Australian Retailers Talk Pandemic Sales Trends

We reached out to several industry retailers in different parts of the country to ask them about how their stores have fared during the pandemic. Business appears to be flourishing.
Published: February 9, 2021

We keep hearing how strong business has been for the surf and skate industry in Australia, so we reached out to several retailers in different parts of the country to ask them about how their stores have fared during the pandemic.

Mike Di Sciascio, Strapper Surf in Torquay, Victoria 

How have sales during the pandemic gone?

Mike Di Sciascio: Initially sales fell off the cliff when COVID hit and it was looking really bad when the first lockdown happened, we rebounded though as while many sports were shut down you could still go surfing! As all the effects of no travel, working from home and home schooling kicked in, we got even busier and have ended up being really busy.

Are there certain categories that are performing well?

Mike Di Sciascio: Boards and wetsuits – anything to go in the water and to the beach with have been amazing, but most categories are going well now.

What categories are soft?

Mike Di Sciascio: Watches and luggage.

Do you have the inventory you need?

Mike Di Sciascio: We have worked really hard to have the inventory we need. Our key suppliers who generally have been amazing, have worked with us to react daily and weekly to demand.

While we have missed a lot and need more stock particularly of certain categories,  I think we have done very well securing stock over the last three to six months in particular. But I would have loved some more!

How would you describe the state of the Australian consumer?

Mike Di Sciascio: The government and community have generally done a good job in Australia managing the COVID drama.  Nobody’s happy about it but when we look at how bad it is in some countries I think we are all very positive.

The government has managed the economic hit well so most people are financially OK and ready and willing to spend – particularly on what’s seen as a high value lifestyle activity like surfing, which is great for us.

Is life pretty much back to normal in your area?

Mike Di Sciascio: No, I’m located in the state of Victoria near Bells Beach. We have had more and longer lockdowns than any other area of Australia.  Melbourne, the major city in the state, had a devastating second wave of COVID and a hard second lockdown from July to November last year with major impacts on the whole state.

Businesses and the community are super diligent with sanitizing, social distancing and mask wearing. We currently have zero community cases in the state, which is amazing and we all want to keep it that way. The new normal is doing everything we have always done but safely with COVID protocols.

We are super fortunate in Australia to live on an island and have an empathetic government and a community that have followed the best medical advice. We have generally kept the politics out of dealing with the health and economic calamity.

Are you hopeful that this could be a lasting upswing for the industry?

Mike Di Sciascio: I think the elevated appreciation of surfing and the beach lifestyle has really set up the surf industry to do well for some time.

We are in the feel good industry and people want to feel good!

Ian “Wooly” MacPherson,  Star Surf + Skate in Mandurah, Western Australia 

How have sales during the pandemic gone?

Ian MacPherson: It’s been up and down at times but overall I would have to say good to great. We just came out of a five-day lockdown where all non-essential retail had to close so that hurt.

The start of the pandemic, back in March 2020, really knocked us about but we bounced back over the winter with everyone surfing and skating as all team sports came to a halt. Lots of West Aussies travel to Indonesia every year and with that coming to an end I think they started to loosen their wallets domestically.

Are there certain categories that are performing well?

Ian MacPherson: All hardgoods have been great, but softgoods were poor at the start of the pandemic. As we rolled into our summer, we saw some categories bounce back. Surfboards, wetsuits and skate being a highlight through most of it.

Eyewear was pretty average but that’s been taking a hit the past few years for me.

Do you have the inventory you need?

Ian MacPherson: That’s been a challenge! Aussie made performance boards have an average wait time of 14 to 16 weeks. Wetsuits have been super hard with massive sell outs.

How would you describe the state of the Australian consumer?

Ian MacPherson: I think everyone has started to get back to basics and the simple life. Camping and domestic surf travel is right up and the Northwest of the state has been trading really well as we haven’t been able to travel internationally and it’s even been really hard to leave Western Australia with our hard borders for most of the period.

I think most surfers are pretty happy to being stuck in WA – I know I am.

Are you hopeful that this could be a lasting upswing for the industry?

Ian MacPherson: I run a surf school out of the shop and participation rates are through the roof. I think the pandemic as a whole has been really good for our industry.  I think surfing is cool again. I’m not sure the new surfer is attached to surf fashion as they once were but that’s ok for me because we are a board store and surf school and have a small percentage of softgoods.

Darren “Daz” Longbottom, Zink Surf in Kiama. Kiama is south of Sydney in New South Wales

How have sales during the pandemic gone?

Darren Longbottom: We have experienced very solid growth throughout the pandemic. After a couple of weeks of shock at the initial lockdown period, we’ve seen revenue gains each month, some into triple figures.

It’s amazing to reflect back on our mindsets this time last year where we were all drawing up our own war rooms and strategies to face what seemed like war. Some sectors got slammed, we got lucky.

Are there certain categories that are performing well?

Darren Longbottom: It has been biased towards surfing equipment. Wetsuits are the standout, boards are strong albeit with limited supply – really demand has been strong for all surfing equipment. The beginner market has been very strong.

As we have moved through the summer months, we have seen apparel pick up. Really, most categories are performing well.

Are there any that are soft?

Darren Longbottom: Hard to pick one  – probably watches are the weakest. But I think that has to do more with the general trend than a pandemic issue.

Do you have the inventory you need?

Darren Longbottom No. We are still seeing big delays in key areas. Surfboards still have massive lead times, wetsuits and Lycra are very patchy, skate has been tough.

We have never been so light on the floor after our key selling period. We would love more stock across these areas but understand the hurdles in the supply chain at the moment. But there is still some pent up demand out there.

How would you describe the state of the Australian consumer?

Darren Longbottom: Australians have had different experiences because each state has had their own restrictions. NSW has had the most relaxed restrictions and the spending has followed.

Our government “jobkeeper” programs have served the consumer well. And  I think more money is being spent within the country because we are not losing dollars to overseas travel. More people are travelling within the country, spending on consumer goods or spending on their homes.

People are very activity and adventure focused at the moment and our industry sits very comfortably within it.

Is life pretty much back to normal in your area? 

Darren Longbottom: I would lean to yes. There is still a bit of fright happening within, but generally, I think people are moving on or at least through this time.

We are located two hours from the center of Sydney, so we see a lot of day-tripper traffic. We see a little downswing if a COVID hotspot flares up, but for us the biggest driver of activity is still the weather, just like it always has been.

Are you hopeful that this could be a lasting upswing for the industry?

Darren Longbottom: I’m encouraged that we have seen many people enter the water for the first time or they have pulled the old board out of the rafters. A lot of people are now just discovering our stores. There’s been a movement back towards your “core” stores over last couple of years, and I think this event will only reinforce it.

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