Overview of the Outdoor Industry
What Is The Growth Potential Of The Outdoor Gear Market?
At a projected CAGR of 6.1% from 2021 to 2030, the global outdoor gear market is expected to grow from USD 50770 M. in 2020 to 77470 M. by 2030.
In fact, the outdoor gear industry, as one of the leading businesses, will have the most influence, the most market share in 2023, the best reputation, or the highest revenue in their field.
This means that this could be a big opportunity to help you achieve a strong position in the market with a proper strategy to unlock your outdoor gear brand's potential.
Main Trends That Are Positively Impacting The Growth Of The Outdoor Gear Market
Direct Interactive Contact
In spite of the development of digital technologies, there have always been people who still enjoy going to several brand stores before they finally switch to ordering online.
In fact, most successful brands connect with consumers directly.
This experience leads businesses to increase consumer brand loyalty. As a result, investing in it is a great option once you have the means to do so.
Urban and Suburban Environment
According to the Outdoor Industry Association, a significant portion of outdoor enthusiasts, 48% to be precise, reside in suburban areas, while 36% live in urban settings. It's expected that this trend will continue to grow in the coming years.
In fact, as most people know, outdoor physical activities can promote public health, and they are largely influenced by the built environment, especially in various urban settings.
Consumers living in these areas engage in outdoor activities for various reasons, such as fitness, socialization, and building connections.
Therefore, if you want to increase the growth of your brand in outdoor gear products, considering the purposes and diverse needs of different consumers in an urban setting could be one strategy you can implement.
Equipment Rental Business Model
For some outdoor consumers, buying different kinds of gear such as sleeping bags, tents, skis, backpacks, foldable boats, and even clothing could be very expensive, especially if they are only used a few times a year, or worse, just once.
As a result, more outdoor enthusiasts are turning to gear rentals, which are more convenient and cost-effective.
Additionally, most rental businesses can take great care to clean and maintain their equipment to avoid accidents caused by malfunctioning gears. This is in contrast to owned equipment, which may end up malfunctioning after a long period of disuse.
This trend has not been adopted by all brands; certain brands have opted to give consumers the chance to test their products before committing to a purchase.
In this day and age, social media and emails are the most convenient ways to reach consumers.
The majority of people browse their social media accounts daily and check their emails as soon as they wake up in the morning. So, a diverse marketing strategy is essential for your outdoor gear brand to stay ahead of the competition.
To create the appropriate segmentation and strategy, it's important to understand the interests and experiences of your customers.
One of the best ways to achieve this is by looking into the demographic profile of outdoor gear participants.
Demographic Breakdown of Outdoor Gear Products Consumers
Your typical product consumers would be those who enjoy outdoor activities, but just understanding their interests is not enough.
So here's a breakdown of the demographic profile of those you need to target to achieve exceedingly good results in marketing your brand. The data gathered is from the 2022 Outdoor Participation Trends Report by the Outdoor Foundation.
As of 2021, the average age of outdoor participants was 37.4.
The Outdoor Foundation's research indicates that outdoor activities are not restricted to any particular age group; people of all ages participate, resulting in a diverse age demographic.
However, in the past two years, the number of seniors aged 65 and above has increased significantly by 2.5 million, or 16.8% - the largest growth in both percentage and count among all age groups.
Approximately 54% of outdoor product consumers are male, while the remaining 46% are female.
In terms of outdoor recreation participation, females aged six and above represent 46.5% of all outdoor participants. Over the past two decades, the gap between male and female participation has gradually reduced, bringing it closer to parity.
When it comes to outdoor recreation participation, looking at the percentage of individuals within each ethnic group who take part provides a distinct perspective.
African American/Black individuals have the lowest participation rate among ethnic groups, with only 38.6% taking part. On the other hand, Asian individuals and Pacific Islanders have the highest participation rate, with 58% taking part.
For white individuals, the participation rate stands at 56.6%, while for Hispanic individuals, it is 51.1%.
The South Atlantic states, including DE, FL, GA, MD, NC, SC, VA, WV, and DC, have the highest number of outdoor recreation enthusiasts, accounting for 20.1% of all participants across regions.
Following closely is the Pacific region, comprising CA, WA, and OR, with 16.3% of participants.
The East North Central states of IL, MI, IN, and OH take third place with 15.4%, while the Middle Atlantic states of NY, NJ, and PA rank fourth with 12.9%.
How to Market Your Outdoor Gear Store?
Now that you have an overview of the demographic profile of your audience, it’ll be easier for you to have a better understanding of how to promote your products.
Outdoor gear products are generally marketed on most digital platforms.
Segmenting your audience using their age, location, and interests could help you create better campaigns, whether it's a social media advertisement on Instagram and Twitter or an email marketing campaign.
The truth is, there is no perfect formula for how to do marketing, but you have to keep in mind that you need to improve your game on social media and email marketing to reach people and let them know more about your outdoor gear store.
Additionally, start to practice following your own funnel marketing and choose to reward your customers to foster brand loyalty.
If you are wondering how you can identify if your marketing investment is worth it, you must keep track of your conversion rates.