Ski Market files Chapter 11

[Geoff]

http://www.boston.com/business/articles/2010/01/02/ski_market_files_for_bankruptcy/

During its 2009 fiscal year, from April 1, 2008 through March 31, 2009, Ski Market reported $22.5 million in gross sales. From April 2009 through mid-December, the company’s gross sales were less than $7 million, putting it on pace for at least a 50 percent drop in sales, and possibly much more, as Ferguson wrote that November and December are usually the stores’ busiest months.

According to court filings, Ski Market owes $4 million to South Shore Savings Bank and just more than $1 million to other creditors. The company also owes $610,000 in rent for its existing locations and carries $4.5 million in trade debt.

A seriously crappy Christmas season. I'm sure the super-warm November was not kind to ski shops anywhere in the Northeast. You then pile on the recession and it's a recipe for business failures.

 

[speden]

That's a bummer. I pick up stuff there from time to time. I hope they can at least keep the Boston area stores open.

Probably internet sales have cut into their business as well.

We just picked up a new helmet for my wife last week, and noticed they had a really small inventory to choose from.

 

[RISkier]

I've noticed the inventory at the Ski Market in Warwick was pretty limited as well. No doubt the overall economic climate combined with internet shopping has really hurt shops like this. I think it's really tough for smaller local brick and mortars to complete on price. Everyone shops as Walmart, Target, Lowes, Home Depot, Amazon, etc., etc. Where smaller stores might compete is in terms of knowledge and value added service and Ski Market (at least the one in Warwick) didn't offer that. My wife and I had skis tuned there and could barely ski on them afterward. Very bad tunes. They completely botched the install of some hottronics. The sales staff doesn't know anything about their product. It is sad to see all of the local stores like this going down the tubes, however.

 

[rtibbs4]

I stopped buying there a few years ago. I rarely saw a sale on something I wanted and their prices on the things I did want we're high. I think they underestimated their competition and the results the economy would have on ski gear purchases.

 

[madriverjack]

The shop in Latham NY closed up this past spring.

 

[MR. evil]

The one in Avon CT is more like a clothing store than a ski shop. About 95% of the floor space is for clothing, and the ski / boot selection is very small. Prices are also way too high. The same pair of skis is ussually about 10% to 15% cheaper at my local shop, and that's before my local guy starts to wheel and deal.

But the boot fitter there (Dave Newman) does really know his stuff.

 

[severine]

The one in Avon CT is more like a clothing store than a ski shop. About 95% of the floor space is for clothing, and the ski / boot selection is very small. Prices are also way too high. The same pair of skis is ussually about 10% to 15% cheaper at my local shop, and that's before my local guy starts to wheel and deal.

But the boot fitter there (Dave Newman) does really know his stuff.

Agreed. They're not my first choice for goods, but Dave Newman worked wonders when he made my last set of footbeds and I learned a lot from him.

 

[MR. evil]

Agreed. They're not my first choice for goods, but Dave Newman worked wonders when he made my last set of footbeds and I learned a lot from him.

If that store closes, maybe Dave N will open his own shop again.

 

[severine]

If that store closes, maybe Dave N will open his own shop again.

We can only hope so! Would hate to lose an asset like Dave, especially when it's so hard to find a good bootfitter in the CT area!

 

[jack97]

Agreed. They're not my first choice for goods, but Dave Newman worked wonders when he made my last set of footbeds and I learned a lot from him.

If that store closes, maybe Dave N will open his own shop again.

Truth be told, I feel neutral about ski market filing for chap 11. The place has not adapted to the ever changing market place, in this case, stagnation killed its business. I feel for the people out of job and given its long history in this area, I feel another bit of my past has been lost.

Having said that, we need more ski shops that are service oriented, places that have expert boot fitting, a place to exhange use kids equipement,maybe even soft goods and fair pricing overall. Ski Hauss offers that around my area and look at the loyalty it commanded over the past couple of weeks.... JMHO

 

[wa-loaf]

They really missed the boat with Internet sales.

