Trade Insights and Market Report

Produced by

Southwick Associates P.O. Box 6435 Fernandina Beach, FL 32035 904 277 9765 [email protected]

This report is not to be reproduced or shared outside of your company or agency without permission of the American Sportfishing Association

Introduction

This report, offering the latest in industry trends and customer insights, is provided exclusively to attendees of the 2018 Sportfishing Summit courtesy of the American Sportfishing Association (ASA). Contents are based on confidential research conducted by Southwick Associates and its proprietary AnglerSurvey™ market research service, along with data from the U.S. Fish and Wildlife Service (FWS), U.S. International Trade Commission (USITC) and recent ASA research. Much of this information has never been released. Visit ASA’s website (www.ASAfishing.org) and other ASA communications for updates and new information.

This report was produced by Southwick Associates, a market research and economics firm specializing in the sportfishing, hunting, shooting and outdoor recreation markets. With nearly 30 years in business, Southwick Associates is the expert on the sportfishing market, helping companies understand their position within the market, the types of products and services most desired by anglers, optimal pricing, market trends, consumer segmentation and motivations and more. Southwick Associates provides confidential custom research catered to your firm’s specific niche and needs. Aside from custom market research, Southwick Associates also provides syndicated participation, media consumption and equipment purchase tracking studies utilizing their proprietary sportsmen and women panels.

ASA members receive a 15% discount on annual subscriptions to Southwick Associates’ syndicated tracking studies (AnglerSurvey and Media Monitor). As a complimentary ASA member service, Southwick Associates is available to answer any consumer or market-related questions at no cost to ASA members. Please feel welcome to contact them at any time.

Nancy Bacon, [email protected] Rob Southwick, [email protected] (904) 277-9765

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Table of Contents

Sportfishing in America: An Economic Force for Conservation ...... 7

Anglers’ Shopping Behaviors ...... 12

AnglerSurvey.com Data & Information ...... 15

Angler Media Consumption ...... 18

Anglers’ YouTube Usage ...... 20

U.S. International Trade Commission Tackle Imports ...... 21

Annual Imports by Fishing Tackle Category ...... 21

Quarterly (Seasonal) Tackle Imports by Fishing Equipment Category ...... 23

Dollar Value of Tackle Landed by Year, Top Countries ...... 29

Fishing License Sales Trends ...... 41

ASA Business Outlook Survey Results ...... 43

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Sportfishing in America: An Economic Force for Conservation

Despite competition from video games and other similar activities and increased urbanization, recreational angling remains one of the largest outdoor recreational activities in the nation as well as one of the most solid industries in the United States. According to the 2016 National Survey of Fishing, Hunting and Wildlife- Associated Recreation, America’s anglers generate nearly $50 billion in retail sales with a $125 billion impact on the nation’s economy creating employment for 800,000 people. The number of anglers grew eight percent from 2011 to 2018.

The National Survey of Fishing, Hunting and Wildlife-Associated Recreation, conducted by the U.S. Fish and Wildlife Service (USFWS), is released every five years and provides a “snapshot in time” of recreational fishing in the United States. The survey results about recreational fishing are summarized in Sportfishing in America which is compiled by Southwick Associates and is available from www.ASAfishing.org under “Facts and Figures.”

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AnglerSurvey.com Data & Information

Southwick Associates’ AnglerSurvey.com monitors anglers’ purchases for more than 75 key fishing tackle categories, tracking market shares, price and type of retailers used. In addition, AnglerSurvey.com tracks anglers’ fishing habits, including all species targeted, amount spent monthly, total days fished, and more. Top-level examples are shared here, with significant additional details available from Southwick Associates through either a syndicated report or custom data mining of our extensive database of information. Contact Nancy Bacon at Southwick Associates for more details ([email protected]).

In any given 2 months, these are the items purchased by Freshwater Fished Saltwater Fished those who said they fished in that same period 2017 2016 2017 2016 Lures and baits (hard, soft, spinner, dough, jig, live bait - 72.1% 75.8% 71.2% 72.6% not fly fishing) Terminal tackle (hook, sinker, swivel, rig, bobber, leader) 46.0% 48.5% 60.2% 57.8% Fishing line (not fly fishing) 38.4% 38.1% 42.3% 43.0% Reel (not fly fishing) 23.1% 22.7% 24.7% 25.1% Rod (not fly fishing) 22.5% 22.1% 23.2% 24.2% Fishing apparel 17.8% 20.0% 28.2% 26.4% Combo (rod/reel) 11.6% 10.7% 10.2% 5.8% Fly fishing tackle and accessories 9.0% 11.7% 8.5% 9.8% Rod/reel accessories and parts (blanks, building and repair 8.3% 7.0% 10.4% 8.2% equipment, holders, cover, frame, seats, spools, etc.) Ice fishing equipment 7.3% 5.8% 1.5% 1.3% Fishing electronics (GPS, sonar, fish finders) 3.7% 6.3% 3.9% 6.8%

