The sporting goods industry has witnessed tumultuous times recently. While experts forecasted unencumbered growth and success in the industry over the last three years, the COVID-19 pandemic inhibited scaling of any kind. The pandemic brought about major economic and social changes globally and reduced sports and physical activities substantially. While the world is waiting for a potential end to the pandemic, retailers, and manufacturers in the sporting goods industry need to identify and capitalize on significant growth drivers.
A growing market, such as the sporting goods industry, witnesses a range of trends, challenges, and growth drivers continually. These trends include changing attitudes towards fitness and sports, increased encouragement to pursue sports professionally, and a rising focus on health and wellness. However, sporting goods industry players must identify significant growth drivers, strategize for them, and scale their business and the industry in the post-COVID era.
Recovering from the pandemic will be highly challenging, but identifying and capitalizing on significant growth drivers can be relatively effortless with proper guidance. Infiniti’s market intelligence experts are equipped to assist sporting goods industry players in evaluating, strategizing for, and successfully taking advantage of profitable market opportunities and growth drivers. In this article, Infiniti’s experts discuss the impact of COVID-19 on the sporting goods industry, important growth drivers in the market, and the role of market intelligence solutions in becoming an industry leader.
Unsure of the impact upcoming trends and growth drivers will have on your industry? Request a free proposal to gain comprehensive insights into your market and stay ahead of the curve.
The Impact of COVID-19
Nation-wide lockdowns, the fear of infection, economic challenges, and the need for social distancing are factors that reduced sporting activities across the world. Due to the shutting down of industries, new work from home arrangements, and the pandemic’s significant economic impact, consumers’ disposable income reduced substantially. Additionally, the need to store essentials, prepare for medical emergencies, and ensure safety and hygiene within homes led to a dramatic shift in consumers’ spending behaviors, particularly concerning non-essentials.
Further, in the aftermath of the pandemic, retailers and manufacturers in the sporting goods industry faced challenges, including factory shutdowns, new hygiene protocols, logistical challenges, and the sudden shift of consumers’ preferences and needs. These factors combined have hampered the growth trajectory within the sporting goods industry and had a significantly detrimental impact on their growth. Therefore, industry players must prepare for the post-COVID era and strategize for major industry growth drivers.
Future Growth Drivers
Industries are complicated and witness significant market developments and changes continually. The sporting goods industry is no exception to this rule and has recently seen jarring changes, as detailed above. However, retailers and manufacturers aim toward growth, scaling, and success by evaluating and adopting improved strategies and gaining a comprehensive understanding of their industry. Infiniti’s market intelligence experts analyzed the industry and identified three crucial market growth drivers that can help industry players recover and advance the industry.
Health and Wellness Awareness
Technological and medical advancements have significantly changed life expectancies, patient expectations, and global quality of life. While the healthcare and pharmaceutical industry innovate and improve patient experiences and the food and beverage industry develop alternative and healthier options, the sporting goods industry also needs to adapt to this change. Consumers have become increasingly particular about their health and wellness and are taking various initiatives to improve their overall wellbeing.
This change has also led to an upsurge in consumers participating in varying sports activities, including basic forms of exercise such as running, fusions of dance and fitness, and adventure sports. Retailers and manufacturers in the sporting goods industry can efficiently capitalize on these changes by understanding consumers’ demands and preferences and meeting their needs with new or improved offerings. Additionally, as consumers demand more fitness and sports products, industry players can leverage Infiniti’s market intelligence solutions to monitor market developments, understand consumers’ demands, stay a step ahead of competitors’ initiatives, and provide unprecedented offerings to their target market.
Keeping pace with changing dynamics in the sporting goods industry is a challenging prospect and requires unparalleled data-driven strategies. Request more information to learn how Infiniti’s market intelligence solutions help companies develop and adopt novel business strategies.
Increasing Disposable Income
Although the COVID-19 pandemic took a severe toll on income, economy, and spending, there has been a steady increase in disposable income available to consumers over recent years. As companies and consumers aim to recover from the pandemic, certain challenges regarding payment can be tackled and overcome, increasing the disposable income available to individuals again. Capitalizing on this increase can help the sporting goods industry grow exponentially.
With rising concerns for health and wellness and the increasing availability of disposable income, sporting goods industry players must strategize and develop unparalleled marketing and promotional strategies. Identifying consumers’ needs, innovating offerings to meet consumer demands, and competitively priced products are crucial for industry players to succeed and overcome the virus’s impact. With an effective marketing strategy, retailers and manufacturers in the sporting goods industry can help consumers be aware of their offerings, and promote sales and propel growth. Leveraging Infiniti’s market intelligence solutions, companies can also analyze competitors’ strategies, identify industry benchmarks, and deliver unique offerings.
As the global population increases, there is a simultaneous rise in the prevalence of chronic diseases and healthcare demand. This can be highly challenging for governments and healthcare industry players. Therefore, governments have increased focus on pre-emptive health and wellness initiatives and promote participation in sports and fitness regimes. Additionally, playing a sport has become an increasingly accepted profession—colleges and universities award athletes with partial or complete scholarships, rewarding early and active participation in fitness. Major companies have also increased intra-company sporting activities, including competitions, challenges, and rewards.
The upsurge in support and opportunities to embrace sports and fitness can be a significant growth driver for retailers and manufacturers in the sporting goods industry. Adopting the opportunity to promote sporting goods for young athletes, growing professionals, and potential talent can also increase customer attraction and retention. Infiniti’s market intelligence solutions help companies identify the significant trends in the sporting goods industry and develop comprehensive strategies to capitalize on them.
Why does the sporting goods industry require market intelligence?
The sporting goods industry has witnessed tumultuous times, and Infiniti’s market intelligence solutions provide a path to recovery and success. Developing a comprehensive understanding of the market, strategizing for upcoming trends, challenges, and growth drivers, and providing consumers with unparalleled solutions are the first steps to succeeding in a dynamic market.
Sporting goods industry players must remain alert, aware, and organized to overcome their market’s fast-paced nature. With Infiniti’s market intelligence solutions, industry players can identify ideal market opportunities, understand their consumers, and evaluate factors propelling or restraining growth in the market. Our solutions help retailers and manufacturers overcome rapidly evolving market dynamics, stay ahead of the curve, and champion their industry.
Speak with our industry experts to learn how Infiniti’s market intelligence solutions can help companies succeed in the post-COVID era.