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Freedonia Market Research Blog Have You Used Your Extra Time At Home This Year To Get Fabulous or Did You Get Flabby?

Have You Used Your Extra Time At Home This Year To Get Fabulous or Did You Get Flabby?

by Freedonia Industry Studies

August 27, 2020

Many homebound people have spent the summer exercising, boosting sales of bicycles, golf clubs, and treadmills at one of the few retail chains that sells them all – Dick’s Sporting Goods. The company’s e-commerce sales nearly tripled in the quarter ended August 1st, offsetting temporary store closures and more than doubling its income from operations over the same period last year.

Dick’s is dealing with inventory constraints in some product categories as a result. “If you’re going to walk in our store, it’s still going to look like our fitness business is really depleted,” said Edward Stack, the firm’s Chairman and Chief Executive Officer. “But the flow product we have coming in is kind of going out as fast as it’s coming in.”

With commercial fitness centers and community recreation facilities closed, consumers are looking for ways to keep fit at home, setting off skyrocketing sales of fitness equipment and backlogs from most suppliers. Sales of everything from basic hand weights to newer at-home workout equipment with connections to trainers or group fitness instructors have benefited.

Digital orders helped drive Dick’s revenues during the COVID-19 pandemic. Online and curbside pickup orders accounted for about 30% of its second quarter sales. Company executives expected to see a large drop in curbside orders after all of Dick’s stores reopened in June, but that was not the case. The firm now expects curbside service to remain important over the long term, with many consumers continuing to be reluctant to do in-store shopping, particularly during busy periods like Christmas. Additionally, consumers have found that they just like curbside pickups, allowing the convenience of online shopping combined with the immediacy of in-person shopping.

Results from recent Freedonia consumer surveys indicate that even in August (more than 5 months after the COVID-19 outbreak was known to spread widely in the US) nearly two-thirds of US adults still report shopping less at brick-and-mortar stores and ordering purchases online more because of the pandemic.

For more information and discussion of opportunities, see The Freedonia Group’s extensive collection of off-the-shelf research, particularly for consumer goods, with reports such as Bicycles: United States, Global E-Commerce, Global Pools & Spas, Outdoor Living Products 2020, and Sports Equipment: United States. Freedonia also offers an expanding catalog of COVID-19 Economic Impact reports, which highlight how various industries are responding to the current crisis with a comparison to recent recessions. Freedonia Custom Research is also available for questions requiring tailored market intelligence.

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