Annual Annual Freshwater species targeted 2017 2016 Largemouth or spotted bass 52.6% 52.5% Panfish (crappie, sunfish, bluegill/bream) 41.3% 38.4% Any freshwater fish that bites 23.4% 21.5% Smallmouth bass 21.0% 25.4% Trout 20.4% 25.6% Walleye 18.0% 17.3% Catfish 17.9% 17.9% Perch 13.1% 14.7% Pickerel, pike or muskie 10.2% 11.3% Carp 8.1% 6.0% Striped bass (freshwater) or hybrid bass 5.9% 7.4% Salmon 5.7% 6.0% White bass and sunshine bass 4.3% 5.8% Other fish 3.9% 3.0% Steelhead 3.7% 4.5% Saugeye 1.2% 1.8% Sturgeon 0.8% 0.4%

*Responses are multiple-selection and can total over 100%

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Annual Annual Saltwater species targeted 2017 2016 Redfish, red drum, channel bass 38.9% 32.3% Any saltwater fish that bites 27.3% 26.3% Speckled Trout 23.7% 21.3% Flounder (Fluke) 22.3% 20.2% Snook 16.8% 14.8% Striped bass 16.4% 14.9% Spotted seatrout or weakfish 15.3% 11.0% Bluefish 13.2% 13.2% Sheephead 12.7% 12.1% Grouper, snapper, sea bass 12.2% 18.3% Tuna 11.6% 12.7% Black Drum 11.2% 10.4% Mackerel (King, Spanish, Boston, Cero, etc.) 10.8% 11.8% Halibut 10.7% 6.0% Yellow tail 10.0% 11.1% Rockfish (Pacific coast only) 9.0% 7.3% Dolphin fish/Mahi 7.0% 8.7% Bonito 6.8% 5.9% Shark 6.8% 7.4% Salmon 6.4% 5.3% Calico bass 6.3% 5.6% Wahoo 5.8% 6.2% Tarpon 5.6% 5.5% Pompano 5.0% 4.8% Other fish 5.0% 7.4% Cobia 4.9% 7.7% Cod (all species) 3.9% 4.3% Whiting 3.9% 4.3% False Albacore 3.8% 2.6% Barracuda 3.7% 5.9% Other bass (Pacific coast only) 3.7% 3.7% AmberJack 3.6% 5.4% King fish 3.4% 4.6% Scup 3.1% 3.3% Billfish 3.0% 3.1% Tautog (Blackfish) 2.4% 3.6% Permit 2.3% 2.2% Perch 2.2% 2.2% Atlantic Croaker 2.1% 2.6% Bonefish 1.6% 3.5% Sea perch (Pacific coast) 1.2% 1.4% Sturgeon 0.3% 0.4% Haddock 0.2% 0.3% Responses are multiple-selection and can total over 100% 16

Southwick Associates also helps companies understand their market positions compared to competitors, identify the new products customers prefer most, determine how much consumers will pay for a new product, and more.

Let us explain how we can help your company increase its success.

Contact Nancy Bacon ([email protected])

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Angler Media Consumption

Each quarter, Southwick Associates’ Media Monitor (SAMM) helps the trade understand sportsmen and women’s outdoor media consumption and preferences. SAMM monitors anglers’ use of magazines, television, websites and social media, assesses market share held by most major media properties and matches sportsmen and women’s equipment purchases to specific media programs and titles. In addition, attribute data was added that identifies why certain TV shows and magazine are preferred over others. Top-level results are presented here. Details are available from Southwick Associates. Contact [email protected].

Anglers' Preferred Outdoor Media* by Quarter 70%

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0% Internet / Magazines Television State Newspaper Books Radio Podcasts Social media regulation guides

*by AnglerSurvey respondents who fished during the past year or regularly fish Q3 2017 Q4 2017 Q1 2018 Q2 2018

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Top Three Angler Media Sources (Q2) 2017 vs (Q2) 2018 April-June April-June (Q2) 2017 (Q2) 2018 Top Angler Magazine Titles* Bassmaster or Bass American Rifleman

Field and Stream Field and Stream

Outdoor Life Outdoor Life

Top Angler Television Programs** Bassmasters Major League Fishing

Zona’s Awesome Fishing Show River Monsters

Major League Fishing Deadliest Catch

Top Angler Visited Websites*** Facebook Cabela’s

Fish/Wildlife Agency for my State of YouTube Residence YouTube Fish/Wildlife Agency for my State of Residence *Magazines - The Media Monitor asks whether an individual read a magazine. This means that a person could have reviewed a title without necessarily purchasing it. Media Monitor tracks more than 350 magazines every quarter.

