What do we mean when we say "specialty outdoor retailer" anyway?
If you’ve been in the “outdoor” sector for a day or a decade, you’re likely well aware that there are many terms tossed about on a daily basis that are … well … less than well-defined. For instance, what is a “specialty” retailer? What does it mean when you say “independent specialty” ? And, if you really really want to start a food fight in the cafeteria, just try getting people to dial in exactly what they mean when they say “outdoor.”
I’ve begun to take a crack at those terms below, and would love to hear any and all feedback in any form … email, DM, postcard, fax, or post a thought below.
FIRST UP: WHAT DOES ‘SPECIALTY’ MEAN?
There are four primary levels of retailers including Mass, Specialty, Vertical and Niche.
Each level includes retailers which connect with customers in a variety of ways, such as through physical storefronts or online strategies. Each level also may include related services such as rentals, repairs or customer education. And, importantly, each level may also be of any size from large format “big box” stores to small, single storefront shops.
Mass retailers cater to the widest possible variety of consumers with a broad selection of categories, products and services. (Examples include Amazon, Wal-Mart, Costco, Target, Sears, and local general stores).
Specialty retailers offer a selection of products and/or services from multiple activity segments within an easily recognizable category or theme. Includes a sizable portion of “lifestyle” products because they appeal to customers in multiple segments. (Examples include Backcountry.com, Dick’s Sporting Goods, REI, Bass Pro Shops, Outdoor Gear Exchange, Sunrise Sports, Gear Head, Paragon).
Vertical retailers are focused on one activity segment of a specialty category, yet within that theme offer a variety of products and/or services. Includes limited “lifestyle” products, as customers are typically shopping within a specific segment. (Examples include a bike dealer such as PerformanceBikes.com that carries road, mountain and cruiser bikes; a ski retailer that carries hardgoods, apparel and accessories; or a Harley Davidson motorcycle dealer that also sells apparel and safety equipment).
Niche retailers are focused on a single aspect of one activity segment of a specialty category, and provide a limited range of products and services that specifically support that aspect. Includes very limited or no lifestyle products as the offerings are very closely connected to the niche segment. (Examples include a triathlon bike fitter and retailer; an alpine ski bootfitter; the retail store of a fly fishing guide services that only sells products relevant to their destinations; or a sport-specific online retailer like Lacrosse.com).