Let’s Not Just Blame Amazon
The Amazon Effect is given a lot of blame for the lousy and, some say, deteriorating retail environment. I gather it was a topic of conversation at the recently completed Surf Industry Summit at Cabo.
And I guess you can blame Amazon, if by blame you mean come up with a business model that’s attractive to consumers. But there’s more to it than Amazon. Over months/years, I’ve pointed out some of the issues; too much retail space, wage growth not keeping up with inflation, millennials being conservative, etc.
Now a guy I follow named Mish has reviewed recent results for public retailers and provides some pretty convincing numbers that there’s more going on here than Amazon. His 12 point summation of what’s influencing retail is worth your consideration.
He’s not writing about the active outdoor or action sports market, but I doubt you’ll end up thinking any of the 12 points aren’t impacting us. They are largely long term and macroeconomic in nature.
Mish is a bit conservative for me, but I try and read things across the spectrum to give me the occasional whack on the side of the head I find I need. Anyway, there’s no cost to subscribe to him if his posts interest you.
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