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Eric Henry CEO SIA Australia The Trade Association for the Equipment Sector of the Snow Industry in Australia Full Members: Importers, Manufacturers, Wholesalers, Service Providers Associate Members: Retailers, Hire Outlets, other Trade Buyers Snowsports in Australia …a reminder It almost defies the imagination to believe that the world’s first Ski Club was formed in Australia only seventy three years after the first European settlement. ‘The Holmenkollen Ski Museum confirms that the first two ski clubs in the world were formed by Norwegians in 1861, both in Australia and Norway.’ Karin Berg, Director Holmenkollen Ski Museum 22 June 2006 Australians love snowsports! Australia has a total of 14 Snowsports resorts in 3 States: • New South Wales • Victoria • Tasmania Kosciusko National Park World Heritage Listed 970,000 Hectares Dedicated ‘…to the people for all time… setting aside a winter sports ground greater than any in Switzerland and the development of an immense tourist area that will compare favourably with any in the world.’ Sir William McKell, Premier of NSW 3 September 1943 Australia An extremely successful snowsports nation… Jacqui Cooper • World Champion, Aerials, 1999 • World Cup Champion, Aerials, 1999, 2000, 2001, 2007, 2008 Zali Steggall • Bronze Medal, Slalom, Nagano Olympics, 1998 • World Champion, Slalom, Vail, 2001 Michael Milton OAM • 4 Gold Medals, Salt Lake City Paralympics, 2002 • Multiple medallist in 5 Paralympic Games • World Sportsperson of the Year with a Disability, 2002 Alisa Camplin • Gold Medal, Aerials, Salt Lake City Olympics, 2002 • Bronze Medal, Aerials, Torino Olympics, 2006 Dale Begg-Smith • Gold Medal, Moguls, Torino Olympics, 2006 • World Champion, Dual Moguls, 2007 • 3 Times World Cup Moguls Champion • Silver Medal, Moguls, Vancouver Olympics, 2010 Torah Bright • World Champion, Snowboard Superpipe, 2007 • Gold Medal, Snowboard Half Pipe, Vancouver Olympics, 2010 • Silver Medal, Snowboard Half Pipe, Sochi Olympics 2014 Lydia Lassila • Gold Medal, Aerials, Vancouver Olympics, 2010 Alex ‘Chumpy’ Pullin • World Champion, Snowboard Cross, 2011 Holly Crawford • World Champion, Snowboard Half Pipe, 2011 Oh yes, and did you notice that we have acquired two new World Champions this month? Laura Peel Aerials World Champion, 2015 Scotty James Snowboard Half Pipe World Champion, 2015 Medal Table Freestyle & Snowboard World Championships 2015 Data Gathering in Australia • Australian Ski Areas Association (ASAA) – Australian Resorts Skier Day Statistics – annually • SIA Australia – Australians in Sport, 1996 by Brian Sweeney & Associates • Independent Research – eg ASGA, Roy Morgan Research, KPMG, etc. • Alpine Resorts Coordination Council (ARCC) – 2006 & 2012 - Economic Significance of the Australian Alpine Resorts • Snow Travel Expo - Melbourne & Sydney annually • SIA Australia – Winter Equipment Hardware Sales • 2008 Alpine • 2009 Alpine & Snowboard • 2010 Alpine, Snowboard, Cross Country, Helmets • 2011 onwards Alpine, Snowboard, Helmets • SIA Australia – Participation Study • 2010-2011 surveyed 4,000+ Australians • 2011-2012 surveyed 6,000+ Australians Historical Data Participation in Snowsports Source: Australians & Sport Brian Sweeney & Associates Annual Survey, 1996 In 1996, the Australian population was 18,311,500 16% of Australians participating in ‘Snow Skiing’ amounted to 2,929,850 people SIA Equipment Surveys Wholesale Hardware Sales by Value 2008 2009 Alpine A$12,569,784 A$10,038,857 A$11,025,449 A$9,589,979 A$10,475,928 A$10,775,796 Snowboard A$10,499,515 A$9,737,116 A$10,711,101 A$9,414,652 A$10,714,300 A$10,759,208 A$1,336,096 A$1,649,939 A$2,175,481 A$1,622,849 A$1,497,652 A$1,552,820 A$24,405,395 A$21,425,912 A$23,912,031 A$20,627,480 A$22, 687,880 A$23,087,824 Helmets Total Wholesale Hardware Sales 2010 2011 2012 2013 $5,000,000 2008 Alpine 2009 Snowboard 2010 Helmets 2011 2012 Total Hardware Sales $1,552,820 $1,497,652 $1,622,849 $2,175,481 $10,759,208 $10,775,796 $10,714,300 $10,475,928 $9,414,652 $9,589,979 $10,711,101 $11,025,449 $9,739,116 $10,038,857 $10,499,515 $23,087,824 $22,687,880 $20,627,480 $23,912,031 $21,427,912 $24,405,395 $25,000,000 $1,649,939 $1,336,096 $15,000,000 $12,569,784 Wholesale Hardware Sales by Value $20,000,000 $10,000,000 $2013 Wholesale Hardware Sales by Numbers Sold 2008 2009 2010 2011 2012 2013 Alpine Skis sold (ex-warehouse) 18,195 14,693 15,261 13,711 17,550 17,313 Snowboards sold (ex-warehouse) Total Sliding devices sold (ex-warehouse) 15,729 13,704 14,413 14,747 15,341 16,444 33,924 28,397 29,674 28,458 32,891 33,757 30,000 33,757 28,458 29,674 28,397 35,000 32,891 33,924 Wholesale Hardware Sales by Numbers Sold 16,444 17,313 15,341 17,550 14,747 13,711 14,413 15,261 13,704 15,000 14,693 15,729 20,000 18,195 25,000 10,000 5,000 - 2008 2009 Alpine Ski Sales 2010 2011 Snowboard Sales 2012 2013 Total Sliding Devices Sold Helmet Sales by Value $2,500,000 $2,175,481 $2,000,000 $1,649,939 $1,622,849 $1,497,652 $1,500,000 $1,552,820 $1,336,096 $1,000,000 2008 2009 2010 2011 2012 2013 Helmet Sales by Numbers Sold 30,000 28,876 25,000 23,954 22,665 22,593 20,074 20,000 16,105 15,000 2008 2009 2010 2011 2012 2013 SIA Participation Studies SIA Australia Participation Studies David Ingemie, President of SIA USA, and our keynote speaker at two former Australian Snowsports WOI Conferences, can claim the credit for drawing our attention to the need for Australian Participation Studies. David identified the need in March of 2010 and the first SIA Australia Snowsports Participation Study started in October of that year. SIA Australia Participation Studies Methodology During the period October 2010 - January 2011, a Study was conducted using 4,000+ online omnibus interviews. The Study was designed so that the results would be compatible with the 2009 US Study and was conducted by I-View of Australia. The results of the initial study were so surprising that SIA Australia decided not to publish the data but rather to commission a second study, 50% larger than the first, in order to confirm the findings and to create the most robust series of data ever produced about the Industry in Australia. The second Study was conducted during the period September 2011 to February 2012 using a further 6,000+ online omnibus interviews. SIA Australia Participation Studies Participants in each Study were from across Australia and the total 10,000+ Nationwide sample of individuals covered in both Studies was a whopping 210% larger, in comparative terms, than the 2009 US Study. The data thus produced is therefore extremely robust in statistical terms. A weighting technique was used to balance the data to reflect the total Australian population aged 6 and above. The following variables were used: gender, age, income, household size, region, and population density. The total population figure used was 22,516,555 – from the Australian Bureau of Statistics. The data from the Participation Study have been averaged. How many Australians participate in Snow Sports? Total Population: 22,516,555 (Australian Bureau of Statistics) Average number of Australians participating in Snowsports per year 2009-2011 Number %age of Population 1,708,066 7.6% Where do Australians participate in Snow Sports? Total Participants: 1,708,066 (SIA Participation Study) Number %age of Participants 1,334,955 78.2% Average number that participated only outside Australia per year 2009-2011 469,533 27.5% Average number that participated in and outside Australia per year 2009-2011 955,557 55.9% Average number that participated in Australia only per year 2009-2011 How many days do Australians spend on snow each year? 14.7% 1 Day 2-8 Days 32.8% 52.5% 9+ Days Where do Australians spend their time on snow each year? 31.9% Australia New Zealand 11.3% 78.2% Elsewhere Where do Australians participate in Snow Sports? 11.3% NSW 4.6% VIC 5.5% 37.8% New Zealand 6.7% USA 3.8% Canada 11.3% Europe Japan 40.3% Other What activities do Australians do in Snow Sports? 