Biggest thing killing dive shops?

[JamesBon92007]

Good thread.

There are some missing pieces.

I think it is likely that some of the fastest moving gear will end up for sale at places like Target and Walmart. One of the major sporting goods chains was selling SCUBA gear for a while here much to the annoyance of the LDSs.
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While I agree with you about 99.99% of the time, I just can't imagine buying any meaningful equipment from Walmart. Unless they had an identical brand-name item for less they simply would not get my business because I will assume that they are selling sub-standard crap. They impress me as being a Chinese retailer and my experience with Chinese products is that while they may be able to make an exact copy of a Honda GX engine that lasts just as long and costs 1/4 as much, the rubber parts fall apart. Same with air hoses, tires, etc. Consequently, I would not buy something like a regulator or BC from them. I also assume any mask or fins they sell is not equal to what we normally dive with--it's just stuff for people who want to snorkel a couple of times while on vacation. If they had an underwater flashlight for $5 I might go for that.

Also, Sport Chalet did sell scuba gear and had dive classes etc but I don't see how they even kept that department going. I went in once to get a tank filled and had to carry my tank across a parking lot, across the store, up the stairs, around the corner, and then back again. I did not feel like I was talking to fellow divers in the store, just retail salespeople. If someone wants to incorporate scuba into a retail store they will need to make it much more accessible and convince me that the guy filling the tank has actually at least seen a scuba tank before.

 

[MaxBottomtime]

Leisure Pro is part of an existing large merchant who sells something else IIRC.

Adorama

 

[runsongas]

This probably doesn't work in the USA (where almost anybody can have real rifles), but one of my local LDS sells air rifles and air fills to the air rifle shooting enthusiasts. You don't need a gun license for sub hi-power air rifles. They are just fine for putting holes in a paper target. And it's a great sideline for the LDS. I've been in the shop when these guys have brought their tanks to be filled and have their refill card "clipped." A great way to leverage the LDS's investment in compressors etc. And it helps to keep the LDS in business.

airsoft/paintball gear has even stiffer competition as it is sold by Amazon and Dicks in the US. only overlap for a dive shop is air fills which aren't a big moneymaker.

 

[JamesBon92007]

So, in this day and age what do dive shops need to do to stay relevant and survive?

It's been determined that there is no way that LDS's can compete with the internet strictly on dive gear sales.
The way that the old retail model was fashioned, it was just too easy for e-tailers to come in and slaughter the LDS on price..

Let us not forget that before the internet and LeisurePro and Scuba.com etc. we had Aqua-Craft, based in San Diego. They were mail order. I bought many of my "accessories" from them. I don't know why they ceased to exist but it seems to have happened about the same time the internet became a shopping center. Perhaps @Sam Miller III will chime in here with some history

 

[Mrs. B]

Income stream using VA benefits for tuition (post 9-11 the most money)

aviation works the same way at 141 schools for instrument ratings and up (commercial, CFI, ATP (not PPL)

VA Approved PADI Professional Courses | Florida Keys Dive Center

the key is to have an employee that knows the system

 

[Eric Sedletzky]

I saw WalMart mentioned.

I used to see a husband and wife team that had a roving kiosk at all the Costco’s that sold IST dive gear. They had a complete display of everything one would need to be completely set up.
But IST?? Isn’t that like the cheapest chinese junk available?
If WalMart ever did get into selling scuba gear that’s probably what it would be.

 

[runsongas]

IST is made by aquatec as far as i can tell. aquatec used to make the older dive rite regs that got discontinued. while it isn't the best gear in the world, it works fine.

 

[2airishuman]

While I agree with you about 99.99% of the time, I just can't imagine buying any meaningful equipment from Walmart. Unless they had an identical brand-name item for less they simply would not get my business because I will assume that they are selling sub-standard crap.

I only ever shop at Walmart as a last resort, in part because I'm 1/4 mile away from a Target and the goods and service there are somewhat better. That day is off a ways, anyway, it will be places like Dick's Sporting Goods and Gander Outdoors that will be there first.

The grand fallacy here is that there are meaningful differences in the quality of dive gear. At this point most of it is good enough and the differences are just deliberate attempts at product line differentiation by the vendors.

The thing to realize is that Target/Walmart/Dicks and related stores are very good at collapsing product lines and figuring out a way to sell the highest margin goods into a new niche. They'll sell one or two reg sets, one or two BCs, some AL80s, and a couple of types of fins, boots, wetsuits, masks, gloves, snorkels, and a computer. And probably a bundled accessory kit or two that includes a bunch of stuff. All that stuff will be dirt cheap compared to leisurepro let alone the LDS. It will not be a full line. That's not the goal, they're just trying to pick off the highest profit items and expect you to fill in using specialty retailers or amazon or whatever.

 

[MichaelMc]

I see that Target/Walmart/Dicks would save vs LDS. But how does their local outlet save vs online retail? Maybe they save via pallet sized shipping, but they still have local stocking costs. Will Wallmart/Dicks sell more than LeasurePro? Will that extra volume mean significantly lower stocking costs?

Though several of the online dive shops also stock locally, just not the locally near most of their customers.

It does not seem I gain much from buying dive gear from the generic floor staff at a big box vs online. Though the big box gains from random impulse buys. I have no knowledge of retail.

 

[JamesBon92007]

I see that Target/Walmart/Dicks would save vs LDS. But how does their local outlet save vs online retail? Maybe they save via pallet sized shipping, but they still have local stocking costs. Will Wallmart/Dicks sell more than LeasurePro? Will that extra volume mean significantly lower stocking costs?

Though several of the online dive shops also stock locally, just not the locally near most of their customers.

It does not seem I gain much from buying dive gear from the generic floor staff at a big box vs online. Though the big box gains from random impulse buys. I have no knowledge of retail.

Walmart is avoiding some local stocking costs with their "Walmart.com" where you order it online and pick it up at the store, but they don't actually stock it. Sometimes it works very smoothly and sometimes not. But they are able to sell a huge selection without actually stocking the items and the main reason I buy from them is because they will often have an item that I can't find elsewhere, or for a lot less than elsewhere.