Hunting Shops and Gun Dealers are Having a Bad Year

Hunting Shops and Gun Dealers are Having a Bad Year

"This fall has been a terrible one for those in the business of making and selling rifles and shotguns. And for the dwindling core of optimists who believe the American consumer is doing just fine, the stock charts of companies like Cabela's, Gander Mountain, and Smith & Wesson should cause them to check their scopes.

Cabela's, which started as a catalog retailer in Nebraska in the 1960s, has enjoyed explosive growth: It now boasts 26 stores, with seven more to open soon. (As Cabela's grew into a huge phenomenon—Cabela's is to the rural well-off what REI is to blue-staters, or L.L. Bean to preppies—clueless New York-based editors occasionally dispatched writers like Manny Howard to decode the alien, rural culture of the company for their urban audiences.) But Cabela's has done poorly in recent months. Its third-quarter earnings, reported on Nov. 1, were decent, although the company reported disappointing margins. But as the geese began to migrate south, investors soured on the company's prospects. As this three-month chart shows, Cabela's has lost 40 percent of its value since September.

Like Cabela's, Gander Mountain is a Midwest-based (St. Paul, Minn.) purveyor of hunting and fishing gear that evolved from a catalog retailer into a large (115-store) chain. After a solid first half of the year, Gander Mountain has tumbled. In its third quarter, which ended Nov. 3, same-store sales plummeted 8.4 percent from 2006, and the company reported a loss. The culprits, according to CEO Mark Baker: "warm weather across northern states, which affects our critical fall hunting seasons, and soft consumer demand across our store base." Baker also said the fourth quarter wasn't looking much better "in light of continued softness in consumer discretionary purchases." But what's good for geese has been bad for Gander Mountain. As this three-month chart shows, the company's stock has lost about 60 percent of its value this fall.

Smith & Wesson, the iconic gun manufacturer, is doing even worse. Its shares are down more than 70 percent in the past three months. Earlier this month, Smith & Wesson reported disappointing second-quarter results. While sales to law enforcement are doing well—after all, violent crime has been up for two straight years—the consumer channel is dead. CEO Michael Golden blamed "softness in the market for hunting rifles and shotguns driven by lower-than-expected consumer demand, an industrywide buildup of preseason retail inventories, and unseasonably warm autumn weather, which compressed the fall hunting season." Golden also noted that consumers are buying fewer handguns. As a result, retailers stuck with too much inventory are slashing prices and reducing orders."
-----------------snip---------------------
<http://www.gunguys.com/#post-2739>
<http://www.slate.com/id/2180461/>

Couldn't happen to a more deserving group of crapitalist bloodsuckers

guns. It only stands to reason.

Throughout history the major contribution to escalation of violence is a widening economic gap between the haves and have nots in a society. Any country that chooses to ignore this reality does so at their own peril.

Just because something is legal does not mean it can't be used for illegal means.

in there....

"I would sooner be honestly damned than hypocritically immortalized"
Davy Crockett
His political career destroyed because he supported the Cherokee, he left Washington D. C. and headed west to Texas.

Maybe they should take cues from the auto industry and start making guns that fall apart after 2 years. ;)

S&W manufactures some of the best firearms in the world. My old 39 outperforms the new Glocks constantly. I probably won't ever have to replace the 39. Maybe not the best way to insure continuous sales!

Kind of like the everlasting gum commercial!

You know some executive or marketer is thinking, 'yeah, why not?'

It's the same with fashion. Clothes can be made to last for years. But what's the fun (and profit) in that? You need to keep up with the times. Acid washed jeans are passe, even if some are perfectly serviceable all these years later. Maybe gun folks could also be made similarly insecure.

she was wearing these army colored slacks at the mall that looked almost new. She asked me to guess how old they were, and kept telling me guess higher...Turns out they were 62 years old! They were military slacks of her grandfather's made around WWII, he'd worn them around in his life and she had too, but they just didn't wear out.

And yeah, though I'm pro gun, I was thinking earlier tonight about how anti-gun folks could exploit this to get guns under control. They just get together with the gun companies and make a mandate to have some critical part of the gun made from a metal that feeps out 2 years after production, regardless of use. The gun owners then have to get subscriptions to the gun companies to keep their firearms up to date, and guns sold illegaly, stolen guns etc can't get it. Of course you'd need some weird alloy and an excuse, like they wanted to be able to track the exact production date of a gun by the decay of this piece made from the alloy, but its the closest thing I've ever imagined to a gun control law that could actual work.

I feel the need to step up the the latest Winchester Short Magnum thingie, because the bullets are more, well, uh, modern.

:rofl:

What gives? The unexpectedly warm weather may be playing a role, although the weather tends to play out in unexpected ways every year. And it's probably too soon to conclude that America's long romance with guns is waning.

Rather, the poor results for the legal gun runners provide yet another piece of evidence that the discretionary aspirational consumer is pooped. Despite what you might hear during Republican primary debates, very few people actually need a shotgun or a hunting weapon to get through the winter. Nowadays, most Americans buy fresh meat at stores like Kroger and rely on services like ADT to ward off hostile intruders. And well-made guns, which aren't cheap, last for several years. They don't need to be replaced every fall.