**Television Programs - The Media Monitor asks whether an individual viewed a program. Selections are based on program lists provided by each major network. Respondents are asked whether they regularly or occasionally view a program. This report summarizes viewership by whether they watched a show at all (either regularly or occasionally) in the last three months. Media Monitor tracks over 450 television programs on 16 networks every quarter.

***Websites - The Media Monitor asks whether an individual viewed fishing/hunting/shooting related websites in the last three months. Selections are based on a provided list of websites with an open-ended write-in option. The Media Monitor tracks over 300 websites and 26 social media sites every quarter.

Magazine “Digging Deeper” Questions Respondents were asked to score the importance of outdoor magazine attributes. In general, how important are the following attributes to you when deciding which outdoor magazine to read? Hunters/Shooters Anglers 1. Truthful and accurate 1. Truthful and accurate 2. The articles are in-depth and well-written 2. Informative/how-to information 3. Informative/how-to information 3. The articles are in-depth and well-written 4. Topics are current 4. Topics are current 5. Promotes ethical harvest 5. Promotes ethical harvest

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U.S. International Trade Commission Tackle Imports

Each quarter, the American Sportfishing Association posts the latest import trends on www.ASAfishing.org. This section presents fishing tackle imports by category and for all countries that ship to the U.S. with trends and greater details than are available on the ASA website. Annual imports present the total dollar value of all imports within a given category. The sum of all imports from each country is calculated by all categories for each individual year.

In 2017, the value of total fishing tackle imports grew by over 5% from 2016. The top five types of fishing tackle imports were fishing reels valued over $8.45, fishing reels valued between $2.70 and $8.45, artificial baits, fishing rods, and fish hooks.

Annual Imports by Category (in millions of dollars)

Import Category 2009 2010 2011 2012 2013 2014 2015 2016 2017

Artificial Baits $87.1 $92.4 $85.5 $99.1 $101.2 $94.4 $113.6 $110.5 $121.9 Fish Hooks $28.0 $25.9 $28.2 $30.5 $30.8 $26.6 $31.6 $35.4 $27.9 Fishing Landing, Butterfly, and $4.5 $4.8 $6.2 $6.8 $7.9 $8.2 $8.6 $9.1 $9.4 Similar Nets Fishing Line* $13.7 $19.1 $22.3 $23.4 $22.6 $25.2 $28.5 $26.6 $26.2 Fishing or Fly-Fishing Leaders $4.8 $3.5 $3.8 $5.1 $4.9 $4.2 $4.9 $4.6 $5.3 Fishing Reels valued over $2.70 $57.4 $53.7 $49.2 $40.4 $46.5 $45.6 $56.7 $52.3 $46.4 and under $8.45 Fishing Reels valued over $8.45 $121.1 $167.1 $186.0 $178.2 $185.4 $196.2 $214.1 $202.6 $227.7 Fishing Reels valued up to $2.70 $7.0 $6.0 $6.3 $6.4 $6.4 $5.5 $17.7 $18.2 $12.7 Fishing Reels, Parts & $5.2 $6.8 $8.0 $5.2 $3.9 $4.7 $4.4 $4.7 $3.8 Accessories Fishing Rods $91.8 $94.6 $106.1 $123.8 $141.0 $151.7 $136.6 $143.1 $157.9 Fishing Rods, Parts & $15.0 $17.4 $17.5 $17.1 $18.5 $19.3 $21.4 $22.3 $24.0 Accessories Snelled Hooks $4.7 $3.7 $3.4 $4.0 $5.1 $4.2 $5.3 $5.7 $6.0 Total $440.2 $494.9 $522.6 $540.0 $574.3 $585.8 $643.4 $635.0 $669.2 *Fishing Line Put Up & Packaged for Retail

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Quarterly (Seasonal) Tackle Imports by Fishing Equipment Category

This section displays the latest trends by recent quarter for specific sectors of fishing tackle. This report is compiled every quarter, posted at www.ASAfishing.org, and shows trends over the latest four quarters as well as the same quarters in the previous year.

