Outdoor Recreational Equipment Retailers in the UK Industry Market Research Report Now Updated by IBISWorld

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The Outdoor Recreational Equipment Retailers industry comprises retailers that sell products geared towards outdoor recreation, including sporting goods, bicycles, and camping and fishing equipment. The recessionary economic conditions have adversely affected retailers due to reduced disposable income and consumer confidence. Retailers have also faced increasing competition from department stores. IBISWorld estimates that industry revenue will decrease at an annualised rate of 0.3% over the five years to 2012-13 to £6.72 billion. Sport participation is important in the industry and Britain's participation and performance in the London 2012 Olympic Games has had a positive effect on revenue. Thus, industry revenue is expected to increase by 5.4% in 2012-13. Over the next five years, rising consumer confidence will fuel growth for the industry. An increase in disposable income will prompt increased purchases of sporting goods and outdoor equipment. The upcoming Commonwealth Games in Glasgow and England's participation in the 2014 Football World Cup are expected to result in significant spikes in revenue over the next five years. These major sporting events will deliver temporary boosts to the industry, with many customers being inspired to increase their involvement in outdoor activities. The move by retailers to increase their online presence and the growing interest in cycling will contribute to growth for the industry. Therefore, revenue is expected to recover and is forecast to grow over the five years to 2017-18. For these reasons, industry research firm IBISWorld has updated its report on the Outdoor Recreational Equipment Retailers industry.

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Increased consumer confidence and sport participation will support revenue

The Outdoor Recreational Equipment Retailers industry comprises retailers that sell products geared towards outdoor recreation, including sporting goods, bicycles, and camping and fishing equipment. According to IBISWorld industry analyst Temitope Onabanjo, “the recessionary economic conditions have adversely affected retailers due to reduced disposable income and consumer confidence”. Retailers have also faced increasing competition from department stores. These external players are expanding product ranges to attract a wider consumer base, and are able to compete aggressively on price. This has forced industry operators to slash prices, resulting in the deterioration of profit margins.
IBISWorld estimates that industry revenue will decrease at an annualised rate of 0.3% over the five years to 2012-13 to £6.72 billion. Sport participation is important in the industry and Britain's participation and performance in the London 2012 Olympic Games has had a positive effect on revenue. Thus, industry revenue is expected to increase by 5.4% in 2012-13. Onabanjo adds, “over the next five years, rising consumer confidence will fuel growth for the industry”. An increase in disposable income will prompt increased purchases of sporting goods and outdoor equipment. An increase in sporting games will also boost demand for the products. The upcoming Commonwealth Games in Glasgow and England's participation in the 2014 Football World Cup are expected to result in significant spikes in revenue over the next five years. These major sporting events will deliver temporary boosts to the industry, with many customers being inspired to increase their involvement in outdoor activities. The move by retailers to increase their online presence and the growing interest in cycling will contribute to growth for the industry. Therefore, revenue is expected to recover and is forecast to grow over the five years to 2017-18.
The Outdoor Recreational Equipment Retailers industry has a low level of market share concentration. The three largest players control approximately 27.9% of the total market. The level of concentration has been increasing over the past decade due to consolidation and acquisitions in the industry. Major companies include Sports Direct International and Halfords Group.
For more information on the Outdoor Recreational Equipment Retailers industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.

IBISWorld industry Report Key Topics

Retailers in this industry sell a wide variety of products geared towards outdoor recreation, including sporting goods, camping equipment, bicycles and fishing equipment. While many of these retailers also sell sports and outdoor-related clothing, this is not the industry's main focus.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalisation & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on many UK industries. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in London, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.co.uk or call (020) 3008 6568.

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Gavin Smith
IBIS World 5
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