 

[hrstrat57]

I used to do a fair amount of biz w ski market Warwick.

Used to be pretty solid had a core group of sales folks who were pretty knowledgeable and helpful.

IMHO ski market got blown away by ebay and online businesses. They never adjusted pricing to compete or in lieu of adjusting pricing dialed up the service and quality of the sales staff to justify the high prices.

For me, a knowledgeable consumer and a former binding tech as well why would I pay double money to buy gear from a shop that doesn't provide me a reason to go there? My LSS that I faithfully supported went under a few years ago....I no longer considered ski market a LSS.

Ebay or online deals for me.

My last pair of skis I bought from dawgcatching on epicski who owns and operates a LSS in Oregon....I told him my weight, sole size and type of boot and the skis came dialed in perfectly from the shop..... the savings were fantastic and the communication with a shop 3000 miles away was much better than I had any hope of receiving at the local ski market.

I hope they reorganize and come up with a better business model.......

 

[snowmonster]

This sux! I hope they don't close down the Boston store and that they reorganize from there. For all the complaints people had about SkiMarket, I have had the opposite experience with them. I got great quality gear from them at very good prices at less than internet rates. I'm pretty much a gear price watcher and would swoop into the Boston store when things went on sale. I knew they were in trouble when I went into the store and there were hardly any new skis in stock.

 

[campgottagopee]

People have metioned internet buying of skis and such....I try very hard to NOT buy on the internet. When I'm in the market for skis I do "shopping" on the net then try to buy from a local shop using the internet pricing. As long as I get within 50 bucks I'm buying from a person and not this damn computer. I gotta touch it and see it with my own eyes plus I get the benefit of having a human available if there's a problem. Try it next time----maybe we can keep these shops in biz.

 

[severine]

It all depends, camp. I've bought skis on the internet that there was no way a local retailer could touch the price (mostly because they were leftover stock from a previous year and no longer available locally). However, the last pair of skis I did buy in a bricks & mortar who beat the online prices by a larger margin--and they have a guarantee that they will match legit retailers' prices as well. That makes a difference. I would love to be a staunch supporter of the shops that do right by me but the bottom line is the bottom line, to an extent. We're a single-income family of 4--can't afford to overpay. That said, service goes a long way.

 

[campgottagopee]

It all depends, camp. I've bought skis on the internet that there was no way a local retailer could touch the price (mostly because they were leftover stock from a previous year and no longer available locally). However, the last pair of skis I did buy in a bricks & mortar who beat the online prices by a larger margin--and they have a guarantee that they will match legit retailers' prices as well. That makes a difference. I would love to be a staunch supporter of the shops that do right by me but the bottom line is the bottom line, to an extent. We're a single-income family of 4--can't afford to overpay. That said, service goes a long way.

True, you bring up a great point, leftover stock is tough for shops to be competetive unless they happen to have access to them. I know my local shop (closed now) was part of a co-op so many times they could get more than what you saw on the racks, but you had to ask (if I wasn't friends with the owner I would've never known that). I think it's great you at least try to give your local shops a shot at the biz. Being in retail myself I know that means alot to the owners. I also agree that service is worth a few bucks, but like you ssaid not to the point of overpaying.

 

[billski]

The best shops are and always have been closest to the slopes

 

[campgottagopee]

The best shops are and always have been closest to the slopes

Really???

 

[ccskier]

I have always looked at Ski Market as a cracker jack shop. I did buy my new boots there at end of last season due to convenience. Overall they are kinda the Home Depot of the ski shops. I say that the local ski area shops get a better grade product than their stuff. Good riddance to them.

 

[UVSHTSTRM]

The best shops are and always have been closest to the slopes

Hmmm, maybe people wise, but my experience is that on hill/access road ski shops are generally expensive and not worth looking at, well until the end of season closeout deals.