The U.S. Department of Commerce just released its of the outdoor recreation industry鈥檚 contribution to the national economy. The result? $1.1 trillion in total economic output during 2022. That鈥檚 more than oil and gas extraction, and mining, .

Nationwide, outdoor recreation was responsible for 2.2 percent of total Gross Domestic Product in 2022, and five million jobs. That鈥檚 3.2 percent of total national employment.

鈥淸This] shows that sustained investment in outdoor recreation and protection of our shared public lands and waters pays huge dividends for our local and national economies and quality of life,鈥� states Jessica Turner, President of the Outdoor Recreation Roundtable, a trade group.

Locally, the economic output and jobs provided by outdoor recreation can be even higher. In Alaska, Hawaii, Montana, Wyoming, Vermont, and Massachusetts, it鈥檚 responsible for more than four percent of each state鈥檚 GDP.

The outdoor recreation economy is also growing faster than the domestic economy, as a whole. Between 2021 and 2022, outdoor recreation grew at 4.8 percent, while total economic growth was only 1.9 percent. Job growth in outdoor recreation during the same period was double the total national rate.

Turner says this new data should help the industry better lobby for the protection of America鈥檚 public lands and waters, since they鈥檙e what makes outdoor recreation鈥檚 economic contribution possible.

鈥淭o ensure that this success is sustainable and that our public lands and waters will continue to be accessible to all Americans for generations to come, we will continue to work together with leaders on the passage of (AORA) by the end of this year,鈥� explains Turner.

Complete with bipartisan support, AORA aims to help public lands and waters cope with record visitation, while modernizing access to them. A suite of initiatives like expanded parking facilities, online pass sales, infrastructure improvements, and simplified management will make getting outdoors easier for the public, more trackable for industry and government partners, and easier to manage across the patchwork of responsible agencies. It does all that while remaining cost neutral for taxpayers, and without restricting access for any user group.

鈥淥utdoor recreation is not a nice to have鈥攂ut a necessity for healthy people, places, and economies,鈥� states Turner.

The post Outdoor Recreation Now Contributes More than $1 Trillion to the U.S. Economy appeared first on 国产吃瓜黑料 Online.

The numbers are in.

The聽U.S. Bureau of Economic Analysis (BEA) came out with its annual report today dissecting the importance of the聽outdoor economy across the nation.聽Officially an analysis of the agency’s Outdoor Recreation Satellite Account, which measures聽“economic activity as well as the sales or receipts generated by outdoor recreational activities” across the country, the report laid out in clear terms just how crucial outdoor recreation remains to state economies from coast to coast.

Across the board, the upshot was positive. The BEA’s report found that outdoor recreation contributed to the economies of all 50 states and accounted for 2.1 percent ($459.8 billion) of current-dollar gross domestic product and $788 billion in gross output (consumer spending) in 2019.

According to a recap of the study published this morning by the Outdoor Recreation聽Roundtable,聽it is likely these figures will be even higher for 2020,聽given the rise in outdoor participation during the pandemic.

Lise Aangeenbrug, executive director of OIA, said after the release of the data, 鈥淭he report published today proves that together, we are a force. The industry is a vital component of national, state, and local economies, as well as an important catalyst to America鈥檚 economic recovery.”

Here’s what we learned from the numbers.

States That Benefited Most from the Outdoor Economy

The states that saw the highest value-add from outdoor recreation as a percentage of state GDP were clustered in the Intermountain West and the Northeast, with several key outliers in Hawaii, Alaska, and Florida. The top states to benefit most from the outdoor economy in 2019 came in as follows.

Hawaii: 5.8 percent*

Vermont: 5.2 percent

Montana: 4.7 percent

Florida: 4.4 percent

Maine: 4.2 percent

Wyoming: 4.2 percent

Alaska: 3.9 percent

Utah: 3.3 percent

New Hampshire: 3.2 percent

Colorado: 3.1 percent

Nevada: 3.1 percent

*value-add from outdoor recreation in 2019, as a percentage of state GDP

States that Benefitted Least

On the flip side, the states that benefitted least were clustered in the Midwest and parts of New England. Washington, D.C., measured apart from the other 50 states, came in last.