Cabela's, IIRC, does not sell AKs, which are among the most durable rifles ever made.

If Cabela's doesn't sell the hunter-friendly Saiga line, maybe they should consider it.

those big box outdoor activity stores sell more than just firearms?

What are the sales figures on camping and hiking gear?

Fishing equipment?

Have you seen the cost of ammo lately?!? (as if you'd know).

I'm not the least bit surprised at all over the declining sales.

We live in and are raising a generation of "monitor tan" zombies whom would rather sit at home alone and masturbate with their Wii's and X-Box's than waste spend a few precious hours outdoors... be it hiking, camping, fishing, and yes... even blowing the ever loving shit out of a few paper targets.

Anyhow, just to ease your concerns, from what I've read, the sales of "EBRs" (Evil Black Rifles), is and has been at an all time high
since your precious "assault weapons ban" was boot fucked. In fact, there are a few manufacturer's that are back logged trying to keep up with the demand.

I wouldn't count on dancing on the "crapitalist bloodsuckers" graves jest yet.

They'll do just fine as long as gun owners like myself are willing to pay the oftentimes obscene prices.

Cabela's claims to be the place for "gear for hunting, camping and fishing..."

It's not exclusively a gun shop.

I can honestly say that I've never set foot in or bought any firearm from a Cabelas, Bass Pro Shop, Dicks, etc.

Sometimes their ammo prices/deals are tempting, but I prefer to frequent and support the local 'mom and pop' operations that I've
trusted over the years.

Even if I never buy anything... it's nice being greeted by a shop owner/sales staff that knows me by name. :)

Like you, I always go through my local shop (With the exception of the CMP programs of course). Not only do they know me, they also know what they're talking about. Two weeks ago, my guy got a couple of SW9VE's in (The Allied Forces model) and called me on the phone (Because he remembered me expressing an interest a couple of months beforehand) to see if I wanted to come in and take a look. Try getting that from Cabela's!


Although I do go into Dicks quite often for unrelated things.

PETPT (Pronounced 'PetPet') is watching you.

"People For The Ethical Treatment of Paper Targets."


:rofl:

My "EBR" is nice, but nothing beats my trusty Garand!

I waited close to 3 months for my service grade M1 from the ODCMP to arrive.

It was well worth the wait... at a decent price and at least the ammo is still affordable.

On the downside... I waited too long for the Inland M1 carbine release and missed out on it :(

Not to make the same mistake again, I'll probably order one of the January 7th offerings.

It's great having a firearm shipped right to your front door. B-)

Mine was also meant to be Service Grade, but the rifle I actually received was easily a Correct grade. It remains my favorite.

But mine took more than 4 months to arrive. :shrug:

They say one thing, but a few weeks later they say something completely different.

As an example they had the Inland carbines for sale and all were sold out within a few weeks.

A month or two later, they had more to sell and those were gone in no time too. :shrug:

I monitor the forum there http://www.odcmp.org/new_forum from time to time just to keep abreast of things.

All they make is handguns. (Hell, I don't ever recall Smith and Wesson ever having made a rifle or shotgun.) The only people who hunt with Smith and Wesson products are a few enthusiasts who use their large caliber heavy revolvers like the Model 29 because they enjoy the challenge.

If you want data why not talk to hunting rifle and shotgun manufactures such as Remington or Winchester?

Speaking of Gander Mountain, it's a neat store, especially their gun department, where I saw rifles made in the 1870s on sale. All guaranteed to be in safe firing condition, too. I wished some of those 19th century weapons could talk. I'd love to hear some of their stories.

The place was packed...people were buying like crazy, especially ammo.

A little overpriced for my bank account, but the ones I've handled are pretty nice.

http://www.smith-wesson.com/webapp/wcs/stores/servlet/CategoryDisplay?catalogId=11101&storeId=10001&categoryId=33803&langId=-1&parent_category_rn=15701&top_category=15701

So has Remington ("no one needs an "assault rifle" to hunt with")...

http://www.remington.com/products/firearms/centerfire_rifles/Model_R-15_VTR.asp

Old school manufacturers catching up with the times I guess.

for police & civilian market. http://www.smith-wesson.com/webapp/wcs/stores/servlet/CategoryDisplay?catalogId=11101&storeId=10001&categoryId=33803&langId=-1&parent_category_rn=15701&top_category=15701

And shotguns regular & high end http://www.smith-wesson.com/webapp/wcs/stores/servlet/CategoryDisplay?catalogId=11101&storeId=10001&categoryId=44806&langId=-1&parent_category_rn=15701&top_category=15701

That's why these companies' gruesome stock charts look like ski slopes. And that's why the stock of Vail Resorts, the leading player in another expensive, purely discretionary leisure pursuit, is off 30 percent since October.