5.90% 11.80% Alpine 46.20% XC Freestyle Ski Snowboard 40.30% Snowshoeing 13.40% 17.60% Telemark SIA Australia Trade Show Statistics Snow Sports Trade Show 2013 • • • • Individual visitors up by 3% Visiting companies up by 4.6% Exhibitor numbers down by 13% Floor space sold down by 5.7%. Snow Sports Trade Show 2014 • • • • Individual visitors up by 23% Visiting companies up by 14% Exhibitor numbers up by 6.6% Floor space sold up by 2.7%. ASAA Skier Day Statistics Australian Skier Day Statistics 2000-2014 Average 2,040,867 Source: Australian Ski Areas Association Australian Skier Day Statistics 2000-2014 1,200,000 1,000,000 2,287,000 2,155,000 1,879,000 2,033,000 2,017,000 2,040,000 1,740,000 1,607,000 1,600,000 1,400,000 2,034,000 2,293,000 2,032,000 1,800,000 2,122,000 1,939,000 2,000,000 2,110,000 2,200,000 2,325,000 2,400,000 A skier day is one person purchasing a lift ticket for one day's skiing or snowboarding. Some assumptions are made as to how many days the purchaser of a season pass skis or rides. 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 How much difference does snow make? Australian Skier Day Statistics 2006-2014 2,500,000 2,325,000 2,000,000 2,034,000 2,040,000 2,017,000 2,155,000 2,033,000 2,287,000 1,879,000 1,500,000 1,740,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 Roy Morgan Research Roy Morgan Research Published 7 March 2012 Overseas Ski Destinations growing in popularity Ar ticle No. 1596 - So u r ce: Ro y M o r gan Sin gle Sou r ce (Jan u ar y 2001 – Decem b er 2011, n =1,6 2 7).: M ar ch 07, 2012 Australians going on a skiing or snowboarding holiday are increasingly choosing overseas destinations over Australian ones. In December 2011 49% of Australians who went snow skiing or snowboarding on their last holiday chose an overseas destination, up from 34% in December 2010, and 21% in December 2001. Only 1.4% of Australian holidaymakers went snow skiing or snowboarding on their last holiday. Overseas destinations which are popular for snow skiing and snowboarding are New Zealand, USA, Canada, Europe, and Japan. Overseas Ski Destinations are growing in popularity Source: Roy Morgan Single Source (January 2001 — December 2011, n=1,627). Jane Ianniello, International Director of Tourism, Travel & Leisure, Roy Morgan Research, says: “Although only a small percentage of the Australian population goes snow skiing or snowboarding on their holidays, it is nevertheless a lucrative niche market with snow skiers spending more on their holidays than the average tourist. “With the strong Australian dollar, Australian ski destinations are finding it hard to compete with overseas ones. It is important to understand the demographic, attitudinal and behavioural profile of people who go snow skiing or snowboarding on holidays and to tailor an appropriate communication message." 2011 Economic Significance Study Australian Snowsports Expenditure from The Economic Significance of the Australian Alpine Resorts 2006 and 2012 Gross Direct Visitor Expenditure in Australian Resorts 2005 & 2011 New South Wales Victoria Total Resorts 2005 A$867,000,000 A$497,000,000 A$1,364,000,000 2011 A$881,000,000 A$636,000,000 A$1,561,000,000 Snapshot from The Economic Significance of the Australian Alpine Resorts 2011 Equipment Purchases Of visitors who purchased equipment in 2011: • • • • 66.4% spent the money in local retailers 19.3% spent in resort retailers 3.2% purchased the equipment from online Australia suppliers and… 11.1% purchased the equipment from online overseas suppliers. What’s happening in Retail? Approved Retailer Program AUD:USD Exchange Rates 2005-2014 Source: www.xe.com Australian Internet Sales 2010-2014 The Low Value Threshold (LVT) The Australian Bureau of Statistics has released its first estimate of the amount Australian shoppers spend on overseas-based retail websites. It says that about A$6.23 billion of goods worth less than the Government’s low-value threshold were imported in the 2011-12 financial year. The low-vale threshold applies to goods worth less than A$1,000. ABS 18 August 2013 International Websites A new initiative from Australia Post Changing Airline Baggage Allowances Australian Labour Costs Pay Guide for the General Retail Industry Award 2010 Effective from 1 July 2014 Thank you Questions?