Washington, D.C.: 1.1 percent*

Connecticut: 1.3 percent

Deleware: 1.7 percent

Maryland: 1.7 percent

New York: 1.7 percent

Ohio: 1.6 percent

Pennsylvania: 1.6 percent

Alabama:聽1.8 percent

Illinois: 1.8 percent

Massachusetts: 1.8 percent

*value-add from outdoor recreation in 2019, as a percentage of state/district GDP

What鈥檚 Included in the Definition of ‘Outdoor Recreation’

It’s important to note that “outdoor recreation” in the BEA’s report differs鈥攕lightly鈥攆rom how the outdoor industry typically defines it.

The report divides outdoor recreation activities into three general categories: “conventional activities,” including bicycling, boating, hiking, hunting; “other core activities” like gardening and outdoor concerts; and “supporting activities” such as construction, travel and tourism, local trips, and government expenditures.

Conventional outdoor recreation, the data shows, accounted for 30 percent of GDP value-add across the country, while other core activities accounted for 19 percent, and supporting activities accounted for the remaining 51 percent.

Among conventional activities, boating/fishing added the most money to the economy at聽$23.6 billion in current-dollar value added. In 30 states, as well as in Washington, D.C., boating/fishing was the most valuable conventional outdoor activity in terms of GDP value-add, with聽Florida ($3.3 billion), California ($2 billion), and Texas ($1.7 billion) contributing the most to the overall GDP boost.

Second through fifth place went to categories adjacent to our core industry鈥擱Ving, hunting/shooting/trapping, ATVing/motorcycling, and equestrian, in order.

Snow sports came in sixth among conventional activities, adding聽$6.3 billion to nationwide GDP. In four key states, however鈥擟olorado ($1.7 billion), Utah ($666.3 million), Vermont ($286.9 million), and Wyoming ($147.5 million)鈥攊t was the largest GDP value-add among conventional outdoor activities.

Outdoor Employees Fared Better; Retail Added Significant Value

Also encouraging was the fact that, across the board, the report shows outdoor employees doing better than they did the previous year. Employment in the outdoor space rose by 0.4 percent in 2019, and compensation for those employees increased by 3.9 percent overall.

Breaking down the national outdoor industry GDP value-add in 2019, the report shows that 21 percent of the benefit came from retail trade. At the state level, retail was the largest contributor to outdoor recreation value-add in 13 states, and the second largest in 32 states.

Comparison to Past Data

2019’s report wasn’t quite as rosy as the last couple that have come out. In聽2018, the BEA聽showed a 2.2 percent contribution to national GDP coming from the outdoor sector, outpacing growth of the U.S. economy overall. 2017聽was similar. In 2019, the outdoor economy grew at a slightly slower clip than the U.S. economy at large.

The numbers are still encouraging, however, and as OIA noted this week, figures for 2020 and beyond are likely to grow at an accelerated rate, given the spike in outdoor participation during the pandemic.

The post Report Confirms Outdoor Recreation Is Crucial to National and State Economies appeared first on 国产吃瓜黑料 Online.

It’s hard to believe, but the latest data from the Outdoor Recreation Roundtable showing a聽65 percent year-over-year decrease in sales among outdoor businesses actually counts as good news.

Of course, it’s all about context.

ORR, in partnership with聽the Oregon State University Outdoor Recreation Economy Initiative, has conducted several large-scale surveys of outdoor companies since the pandemic began. These surveys include responses from 23 national outdoor recreation trade associations, representing over 25,000 businesses with nearly 2.5 million employees.

The latest results, which present data for August, constitute the first time the numbers have not trended downward since the first survey was conducted in April. Responses to questions about supply chain disruptions, layoffs, and sales indicate that many outdoor businesses are headed in a positive direction for the first time in months.

“This is the first time the industry showed some positive-trending recovery numbers,” said Lindsey Davis, vice president of ORR. “We had been hearing positive things anecdotally from members in late May and early June, but this confirmed it.”

It’s heartening news, but it by no means indicates that we’re out of the woods completely. The whole picture is鈥攁s usual鈥攃omplicated.

Running the Numbers and Communicating the Results

The most promising numbers from the new survey involve stats on production/distribution, revenue, and employment.