Thus Cabala's and Gander Mountain are following the Ski business. This means people are NOT buying items to get better versions of what they already have (Be it guns, Camping Equipment or Skis). More and more people are taking their vacations at home (Where you do NOT need a Hunting Rifles, Shotgun, Camping Equipment or Skis).

This article gives me concerns, bit the Concern is the General Economy not the sales of Rifles and Shotguns.

As for being "bloodsucking" corporations, while both sell Rifles and Shotguns (and stock Pistols, but in the ones in my area, pistols are strictly third behind Shotguns and Rifles) the main thrust of BOTH is clothing, fishing and Camping Equipment. In affect they are "Outdoor" stores, catering to those people who go outside into the woods to have fun (including Backpacking). The do NOT do Skiing, Golf, Biking, baseball, Football, soccer (Through Dunham's, another sporing good stores that sell rifles and Shotguns does all but Golf). For Skiing, Golf, biking have stores that do those sports quite well (Including Dunham's). As to Football, Soccer and Baseball, those sports are dominated by the Walmart/Kmart type stores (Football may be the big exception, but that is for the pads etc, Footballs themselves sell well in Walmart/Kmart types stores).

My point is neither store is noted for selling Pistols (Through they do sell Pistols) the thrust of both stores are outdoor vacations (Including Hunting, but also Camping) and these outdoor activities are NOT being undertaken do to the overall Economy (And I may add the fact Gasoline is $3 a gallon).

... leisure and discretionary spending is DOWN. It will BE DOWN for several years at least.

:nopity:

gunsmiths, restaurants and taverns who rely on the trade brought by hunters, fishermen, and other outdoors enthusiasts to stay in buisness

I'm still glad.

Cuz mostly it's the taverns and gunsmiths that would suffer. Gee my heart cries out in pain that beer-drunk hunters won't be stopping by the local gunsmith so they can go out to the river and shoot me - AGAIN.

I have a bullet wound scar on my left side where I was badly grazed (there was quite a chunk missing) while walking along the river as a 12 year-old.

Fuck-em. Fuck em all.

But, whatever gets your dander up and you want to judge all based on the behavior of a few idiots, don't take your frustration out on
the majority of us who don't mistakingly shoot 12 year olds.

Thanks for your understanding and cooperation.

:eyes:

I've seen and KNOWN too many hunters throughout my life and the fantastic majority of them are *just* as worried about what bar they go to together the night before or after and what kind of beer and booze they take along with them. Apparently, booze enhances the killing experience.

Thank you for your concern.






Edit typo to/too.

Then I doubt you'll have nice things to say about the exploding deer population across the eastern US.

Just a car.

Hunting is a sport that is losing participation as more rural areas are gobbled up by surburban sprawl and young people are in to other sports. If a young person today were to pick a gun sport I'd bet they'd want to go for paint ball or air guns.

Ammo prices are going through the roof. You have to think hard about the money you're going to spend on gas going to the range and sending that $$$$ ammo down range.

Probably just about everyone who wanted a gun has one or more. Guns are kind of discretionary purchases. With a tight economy I'd bet a lot of shooters just can't justify buying another gun. And with ammo prices you're not going to be able to do a lot of plinking.

In the shooting sports you don't find a lot of young people coming in, I'd bet the majority are 35+ with a lot in their 50's and 60's. A lot of gun clubs it's rare to find members in their 20's and the majority are probably 50+ with a lot being seniors. I see that age range at the local level in USPSA and IDPA competitions. There are some good young shooters though at national levels.

Though I don't share the OPs glee at a decline in most of the industry. I don't think the NRA is going away, but I do think they reached their nadir in membership in the 90's and now they will be flat and/or decline.

Gander Mountain especially and Cabela's are overpriced on guns and Gander Mountain definitely except for a few instances on ammo. Better deals usually at Sportsman's Warehouse.

Cabela's and Gander Mountain are more than guns though. I'd say guns & ammo are probably 10% or less of their business. At least in my area Gander Mountain seems to pick the worse location for stores, off the beaten path away from the usual retail market. And Cabela's are a destination though at least at the Wheeling WV site which is the closest to me they went from being almost the only store to having a shopping/restaurant complex grow up around them. I don't know in my area that they are all that upscale. They seem to be the same to maybe a step above Wal-Mart in clientale.

Everytime I've gone to their Wheeling store (mostly summer weekends) they seem to be doing well. When they first opened several years ago they were jammed. On some things they are overpriced, but I've gotten some well-made bargains in clothing.

:rofl::rofl::rofl: :rofl::rofl::rofl::rofl: :rofl:

GOOD! :thumbsup:

It's the economy.

Spending on optional stuff is down, including recreational stuff like guns (and boats, campers, etc). Even non-recreational optional stuff, like pottery.

The money is going down the drain of high energy prices and high medical, stuff that's more of a necessity. And the energy cost is more than gasoline, it's all the goods that use lots of energy, like food. With more farmland going to feed the ethanol distilleries, food prices will just go up more.

So if people have less to spend on guns (and all other discretionary spending), well, are you saying "hooray for poverty"?