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Picking up pace
We have had an excellent year at Hilly in 2009. Our sales are running at 15% up on last year, which in the current economic climate is very encouraging.
As an illustration, the recent STAG show was the most positive buying show in which we have ever participated. We were opening new accounts, taking orders, finding new leads and receiving lots of positive feedback about our business and the running market from retailers.
And not only from running specialists, but also more general sports stores are seeing the potential for running and they are starting to stock increasing amounts of running gear. There is also a demand for our products in the outdoor market, as a lot of people who already walk or cycle are now running as well, as part of an overall fitness programme. Running is becoming an increasingly important category.
Here are some of the reasons the running market looks very positive going forward, despite the recession:
Foot-count
In general, there are a lot more people running and exercising these days, which is confirmed by the increasing number of mass-participation running events up and down the country, such as the Race for Life women’s series, which is very well supported. Many races are over subscribed, especially the big ones; the London Marathon could treble its entry numbers if it had the room.
Organisations and initiatives such as the Women’s Running Network, which now receives national funding, help a lot. The increasing number of women running these days has led to significant growth of the running market.
With so many running events staged each weekend across the country, retailers should take advantage of them. Even if they don’t actually sell at an event, it is an opportunity to promote their store. If retailers are proactive they can achieve a lot of positive results.
Staying flexible
Once you have bought the basic equipment for running you are away, and it is a very flexible sport in terms of time. People can run any time of the day, for as little or as long as they choose, so they can fit running around their particular work and family commitments.
Running also gives people that feeling of well-being and it is a self-motivating sport: some people might start by walking or jogging for a mile, and as the weight starts to fall off and the fitness levels rise, people start to run faster and further. In that respect, regardless of level or ability, running is a very positive sport.
Times are a bit tough and people are watching their personal finances very carefully, and whereas they can make a saving by cancelling their gym membership, they can still exercise and go running for free. Rather than do their exercise indoors, they are now going outdoors. People who have unfortunately lost their jobs are not going to stop exercising.
Full speed ahead to 2012
With 2012 not that far away there will be a lot more Olympics-related activity in schools, and government health and fitness agendas are becoming more high profile, which has a positive affect on many sports, including running. The build-up to the Olympics is going attract more consumer attention to running.
It will be interesting to see what happens after the Olympics. After the London Marathon we always receive a sales surge, with so many people watching the race on TV, and there is little doubt the Olympics will have a similar affect.
The specialist movement
If you walk down any high street you can see shops closed down, but the running specialists seem to be bucking the trend, and although we deal with many general sports shops at Hilly, our main focus is with the independent running specialist.
With more people jogging and running and generally exercising, we are still seeing more specialist running shops opening up. This trend is likely to continue.
The great advantage of going to a specialist retailer is that customers receive excellent service from knowledgeable staff. In-store treadmills and gait analysis systems have become much more common, so the specialist is offering a service that is more professional than ever. This is in contrast to many of the high street sports multiples, where the staff tend to be young, inexperienced and with little knowledge of the market, products, or running as a sport.
Offering excellent service leads to more custom through word-of-mouth, and this is another reason why specialist retailers will succeed.
The specialists can offer a complete package, and more and more they are offering some sort of e-commerce option to customers. Our products are available online across the country and this is very positive for us, and this is another trend that will continue. Consumers have 24-7 online shopping to go along with the bricks-and-mortar shopping.
