German Market Insight

After the pandemic comes the war. The trade situation in Germany and on international markets remains very tense. No one knows what the future holds. Gas and oil prices are skyrocketing. It really says a lot if you get cheaper petrol in Switzerland than in Germany. We do not intend to go into detail here about what is happening in Ukraine. I think we all agree that what Mr Putin is doing is not right. The one positive development that has taken place Germany-wide is that finally, since Sunday, 3 April 2022, the obligation to wear a face mask when visiting shops has been lifted. Admittedly, it still feels very strange and it is up to the individual to decide how to deal with the situation. Unfortunately, the number of Covid cases in Germany remains at an all-time high. We all hope that there will be no more shutdowns or other such situations in the future. Meanwhile, the supply chains are once again experiencing disruptions and being put to the test following a new shutdown of the port in Shanghai, one of the most important ports in the world. Should China go into a complete lockdown, we can only hope that there will be no major impact on the supply chains for the remaining summer goods or the autumn and winter goods. In the next German Market Insight we will know more about this. But let’s move on to the good news from this winter: according to the German association of cable cars and ski lifts (VDS), the past winter season can be seen in a positive light. After the standstill caused by Covid last year, most cable car operators are very satisfied. VDS

GERMANY state: “The guests’ excitement and happiness at finally being able to get back on the slopes ITALY was huge.” SWISS SPAIN PORTUGAL Especially at the beginning of the winter, there had been concerns that Covid would derail yet UK another season – a fear that was shared by FRANCE retailers. In the end, however, the season has turned out to be highly successful. Old stock still sold very well, thereby making up to some extent for the lack of sales from last winter. We have spoken to Pryde Group (German distributor to Nidecker, Flow Bindings, Cabrinha, JP Australia, NeilPryde & more)’s Sepp Hass about the season. “It has been a very good season for us until the end of the carnival holidays this year, with revenue really picking up. Furthermore, we have been able to fill 90% of the follow-up orders with fast-moving items that we had in stock.” On the topic of pre-orders, Sepp is buoyant with things back at pre-pandemic levels. However, some of our customers have chosen to discontinue snowboards from the product range.” Swinging back to the positibe news, Nidecker introduced a new easy entry binder: “The new binding has received a very positive response from all sides – everyone who tested it was completely satisfied with its functionality and subsequently placed an order. The popularity of the new binding has by far exceeded expectations in our sales region (Germany/Austria) as well as at NDK int. This is probably also due to the hype around easy-entry bindings.” So how are schedules looking for next winter? “We are perfectly on schedule and expect to be able to deliver in full again by mid- to late September. As regards pre-orders – late orders for smaller quantities are still trickling in – retailers cannot expect a large amount of excess stock for subsequent deliveries during the next season, neither from us nor from Nidecker. It is all pretty tightly planned, except for a few models going through from 22/23 to 23/24.”

Many brands, as we heard, had a similar experience as Pryde Group. Unfortunately, the key issue of concern continues to revolve around production capacity and the associated supply chains. We will give you more feedback on that.

Let us now move on to talk about surf, which is currently a hot topic. The surf industry is currently experiencing a major surge in Germany and Europe. The demand for wetsuits and surf hardware has reached an all-time high. Soon, every week will see the launch of new wave projects such as Land-Locked Germany. The wave in Nuremberg has only just opened and the blackforestwave opens on 10 April. Surfing is growing and growing... We talked to Guillaume Marage, CEO of Poncho brand After Essentials and Sugarmill Europe (Pyzel), about the situation with his brands. “We have very few difficulties as far as After Ponchos are concerned, given the fact that we manufacture in Europe. Thus, we could already deliver 80% of our pre-orders and we still have stock available. However, with products like SUPs or hats, which, in part, we import from Asia, we have delays of up to one month. At Pyzel Surfboards we have no delays, we have delivered pre-books, and custom boards take 6-8 weeks at the moment. However, we are also struggling with shipping prices from us to the shops. As oil and gas become more expensive, prices are rising here as well. The status quo, however, is still the same.” And what about the upcoming months? “We expect surf to grow again, but because of the war, the purchasing behaviour is rather hesitant at the moment. We are trying to do everything we can to make sure we have stock available. And there are good signs. However, everything depends also on other factors that are not entirely within our control. But we are well prepared for the next few months.” Turning to SUP we spoke with Robin Kassel from Main-SUP, one of the biggest SUP operators in Germany. “We are all set, ready to start. We’ve even kept our location running on standby this winter and have been offering courses on a regular basis.” And how’s product availability? “Everything we have planned actually arrives within plus/minus 2 weeks of the delivery date. But we are actually already very well equipped.” Talk to us about foiling… “Our focus is of course on SUP, but we are also present in the foil sector. We have everything needed and offer courses and equipment for testing. In general, we keep a close eye on this entire segment to make sure we don’t miss out on anything.” Wakeboarding saw huge growth last summer. We spoke with Elisabeth (Lisi) Lindinger, who in addition to the water ski park in Aschheim, at the end of last year she also became the proud owner of the Turncable in Thannhausen. “We intend to create an appealing offer for wakeboarders at both locations. We want to redesign the wake park and offer camps. The infrastructure in Thannhausen offers so many amazing possibilities, and we want to make full use of them. Camping, hostel, two full-size cable parks, 2x System 2.0 and a miniramp. Everything action sports addicts could wish for.” And what are her hopes for this summer? “That everything keeps looking good and positive and that we can open normally. But most importantly, that wakeboarders have fun and that we see a smile on people’s faces.” And finishing off our April/May German Market Insight, Lisi warns, “wakeboarding is undergoing a transformation. At the moment it is experiencing a steady growth. However, the curve will only maintain this direction if everyone, from lift operators to the wakeboard industry, continues to promote this sport by working together.”

TOBI HAMMER