3 minute read

KANSAS | VENDORS SURVEY RESULTS

Next Article
METHODOLOGY

METHODOLOGY

*N=101 Source: CEDBR survey 2021

Kansas State Parks are interconnected with businesses that provide services and goods. The vendors support the parks directly by improving the state parks with materials and indirectly by providing resources for guests to engage the state parks. This study surveyed vendors supplied by each of the state parks. The profile of respondents included establishments like retail, lodging, and convenience stores.

The average or typical vendor had 14 employees (full and part-time), was independently owned, and was within ten miles of a state park. When asked about the importance of park services on their revenue, the top two were camping and family time. Fishing, boating, special events, and hiking/biking were all highly ranked, even though they were not in the top two spots. It is important to note that although equestrian and other activities were ranked lower, this does not mean that they are not valuable revenue generators for some vendors within the state.

Source: CEDBR

Source: CEDBR survey 2021

Prior to the pandemic, fifty-one percent of the businesses indicated that revenues were increasing, while twenty-four percent said that they were flat. As the vendors entered 2020, the impact of COVID-19 varied widely and depended more on the sector than the physical location or any specific park. When asked about the coronavirus’ effect on revenue, fifty-five percent indicated a positive increase, four percentage points higher than the pre-pandemic timeframe. This does not mean there were no disruptions, as twenty percent of the respondents had a decline in retail sales, as compared to only fourteen percent of respondents in 2019.

The vendors were asked to describe how COVID-19 impacted their operations. Twenty-eight percent indicated they had supply chain issues, five percent had to draw on a line of credit, and fifteen percent adjusted their hours of operations. The adjustments were critical to deal with either the sudden decline or increase in demand.

The outlook for 2021 is both more optimistic and pessimistic for the respondents of the vendor survey. Fiftyseven percent indicated that revenues would increase, two percentage points higher, and twenty-seven percent expect declines. Although there was a higher share with a negative outlook, this is likely a reflection of slowing growth from the unexpected bump in 2020.

35% 30% 25% 20% 15% 10% 5% 0%

Very important

Source: CEDBR

Revenue Dependancy

Important Moderately important

Slightly important

Not important

The same businesses were asked about their dependency on the state parks as a source of revenue. More than half of the respondents (57%), indicated that the parks were between moderately to very important. Another thirty-three percent of the respondents stated that they were slightly important, as the business primarily served a local-regional market.

To further understand the importance of the state parks, the same vendors were asked a hypothetical question about the impact of a park closing on their finances and long-term viability. Just over forty-three percent stated that they would continue, as their primary business was to a local community by providing items like groceries and gasoline. However, an overwhelming number, forty-five percent of the respondents, indicated that they would close, downsize, or relocate.

50%

40%

30%

20% If a state park closed, the impact would be…

10%

0%

Downsize Close the business

Source: CEDBR

Continue normal operations Does not apply

This article is from: