declines follow a small 4% increase in October and a stronger 12% increase in September. Background checks rose 12% in August, 8% in July, 18% in June, 16% in May, 30% in April and 29% in March.
 
Year-to-date 2010 background checks number 2.36 million, down 4.5% from 2.47 million year-to-date 2009.
 
The unprecedented rise began in October 2008 and reached a record 1,529,635 requests for background checks in November 2008, a 42% jump over the previous November. For 2009, total background checks numbered 14.0 million, up 10.4% from 12.7 million in 2008.
 
FBI background checks are required under federal law for all individuals purchasing firearms from federally licensed retailers and are considered a strong indicator of actual sales by industry experts.
 
 
New Footwear Brand Share Reports Available at Pre-Publication Pricing
The new 2009 NSGA Footwear Brand Share reports are now available at pre-publication discounts.  Reports for Spring/Summer products will be available in February; for Fall/Winter products, in March.
 
Each footwear brand share report shows product sold by type of outlet, retail price range, major geographic regions and household income. It includes data on age and gender of major user. Reports include graphs showing year-to-year changes. The brand share data is based on a representative sample panel of 40,000 households. This panel is maintained by NFO, one of the most respected research companies in this field.
 
Types of outlets covered in the report include: sporting goods stores, specialty athletic footwear stores, specialty sport shops, pro shops, discount stores, department stores, family footwear stores, on-line/Internet, mail order, factory outlet stores and other outlets.  .
 
Separate reports are available on 17 categories of athletic and sports footwear. Although listed separately in the questionnaire, "gym shoes/sneakers" and "fashion sneakers" are integrated in a single report. In that report, the two categories are broken out separately.
 
For purchasers of two or more footwear brand share reports, an overview report of the footwear market will be included at no additional cost. The overview integrates all footwear categories except Boat/Deck, cycling, golf, hiking, hunting, skateboard, toning, wrestling and sports sandals. This report represents the responses of more than 5,000 households.
 
For a listing of brand share reports available and their cost, contact NSGA Director of Information Services Dan Kasen at dkasen@nsga.org or 800-815-5422, ext 108. 
 
For a full description of NSGA research available, go to the NSGA website, www.nsga.org, and click on Information Center & Statistics. NSGA research reports are available to purchase on the NSGA website or by contacting Dan Kasen in the NSGA Research Department, (847) 296-6742, Ext. 108; e-mail: dkasen@nsga.org.
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