The sporting goods industry has seen a boom in recent years thanks to factors like marketing around healthy and fit lifestyles. Consumers can’t open a social media app or watch TV without seeing an advertisement for the latest athleisure clothing company or celebrity partnership.
By the end of 2023, the North American sporting goods market will reach $35 billion dollars.
It’s not just advertisements. Changes are happening to their supply chain model as well. The sporting goods market is undergoing a shift from a brick-and-mortar industry to an increasingly eCommerce-based market.
And if you’re not on board, your business could get lost in the dust to the money your competitors are spending on things like social media ads.
If you’re a sporting goods business looking to break into the omnichannel eCommerce space, or are already there and can’t find a way to expand, you need inventory and warehouse management software tools.
Growth of The Sporting Goods Market
As more and more individuals turn to sports and other fitness activities to engage in healthy ways of living, sporting goods retailers are continuously striving to innovate. Many now offer a wide range of products to accommodate growing needs.
But consumers aren’t just investing in the sporting goods market to combat their sedentary lifestyles. It’s also to invest in the look of athleisure.
Celebrities, influencers, and social media have driven the popularity of athleisure and activewear as a cultural trend. You’re just as likely to see activewear trends on the runways and fashion magazines as you are at the gym. This trend has driven tremendous growth and profit for players in the sporting goods industry.
Globally, the sporting goods market is exploding, with over a 4.1% CAGR forecasted throughout 2023.
The American clothing market is trending toward more and more casual aesthetics. As a result, athleisure has seen a huge rise in sales. Sporting goods retailers such as Nike, Adidas, and Under Armour have benefited.
As the options available for physical activity grow, so will the diversity and strength of the sporting goods market. Consumer taste is constantly changing, providing new pathways for sporting goods retailers to plug into specific markets and profit.
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Where Sporting Goods Consumers Are Shopping
Brick-and-mortar sporting good retailers and department stores account for the majority of sales within the industry. However, the online retail segment of the industry makes up a significant amount of sales. It’s also the fastest growing sector within the industry, boasting a CAGR of over 4.0%.
Numerous brands are pivoting to benefit from this trend and strengthen their eCommerce presence. For example, many brands now partner with celebrities or influencers to increase consumer spending and increase brand reach. This allows sporting goods customers to access products online in a new and more accessible way.
But this doesn’t mean brick-and-mortar stores don’t hold a strong advantage. Large chains stock a wide variety of goods. Smaller or more specialized retailers can carry a deeper product line for niche goods.
They also hire specialized employees who are equipped to answer customer questions in a trained way, as opposed to an online only retailer who may not be knowledgeable.
Another huge advantage of a brick-and-mortar store is the ability to try out products in real life without the wait time of shipping and returns.
How Inventory Management Maximizes Your Sporting Goods Profit
If you’ve found that your sporting goods business has plateaued, the best way to scale is through inventory management software.
SkuVault inventory and warehouse management software is designed to help omnichannel sellers like you maximize sales through a number of automated and streamlined inventory features. These include Quality Control, Barcode Scanning, Wave Picking, and Kits.
As a sporting goods retailer, you’ve got tons of inventory, and probably inventory you’d like to sell as a bundle (especially around your peak season). With the Kitting feature retailers can sell individual items as ready-to-ship kits. So if you want to sell a baseball glove, bat, and ball together, you can! This maximizes sales potential, product reach, and customer satisfaction.
Without quality control, your customers are guaranteed to receive the incorrect item every time. QC is the final step in the pick, pack, ship process that checks an item against the purchase order for accuracy. If you’ve picked the wrong item or wrong amount, or if it’s damaged, SkuVault will stop you from sending the item to final shipment.
QC is especially important when you’re selling omnichannel. It helps streamline the correct inventory between your storefront and online sales platforms every time.
Barcode scanning is another vital feature to eliminate manual error. Barcoding inventory allows pickers to pick faster and catch discrepancies. Users can customize them as they see fit to best accommodate the workflow of each warehouse or storage facility.
When you utilize barcodes, you eliminate the risk of human error mistakes like mis-shipments or mis-picks and increase the accuracy rate and customer loyalty.
Wave Picking is a custom SkuVault picking feature that’s both paperless and digital. The “Wave Picking” part refers to the short interval nature of scheduling the pick sessions.
This picking method leads pickers around the warehouse in the most efficient way possible, producing faster pick times, less chance for mis-picks, and ideal for multi-item sporting goods orders.
Whether you’re already established in the sporting goods industry or an entrepreneur breaking into the field, the future of the industry is bright. Now is the time to get your inventory organized and streamlined with an inventory management software.
With complete visibility into inventory activity across sales platforms – both on and offline – inventory software allows you to be aware of potential problems early on and take a proactive approach to ensuring your company’s success.