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Dollar Value of Tackle Landed by Year, Top Countries

“Tackle landed” represents the dollar value of equipment imported into the U.S. at its point of arrival, when it is liable for customs. The tables below report which countries import the most tackle within each category, by landed value.

In 2017, China continued to dominate as the top country of fishing tackle imported to the U.S., leading in every category except fishing line, where it was narrowly beaten by Japan.

Top Countries Importing Artificial Baits by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $29.2 $33.8 $37.1 $36.1 $43.5 $43.9 $39.2 $47.5 $47.4 $53.6 Estonia $19.6 $18.9 $23.3 $18.8 $20.8 $19.4 $19.1 $19.9 $17.2 $15.5 Costa Rica $4.7 $8.0 $7.2 $6.8 $6.4 $8.5 $7.3 $9.0 $8.2 $9.4 Source: United States International Trade Commission

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Top Countries Importing Fish Hooks by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $7.8 $9.2 $7.4 $7.0 $9.5 $11.8 $13.2 $15.2 $15.4 $14.2 Japan $9.2 $9.3 $9.7 $9.1 $10.6 $11.6 $8.7 $10.7 $13.6 $7.4 France $2.0 $1.2 $1.5 $1.5 $1.6 $1.4 $1.9 $1.9 $2.0 $1.9 Source: United States International Trade Commission

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Top Countries Importing Snelled Hooks by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $1.0 $1.7 $1.9 $1.5 $1.7 $2.3 $1.2 $2.0 $2.9 $3.2 Philippines $1.7 $1.7 $0.9 $0.4 $0.5 $1.1 $1.0 $2.0 $1.3 $2.0 Vietnam $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.1 $0.3 $0.3 Source: United States International Trade Commission

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Top Countries Importing Fishing Line* by Year and Landed Value (in millions of dollars) (*put up and packaged for retail sale) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Japan $5.1 $3.9 $5.3 $5.3 $5.7 $4.9 $6.1 $9.4 $10.6 $11.2 China $4.2 $4.3 $7.0 $7.3 $9.2 $9.9 $11.4 $9.6 $9.4 $10.2 Taiwan $3.4 $2.3 $3.4 $4.1 $4.2 $3.6 $3.0 $3.9 $2.2 $1.7 Source: United States International Trade Commission

*put up and packaged for retail sale

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Top Countries Importing Fishing Nets by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $4.5 $3.9 $3.9 $5.0 $5.9 $7.1 $7.7 $8.0 $8.3 $8.4 Taiwan $0.3 $0.2 $0.5 $0.8 $0.5 $0.4 $0.3 $0.3 $0.3 $0.5 Pakistan $0.1 $0.1 $0.1 $0.1 $0.0 $0.1 $0.1 $0.1 $0.1 $0.1 Source: United States International Trade Commission

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Top Countries Importing Fishing or Fly Fishing Leaders by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $2.0 $2.8 $1.7 $1.9 $2.6 $2.9 $2.5 $3.4 $3.3 $3.8 Vietnam $0.0 $0.1 $0.0 $0.0 $0.0 $0.0 $0.0 $0.1 $0.1 $0.5 Japan $1.2 $1.4 $1.2 $1.4 $1.8 $1.6 $1.2 $0.9 $0.7 $0.5 Source: United States International Trade Commission

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Top Countries Importing Fishing Reels to $2.70 by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $6.5 $7.0 $6.0 $6.3 $6.4 $6.4 $5.5 $17.7 $17.8 $12.5 Taiwan $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.1 $0.0 $0.0 Korea $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 Source: United States International Trade Commission

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Top Countries Importing Fishing Reels from $2.71 to $8.45 by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $38.0 $53.8 $48.4 $44.1 $37.4 $42.1 $42.4 $53.5 $48.4 $42.2 Vietnam $2.4 $2.0 $3.6 $3.0 $1.8 $2.9 $2.0 $2.1 $2.5 $1.4 Malaysia $1.1 $1.3 $1.6 $1.2 $1.1 $1.5 $1.2 $0.9 $0.9 $1.4 Source: United States International Trade Commission

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Top Countries Importing Fishing Reels over $8.45 by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $58.0 $67.0 $89.6 $112.0 $97.0 $105.2 $103.7 $131.9 $115.0 $116.7 Malaysia $27.3 $18.8 $27.8 $27.1 $29.9 $26.1 $37.8 $30.2 $29.9 $30.4 Korea $17.3 $11.1 $14.2 $15.5 $22.0 $24.7 $26.1 $25.5 $29.2 $29.3 Source: United States International Trade Commission

