The outdoor industry has had a few tough years, but savvy casual retailers have found creative and strategic ways to not only survive, but also thrive.
Gasper Home & Garden in Richboro, Pennsylvania, is an example, as the company’s outdoor furniture sales were up 22.1% year over year last year, according to Eli Hymer, general manager, buyer and designer.
“People I talked to throughout the industry around the country have been either down or flat, so we’re a rarity,” said Hymer.
When the last election cycle came around, Hymer said he expected there to be tariffs, so all of his inventory from 30 different distributors was placed early and has avoided any tariffs so far. However, special-order numbers have fallen.
“We’re very much couture, and we like customers to select and special order things,” Hymer said. “Our special orders have dropped because we’re charging the already-in-place tariffs on special orders. We don’t have a choice, but about 50% to 60% of our business has always been special order.”
Hymer added that other casual retailers he has spoken to are experiencing similar issues with special orders, and the ever-changing tariff situation makes it difficult to know what will happen next.
“We are debt-free so we can ride it out a little longer than some, but it’s causing so much inconsistency in pricing,” Hymer said. “Some manufacturers are raising their prices, so they’re sending out new price books, causing us to constantly change our prices on the floor. Some companies would give us 24-hour notice about a price increase.”
The company caters to higher-end clientele, but Hymer says they have mostly lost the middle and upper-middle customers because they are more psychologically affected by the economy and the tariffs.
Fortunately, the company has strategically expanded beyond outdoor furniture and four years ago opened a new location dedicated to hardscape and landscape design. The store sells and rents equipment, and Hymer says it has been a strong piece of the company’s business.
“We built the building and have about 65 employees at that location,” he said. “We have about 65 vehicles now stationed at that location, which frees up more space for parking at our main location
“The new store has been doing remarkably well because there are presentation rooms for landscape designers to work with their clients in dedicated conference room settings with projectors showing the design,” he said. “Our hardscape division has grown immensely within the past six months, and we have landscapers and designers coming to us often.”
Regardless of the uncertain economy, Hymer thinks July Casual Market is going to be a busy market, but down overall.
“I don’t know what September will be like, but I do my container orders in July and tweak them if needed in September,” he said. “I bought a lot of merchandise last year, but I see myself buying less merchandise this year if something doesn’t change. I’m optimistic overall about this year and ready to see how it turns out.”
