Industry Analysis - Statistics for Surf Industry

There are approximately 1, 736,000 American surfers.

There approximately 23 million surfers worldwide.

The average weight of the original designed surfboard was 100 lbs.

John John Florence made 5.3 million dollars and was the highest paid surfer in 2022.

An average cost of a bar of surf wax is $1.50.

Annual surfing revenue totals $12 billion.

Annual hard good sales (surfboards, skateboards, accessories) is $1.56 billion.

Annual surfing wetsuits sales total $119.4 million.

The accessory part of the industry is led by the sale of sunglasses.

Annual surf footware sales are $1.6 billion. Most of this is is from the sale of sandals.

Annual apparel wear is approximately $8 billion of the total sales.

SIMA - Surf Industry Manufacturers Association announced that the industry grew from $6.2 billion in 2004 to $7.48 billion in 2006, a 14% increase.

The increase is due to a number of factors: mainstream popularity of the surf life style, the capitalization of the purchasing power of women, and brand diversification.

Another reason for growth is that surfboard makers distribute their products through surf and skate shops, not big box retailers.

How many surf shops are there in Virtual Enterprise. These are your main competitors.

How can you make your company different than theirs.

Industry Analysis - Trends in Surf Industry

The industry has changed significantly since the inception of the Southern California culture.
Surfers were mainly teenagers in the 1960's. They followed a beach lifestyle
Their clothes consisted of baggies, or board shorts as they are called today.

Industry Analysis - Strengths

Surfing has gone from a 60's cult sport to the mainstream with bona-fide stars, major surfing competitions.

The surfer look is an important style for America's youth.

By 2025 the surfing market will make 16.24 billion dollars.

Surfing is a health and fitness sport that can be done at any age.

Great cardiovascular benefits.

Strengthens core strength in back shoulders and legs.

A great way to spend time outdoors.

Reduces stress and tension.

Industry Analysis - Weaknesses

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Surfing can make you think of only one thing - surfing
You may want to miss work, quality time with friends.
It can be dangerous: skin cancer, ear infections, damaged hair.
Injuries can be serious.
Billabong, Quicksilver, Pac Sun - large losses recently
Today's surfers don't want to wear the same clothes that their fathers wear.

Target Market

Market Segmentation by Age

Market Segmentation of Surfboard by Size

Market Segmentation by Category

The Marketing Mix 4P's

Rincon Surf Shack Products

Product
Surfboards
Apparel
Footwear

We are a full-service surf shop featuring not only surfboards, but apparel and footwear.

We carry three different kinds of boards: Short boards, Long boards and stand-up boards.

To complement your surfing experience, we have men's and women's board shorts, Sandals for both men and women, T-shirts and hoodies.

Products

Pricing

Rincon Surf Shack Price List for Short Boards
Name of Product	Length	Cost	Retail Price
New Flyer	5'6"	$338.90	$648.00
New Flyer	5'9"	$341.26	$652.50
New Flyer	5'10"	$349.10	$667.50
New Flyer	6'0"	$353.03	$675.00
New Flyer	6'2"	$358.52	$685.50
New Flyer	6'4"	$363.22	$694.50
DFR	5'6"	$355.64	$680.00
DFR	5'9"	$355.64	$680.00
DFR	5'10"	$363.49	$695.00
DFR	6'0"	$363.49	$695.00
DFR	6'2"	$363.49	$695.00
DFR	6'4"	$368.72	$705.00
Weirdo Ripper	5'6"	$338.90	$648.00
Weirdo Ripper	5'9"	$341.26	$652.50
Weirdo Ripper	5'10"	$349.10	$667.50
Weirdo Ripper	6'0"	$353.03	$675.00
Weirdo Ripper	6'2"	$358.82	$685.00
Weirdo Ripper	6'4"	$363.22	$694.50

Rincon Surf Shack Price List for Long Board-Fiberglass
Name of Product	Length	Cost	Retail Price
Performance	8'0"	$450.00	$675.00
Performance	8'6"	$455.00	$682.50
Performance	9'0"	$467.00	$700.50
Performance	9'6"	$476.00	$714.00
Performance	10'0"	$514.00	$771.00
Performance	6'4"	$363.22	$694.50
Nose Rider	8'0"	$450.00	$675.00
Nose Rider	8'6"	$455.00	$682.500
Nose Rider	9'0"	$467.00	$700.50
Nose Rider	9'6"	$476.00	$714.00
Nose Rider	10'0"	$514.00	$771.00

