The all-important first impression really does have a lasting impact, lends Jason Gentz, manager of Arnzen Arms in Eden Prairie, Minn.
“We’ve always treated our customers with patience and respect regardless of their experience level. Ultimately, the new shooter is going to come back (or not) because of their initial experience,” he said. “If we took the time to walk them through the process at their speed they’ll engage with our marketing assets. If we confirm their prejudices about our industry they will not.”
While it might be tempting to “cash in” on this season of record demand, it won’t benefit your business in the long run, advises John Paulk, president of Shot Spot in Carrollton, Ga.
“Dealers have to be careful not to price gouge the consumer in these times. The customer memory is stronger than the sale,” he said.
Answering The Million-Dollar Question
How daunting it must be to follow a year where the only certainty was uncertainty — go easy on us, 2021. We asked a group of trusted retailers to get out their crystal balls and answer the million-dollar question: How are they planning for success in the new year after an unprecedented, uncomfortable and unrelenting 2020? Let’s dig in.
Get Talking
You’ve heard it before in this column, and will assuredly hear it again: With 2020 being the year of the first-time gun buyer, make 2021 the year of the repeat buyer! Several store owners have already made this a cornerstone of their 2021 planning.
“Re-engaging new gun owners is a good challenge to have,” informed Jacquelyn Clark, co-owner of Bristlecone Shooting, Training & Retail Center in Lakewood, Colo. “Firearms retailers and ranges around the country have a whole new market segment to talk to — so talk to them! Create opportunities for them to get excited about their new tools, not just leave them in the back of a closet because the world is going back to normal.”
Putting her words to action, Clark shared Bristlecone is developing both in-person and online outlets to welcome first-time customer participation.
“We’re running a series of short, free online seminars that enable these new gun owners to get involved in different areas of the shooting sports,” she said. “Once they meet our instructors or learn about a type of competition, for example, many times they will re-engage quickly because they’re excited and interested.”
Highlighting fun over fear will prove vital to integrating new customers.
“Retaining first-time gun owners requires a mental shift from fear to fun. We’re masters at fun,” said Bren Brown, founder and president of Frontier Justice, which operates three locations in the Midwest.
“Our strategy on how we re-engage and foster a long-term relationship with these new participants is focused on their continued enjoyment of outdoor and shooting sport activities,” added Skyler Thomas, manager at Freedom Shooting Center in Virginia Beach, Va.
Jeremy Ball, general manager of Sharp Shooting Indoor Range in Spokane, Wash., provided an honest evaluation of the challenges of re-engaging a significant volume of customers today.
“Re-engaging first-time gun owners, right now, is virtually impossible,” he stated. “We don’t have the time/ability due to lack of product to entice them to return through promotions or expanded training.”
Barry Laws, CEO of Openrange in Crestwood, Ky., echoed Ball’s concern.
“Currently, we have more customers than we can legitimately offer great customer service with classes, etc. We’re looking for other trainers to assist us,” he said.
Finding the right balance point with the resources available to serve first-time gun owners properly will be key in 2021.
Stand Out For The Right Reasons
One of the ways your store can stand out from a crowded field of other independent retailers, big-box outlets and online stores is by providing a first-class experience to both new and established customers.
“Whenever you have new customers, the best thing you can do is provide great customer service, and also give them as much education on the firearm and related product as possible. Once they’re educated and comfortable it will make their return visits easier,” shared Alex Hague, co-owner of VRA in Vandalia, Ohio and New Castle, Ind.
“2021 is a mystery. This unprecedented demand will come to an end, but when? That’s the tightrope we brick-and-mortar businesses walk as we weigh inventory, turns and cashflow moving forward.”
Wade Cummings, General Manager Georgia Gun Club, Buford, Ga.
Supply Chain Challenges
In each of my conversations with the members of our panel, challenges in inventory delivery was the major stumbling block to securing additional sales in 2020.
“We simply can’t get enough to meet demand,” stated Laurie Fettig, co-owner of T&L Tactical in Manitowoc, Wis. “Most distributors have everything allocated so it can be pretty challenging to get firearms, ammunition and accessories.”
As a result of the election, demand is expected to stay elevated — causing further strain on an already taxed supply chain.
“The supply chain is hanging on by a thread,” Clark observed. “If we see any more increased demand — which could easily be created by a Biden gun-control agenda or social unrest — it could potentially break altogether. If retailers aren’t able to replenish their supply, they’ll go out of business.”
John Phillips, founder and president of PWG Range in Poway, Calif., is preparing for increases in 2021, but limited supply will be an inhibiting factor.
“I’m using Obama years’ growth (starting with 2008 for 2021) to budget. It may not be quite as high as the 11.5% growth in 2008 over 2007, but close. Supply is going to limit growth,” he said.
A surge of backorders, coupled with lower inventory volume have placed dealers in an unenviable position.
“Retailers are facing an issue of having so many customer backorders that once inventory arrives it’s out the door and nothing goes in the display,” Hague said.