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Top Countries Importing Fishing Reel Parts and Accessories by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $2.8 $2.0 $3.3 $4.2 $2.4 $1.8 $3.0 $2.7 $2.5 $2.0 Korea $1.6 $1.7 $2.0 $2.4 $1.5 $0.6 $0.4 $0.5 $0.6 $0.5 Japan $0.5 $0.5 $0.8 $0.5 $0.6 $0.6 $0.6 $0.5 $0.7 $0.5 Source: United States International Trade Commission

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Top Countries Importing Fishing Rods by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $100.4 $83.4 $83.6 $94.4 $111.8 $130.5 $140.0 $123.5 $128.1 $138.9 Korea $3.3 $3.6 $4.4 $5.2 $5.8 $5.4 $5.8 $6.1 $5.1 $6.1 Mexico $0.0 $1.3 $2.5 $2.9 $2.8 $2.4 $2.7 $2.9 $3.7 $5.5 Source: United States International Trade Commission

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Top Countries Importing Fishing Rod Parts and Accessories by Year and Landed Value (in millions of dollars) Importing Countries 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 China $5.1 $5.8 $6.0 $6.3 $5.7 $7.6 $7.3 $9.1 $10.7 $10.5 Canada $5.3 $5.0 $5.8 $6.1 $5.4 $6.8 $8.3 $7.8 $6.7 $7.7 Taiwan $2.2 $1.7 $2.4 $2.2 $2.4 $2.3 $2.4 $3.0 $2.8 $2.9 Source: United States International Trade Commission

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Fishing License Sales Trends

The American Sportfishing Association releases license sales trend information every quarter. This index, produced by Southwick Associates, monitors fishing license sales in thirteen states strategically selected to best represent all states. Timely license data are not available from most states.

In the first half of 2018, fishing license sales decreased 1.9% over the same six months in 2017. Sales were down in January, February and April compared to the previous year, but up in March and May. Second quarter sales were down in the Southeast, Midwest, and West regions and unchanged in the Northeast. Of the thirteen states included in this report, ten showed license sales decreases and only three showed increases through the second quarter of 2018 compared to 2017. Thus, overall sales through 2018’s second quarter are down compared to the same period in 2017.

Change in License Sales - 2018 vs. 2017 (through Q2)

15% 9.9% 10% 4.7% 5% 1.0% 0%

-5% -2.9% -5.1% -10%

-15%

-20% -20.5% -25% Percent Change between 2018 and 2017 and 2018 between Change Percent Jan Feb Mar Apr May Jun Source: ASA Fishing License Sales Index Weighted Average 1.9% decline in the first half of 2018

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Fishing License Sales Trends (continued)

Fishing license sales are a good indicator for the sportfishing industry of what tackle sales will look like in a given period of time. In 2017, fishing license sales decreased by 0.9% over 2016. This contrasts with 2016’s sales, where license purchases increased by 5.7% over 2015.

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ASA Business Outlook Survey Results

Since 2013, the ASA has conducted annual surveys of its members to assess their business outlook over the next year. Topics include sales, employees, exports, factors driving business, and more. The results of the latest survey, conducted in August-September 2018, are reported here.

Q1. Please indicate your membership category:

Q2. How would you characterize the business outlook for your firm as of right now?

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Q3. What is the size of your firm (if you are held by a parent company, please report the size of the parent company and its holdings)?

Q4. Over the next 12 months, what do you expect to happen with your company's sales?

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Q5. So far this year, how much have your net sales increased or decreased?

Q6. Over the next 12 months, what are your company's capital investment plans?

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Q7. Over the next 12 months, what are your plans for inventories?

Q8. Over the next 12 months, what do you expect in terms of full-time employment in your company?

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Q9. Over the next 12 months, what are your expectations regarding employee wages (excluding non-wage compensation such as bonuses and/or benefits) in your company?

Q10. What are the most significant factors currently impacting your business?

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Q11. Over the next 12 months, what do you expect to happen with the level of exports from your company?

Q12. What are the primary drivers of your company's business development/expansion plans?

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Let Us Help You!

For more than 25 years, Southwick Associates has been the leading insights firm in the sportfishing industry. We are passionate about the industry and helping clients better understand their customers, market position and new opportunities. Whether you have a question about the size of your market, participation or equipment trends, media preferences, brand awareness/perception, consumer motivations or understanding the features consumers really want in a product, give Southwick Associates a call at (904) 277-9765. We can help you get the information you need!

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