In April, 89 percent of outdoor companies surveyed reported聽disruptions to production and distribution. That number increased to 100 percent in May, and decreased to 91 percent in August. Similarly, year-over-year revenue was down 84 percent in April, 94 percent in May, and 65 percent in August. Layoffs and furloughs took place at 79 percent of surveyed businesses in April, 88 percent of businesses in May, and 47 percent of businesses in August.

Following the publication of the survey data, ORR hosted a conference call on September 3 to communicate the results to eight leaders from relevant trade associations, including members of the National Association of RV Parks & Campgrounds; the RV Industry Association; Outdoor Industry Association; the National Forest Recreation Association; the American Sportfishing Association; the Motorcycle Industry Council; America Outdoors; and the National Marine Manufacturers Association.

“We wanted to have this call to explain the results,” Davis said. “Our message was, yes, we have a really great outlook right now, but there’s still a lot of looming threat for businesses in the outdoor industry.”

Those threats, Davis says, come mainly in the form of a radically changed landscape that will require new business strategies to navigate.

“The ironic thing is, while we’re in the middle of this hardship, we’re getting the participation metrics that we’ve always dreamed of,” Davis said. “The industry has been working double-time to show up for that. We’re seeing more people interested in very specific categories like fishing licenses, ATVs, RVs, and bikes. At the same time, these industries are also dependent on sales that happen at trade shows and supply chains being able to keep up with the demand. We wanted to have a call to explain all these nuances.”

Guides Still Struggling

Unfortunately, Davis says, adventure guides and outfitters are still suffering the worst effects of the pandemic, with little hope of a turnaround soon. As 国产吃瓜黑料 Business Journal reported in July, the coronavirus crisis has hit the guiding community particularly hard.

“Guides and outfitters are really not recovering in any way, shape, or form,” Davis said. “Most operators haven’t been able to reopen, and if they did open, they’re not able to operate at a profitable capacity because of social distancing limitations. The majority of those businesses are still at risk of permanent closure.”

On the call, American Outdoors executive director Aaron Bannon said that most guiding companies are operating at a reduced capacity of around 60 percent. There is reason to believe that demand to book guided trips still exists at pre-pandemic levels, he says, but state and local restrictions have throttled companies’ ability to meet that demand. Even if tour operators wanted to open at full capacity, many could not do so legally. With margins already thin and no other sources of revenue, these companies have felt the pain of the restrictions like few others.

A Complex Picture

While the new numbers from ORR are largely positive, the full picture of the situation is much more complicated than a complete, industry-wide swing in one direction or the other.

鈥淎ccording to the U.S. Census Bureau, outdoor recreation was the second-most impacted industry this year due to the COVID-19 pandemic, next to food and accommodation,鈥� said Davis.

“Impacted” has meant unpredictable changes in both directions, including some sectors of the industry outperforming sales in previous years. According to the ORR’s latest data, 22 percent of businesses are reporting an increase in sales compared to one year ago, even as 65 percent report decreased sales. Any businesses holding steady鈥攕howing no increase or decrease in sales鈥攔epresent a very small sector of the industry.

(We reported on some of the categories outperforming last year in the summer issue of聽The Voice, shown below. We also covered the surging sales at bike shops earlier this year.)

At the same time, there’s still considerable fear among members of the outdoor community that we haven’t seen the worst of the pandemic’s effects.

In a recent OBJ poll, 75 percent of respondents said they expect outdoor industry revenue to remain down over the next six months. Davis addressed that reality by noting that, of course, one positive data point doesn’t indicate a trend, merely a change.

“I think industry-wide, we are optimistic, but the sentiment is we’re not completely safe yet,” said Davis. “There’s still so much that needs to be fixed for a lot of businesses to survive. The picture is both positive and negative鈥攖here’s incredible growth and user participation in some areas, but at the same time, if we go through another round of closures and shutdowns, a lot of our small businesses aren’t going to make it. If supply chains aren’t repaired, there won’t be anything to sell in the first place. So we’re optimistic, but we’re not out of the woods.”

The post New Numbers Indicate an Outdoor Industry Turnaround appeared first on 国产吃瓜黑料 Online.