WHAT INDUSTRIES THRIVE IN A RECESSION?
Many would think of industries like healthcare, education, business services, and debt settlement.
When the going gets tough, the tough go camping.
I can remember when the stock market crashed in 2008. It was clear that this was going to be serious and not some easy thing. I went into a reading frenzy to learn all I could about what was going on and how to prepare. The bookshelves were filled with doomsday predictions calling for another great depression, inflation, unemployment and so forth. I gave particular attention to the information that was backed by research and followed patterns of earlier recessions. It became more and more obvious, that the years ahead were going to be extremely tough.
I called my friends in the outdoor industry to warn them about the predictions.
“This is going to be serious” I said “You better be prepared to tighten up. It is not going bounce back any time soon.”
I had a conversation with one of the senior guides who had been through a number of recessions and worked around the world for many different companies such as biking, hiking, climbing, kayaking, and outdoor gear companies. He was calm, and said it was typical for the outdoor recreation industry to do well in hard times.
To my surprise, after a brief lull, business picked up and even began to break records of the numbers of visitors even though the news was full of doom and gloom about the economies around the world.
He was right!
People are not willing to give up their vacations. Travel and tourism continued to thrive. We saw an increase in domestic travel rather than longer exotic trips. Studies showed that 72 percent of Americans preferred shorter trips
People seemed to look to the outdoors to sooth their souls.
More than 140 million Americans continued to make outdoor recreation a priority despite all the uncertainty according to the 2012 OIA economic report.
Outdoor industry gear sales came back strong and were up over 8 percent and product sales were over $120 billion in 2012.
A record number of travelers visited the US national parks even with the threats of budget cuts and layoffs looming ever closer.
Adventure travel boomed globally growing over 17% in 2009 and 2010. Adventure Travel accounted for about $89 billion in global spending making up about 16% of all departures from North America, South America and Europe.
There is a lot more to this industry. Even with Europe facing increasing challenges in 2013 and the fiscal challenges in the US, people’s thirst for adventure in the great outdoors shows no signs of slowing down.