Rincon Surf Shack Price List for Long Board/NextGenEpoxy
Name of Product	Length	Cost	Retail Price
Performance	8'0"	$330.00	$495.00
Performance	8'6"	$300.00	$450.00
Performance	9'0"	$356.00	$534.00
Performance	9'6"	$376.00	$564.00
Performance	10'0"	$344.00	$516.00
Nose Rider	8'0"	$330.00	$495.00
Nose Rider	8'6"	$300.00	$450.50
Nose Rider	9'0"	$356.00	$534.00
Nose Rider	9'6"	$376.00	$564.00
Nose Rider	10'0"	$344.00	$516.00

Rincon Surf Shack Price List for Stand Up Paddle Board
Name of Product	Length	Cost	Retail Price
SUP	12'0"	$523.00	$1,000.00
SUP	13'0"	$523.00	$1,000.00
SUP	14'0"	$627.60	$1,200.00

Rincon Surf Shack Price List for Men's Board Shorts
Catalog num	Cost	Retail Price
mbs1	$36.35	$69.50
mbs2	$36.35	$69.50
mbs3	$25.89	$49.50
mbs4	$24.05	$45.99
mbs5	$39.23	$75.00
mbs6	$39.23	$75.00

Rincon Surf Shack Price List for Women's Board Shorts
Catalog #	Cost	Retail Price
wbs1	$29.26	$55.95
wbs2	$29.26	$55.95
wbs3	$25.89	$49.50
wbs4	$20.89	$39.95
wbs5	$39.23	$75.00
wbs6	$44.46	$85.00

Rincon Surf Shack Price List for T-Shirts
Catalog #	Cost	Retail Price
ts1	$18.30	$34.99
ts2	$14.64	$27.99
ts3	$17.78	$33.99
ts4	$13.07	$24.99
ts5	$14.62	$27.95
ts6	$17.78	$33.99

Rincon Surf Shack Price List for Men's Sandals
Catalog #	Cost	Retail Price
ms1	$15.17	$29.00
ms2	$47.07	$90.00
ms3	$18.28	$34.95
ms4	$47.07	$90.00
ms5	$23.51	$44.95
ms6	$23.51	$44.95

Rincon Surf Shack Price List for Women's Sandals
Catalog #	Cost	Retail Price
ms1	$15.17	$29.00
ms2	$18.30	$34.99
ms3	$10.45	$19.99
ms4	$11.50	$21.99
ms5	$9.93	$18.99
ms6	$47.06	$89.99

Rincon Surf Shack Price List for Hoodies
Catalog #	Cost	Retail Price
h1	$52.50	$100.00
h2	$44.46	$85.00
h3	$73.21	$139.99
h4	$34.00	$65.00
h5	$65.38	$125.00
h6	$78.45	$150.00

Placement

Distribution is one of the four elements of the marketing mix.

Distribution is the process of making a product or service available for the consumer or business user who needs it.¹

Rincon Surf Shack Place Policy

Placement

We buy our short boards from Channel Islands Surfboards at the cost price shown above.

The boards are shipped directly from Channel Islands facility to the end consumer.

Orders come for our Internet Web Page.

Degree 33 is our supplier for Long boards and stand up paddle boards.

The items are billed to us at the cost seen above and the boards are shipped directly for their facility via UPS and Fed EX.

Billabong and Quicksilver manufacture our board shorts, T-shirts and hoodies.

The cost price listed above is what we pay and the merchandise is shipped directly from their facility to our customers.

Our sandals come from Deckers Outdoor Corporation and Dockers.

Our web page is the main vehicle for selling our products.

Promotion

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The main vehicle used to promote our surf shack is our web page.

Web Page

Each month we will feature one or two products as specials and discount them sharply.

We will create trade show ads for our products

Here is an example of a flyer that could be used at a trade show.

Trade Show Flyer.