He added a workaround: “Working closely with sales reps can help alleviate this by getting extra orders in, or picking up some guns not currently on your backorder lists. We all want to fulfill our customer orders the best we can, as well as have items available to purchase in the store.”
In Need Of Support
In light of these significant challenges, we asked dealers how the industry could better support their efforts moving forward. They were honest in their assessments.
“I know this is against the grain, but if the industry — as a whole — wants to stay healthy it has to assist its marketing arm: mid-to-small gun stores and ranges. If they continue to serve big boxes, online retailers and buying groups with inventory while side-stepping the needs of mid-to-smaller brick-and-mortar shops who use JIT (just-in-time) inventory methods, these brick-and-mortar shops will face the same doom as our ‘Trump Slump,’” Laws observed.
Better communication would be a solid starting point.
“I’m sure 2021 is going to be a crazy ride. Buckle up and hold on.”
Laurie Fettig, Co-Owner T&L Tactical, Manitowoc, Wis.
“Vertical visibility in the supply chain would make a huge difference,” Gentz noted. “We don’t expect the industry to become Amazon overnight, but trending toward being able to predict times for delivery would go a long way for our staff and our customers.”
“The industry needs to get better at communicating with dealers (through reps or direct to dealers),” Phillips added.
Wade Cummings, general manager at Georgia Gun Club in Buford, Ga., addressed the reality of COVID-19’s impact on a decentralized industry.
“There’s very little the industry can do — it has no oversight,” he noted. “We’ve seen double-digit increases in costs, industry-wide shortages and year-long backlogs. In an environment of hyper-consumption there’s no supply to satisfy it.”
Laws suggested a strategy he’s had to implement in his store would be beneficial for manufacturers and wholesalers: “Limit sales per customer and spread out the inventory amongst the most dealers and ranges possible. We understand they can sell all they can right now, but a little planning now by the industry can save a huge issue down the road.”
The Bottom Line
Dealers provided their “bottom line” thoughts on what it would take to be successful in 2021.
“Product or reliable information. Both would be amazing,” Gentz quipped.
“Fair pricing and being considerate to the consumers are more than anything else,” Paulk advised.
“Being able to pivot: In order to be successful, dealers have to be ready to try new things, change procedures and mix it up on a regular basis,” Clark added. “Staying stagnant isn’t an option right now — you’ll get left behind.”
“2021 is a mystery. This unprecedented demand will come to an end, but when?” Cummings mused. “That’s the tightrope we brick-and-mortar businesses walk as we weigh inventory, turns and cashflow moving forward. We expect the market to correct in the late first quarter of 2021. This will allow the manufacturers to catch up to demand.”
Fettig provided an apt viewpoint on success in 2021.
“To be successful in 2021 you’ll need to be able to secure products for your customers in a timely manner and offer them training to help them feel more comfortable. I’m sure 2021 is going to be a crazy ride. Buckle up and hold on,” she concluded.
Some sound advice to close out this first Industry Link column of 2021. We’ll likely encounter some turbulence in 2021, but Shooting Industry will be on this ride just as we’ve done for the past 66 years — together.
Did we answer the million-dollar question? What resonated with you and what would you add? Email your thoughts anytime: editor@shootingindustry.com.
INDUSTRY NEWS BRIEF
Taking The Trade Show To The Dealer
In the wake of stalwart industry events being forced to cancel in-person meetings in early 2021 — including the ATA Show and SHOT Show — Davidson’s and Outtech Inc. have each devised a combination of live events and in-person initiatives to equip dealers in the new year.
Broadcasting daily Jan. 4–8, “LIVE From Davidson’s” will be the wholesaler’s first live streaming event in an ongoing effort to bring the latest news, promotions and industry knowledge to both their dealer network and Gallery of Guns consumer base.
“We’ve worked with our vendors for over two years publishing live streaming events,” said Kane Cannedy, Davidson’s VP of purchasing. “Now we [can] be even more flexible and timely and produce events for both our consumers and dealers. Having strong relationships with our manufacturing vendors will also allow us to impart industry knowledge straight from the sources.”
The initial broadcast, “D-Week Live,” will be exclusively available for Davidson’s FFL dealer network. It plans on adding a regularly scheduled roster of events occurring monthly moving forward — with broadcasts planned for what would have been SHOT Show week.
Historically held on the eve of the ATA Show, Outtech’s signature Innovations event served as a “thank you” to dealers for their support of its brands the previous year. Jan. 11–22, it will take elements from the event on the road to dealers in both digital and in-person formats.
“This will be a multi-faceted effort,” shared Jen Kresser-Campbell, Outtech VP of brand and business intelligence. “Dealers will get information via SMS messaging, eblasts, digital content on YouTube and data warehouses and in a printed catalog — and some in-person opportunities with key dealers.”
Kresser-Campbell estimates her team will make 350 in-person visits in January in support of this event, giving Outtech reps the opportunity to do business with the dealer “across the table” and sponsor an employee lunch or outing.
