5 Ways Benchmarking Can Drive Growth and Profitability for Your Outdoor Brand

In today’s competitive outdoor industry, brands need to make data-driven decisions to stay ahead. Benchmarking is a powerful tool that allows you to measure your brand’s performance against your competitors and industry standards, uncovering opportunities for growth and profitability. Here’s how benchmarking can help your outdoor brand blaze new trails to success:

1. Optimize Financial Performance

Benchmarking provides a clear picture of your brand’s financial health by comparing key financial ratios and indicators. By analyzing metrics like revenue growth, profit margins, and inventory turnover, you can identify areas where your brand excels and where improvements are needed. For example, understanding how your profit margins compare to industry leaders can highlight pricing strategies or cost management practices that could be adopted or refined. Similarly, tracking inventory turnover rates against top performers helps ensure that your capital isn’t tied up in excess stock, boosting cash flow and profitability.

2. Streamline Business Operations

Your brand’s operational efficiency is critical to sustaining growth. Benchmarking allows you to assess core business operations, focusing on metrics such as SKU count, sales channel mix, marketing mix and ROI, sourcing mix, number of employees, and sales per employee. By comparing these metrics with industry averages or top performers, you can identify inefficiencies or areas for optimization. For instance, understanding the right balance in your sales channel mix or the effectiveness of your marketing spend can lead to better allocation of resources, improved customer reach, and ultimately, higher sales.

3. Implement Actionable Best Practices

Benchmarking goes beyond identifying gaps; it can often unlock actionable strategies for your brand’s specific needs. For outdoor brands, this could mean adopting best practices for revenue and gross margin optimization, asset management, or payroll control. These practices help you streamline operations, reduce costs, and enhance profitability. For example, if your payroll expenses are higher than industry norms, benchmarking can guide you in implementing more efficient workforce management practices, or if your gross margin is below average, it might suggest pricing adjustments or cost-cutting measures that align with industry standards.

4. Gain Targeted Insights

Not all outdoor brands are alike. Segmenting by company size and product line allows you to pinpoint opportunities within your specific market segment, whether you’re a niche specialty brand like OIA member Gossamer Gear or a large, diversified outdoor company like The North Face. By comparing your performance to similar-sized companies or those with a similar product mix, you can identify the best strategies for your unique circumstances, ensuring that your growth efforts are both targeted and effective.

5. Catalyze Continuous Improvement

Benchmarking is not a one-time exercise but a continuous process that drives ongoing improvement. By regularly measuring your brand’s performance against industry benchmarks, you can stay ahead of trends, anticipate challenges, and adjust your strategies proactively. This ongoing evaluation ensures that your outdoor brand remains competitive, agile, and poised for long-term growth.

Ready to incorporate benchmarking into your business strategy? OIA makes it easy. Our new 2024 Outdoor Brand Benchmarking Report provides decision-makers access to exclusive industry benchmarks across all major business functions so that you can make informed decisions and lead your outdoor brand to success. Learn more and gain access to the data and insights today.

Helly Hansen, Columbia Sportswear, and L.L. Bean Collaborate to Reduce Supply Chain Emissions and Protect the Planet

These outdoor brands came together, in partnership with their suppliers, to reduce emissions across the outdoor industry value chain.

To reach a more sustainable future, we must take bold, collective action against climate change. Helly Hansen, Columbia Sportswear, and L.L. Bean came together through  Outdoor Industry Association’s (OIA) Carbon Leadership Project CoLab to cut carbon emissions across the industry’s supply chain. This collaboration, supported by the Apparel Impact Institute (Aii), focused on jointly reducing emissions across shared member supply chains. The OIA spearheaded the project and identified common suppliers among members, while Aii provided the framework of the Carbon Leadership Project to drive emission reduction efforts. 

“The Carbon Leadership Project guided our manufacturing partners in initiating their decarbonization journey.  Brand peers co-nominated suppliers to participate in the project, maximizing resources and driving momentum in carbon reduction.  Furthermore, the action plans were customized for participants based on their climate target maturity.  As long as the risk of climate change is not mitigated, we will continue to advocate for the Carbon Leadership Project” Ian Lee, Sustainable Manufacturing Program Manager at Columbia Sportswear. 

Aii’s Carbon Leadership Project framework assists suppliers in measuring GHG emissions at the facility level, setting targets, and effectively reducing GHG emissions. This program not only aids members in achieving their climate objectives but also aligns with OIA’s mission to lead the charge in sustainable business innovation so that all people can thrive outside, today, and in future generations. Learn more about the Carbon Leadership Project here. 

Bryant LaPres, senior director of industry engagement at Apparel Impact Institute, adds “Through our work with the OIA, we demonstrated the value of collaboration between brands and suppliers. The OIA played a critical role in bringing this work from concept to action. Their member brands played an equally critical role, emphasizing alliance with shared suppliers rather than going alone. We are excited to move into implementation activities to achieve direct emissions reductions and look forward to the results”. 

The primary goals of the Carbon Leadership Project CoLab were to support shared suppliers across the outdoor industry in measuring their emissions and setting carbon reduction targets. Helly Hansen, Columbia Sportswear, and L.L. Bean nominated two shared suppliers to participate in the CoLab. OIA’s Impact CoLabs are collaborative, pre-competitive emissions reduction initiatives led by OIA and service providers. These initiatives help members meet their sustainability goals more efficiently and cost-effectively by working together. 

Carbon Leadership Project CoLab Steps + Impact

Launched in 2022, the Carbon Leadership Project aimed to work with shared suppliers on setting science-aligned reduction targets and creating reduction action plans to achieve their targets. 
 
CoLab Milestones 

1. Supplier nomination and overlap assessment: Members submitted facilities of interest, OIA completed an overlap mapping exercise to seek shared suppliers to maximize impact  

2. Carbon tech assessment: Aii and their service provider partner, RESET Carbon, completed benchmarking for the nominated facilities to identify carbon saving potential and define next steps  

3. Carbon Target Setting: RESET Carbon collaborated with suppliers to identify their carbon reduction potential and set reduction targets  

4. Reduction Action Plan: A carbon reduction plan tailored to each facility was created 

5. Brand engagement with suppliers to implement reduction action plan (in progress)  

The Carbon Leadership Project CoLab supported facilities in completing a carbon tech assessments to benchmark their emissions and set reduction targets.  The final product was a tailored carbon reduction plan for each facility to reach its target.  Member brands are engaging with their suppliers to implement these reduction action plans. 

“The Carbon Leadership Project CoLab provided organizations with skills and tools to measure, monitor and report on their partnered facility’s carbon emissions. It allowed the organization to establish a clear baseline and achievable targets”, Grace Wong, Senior Sustainability Specialist Traceability, Helly Hansen. 

The decarbonization opportunities identified in the reduction action plans were prioritized based on their total emissions reduction potential and expected implementation timeline. The roadmaps were delivered via an Excel-based tool, where suppliers could input their intent and prioritization for implementing solutions. The tool also provided estimates of costs, return on investment, and tailored considerations to address before implementation to reduce risks. 

Pre-Competitive Collaboration: OIA’s Impact CoLabs  

Climate change is one of, if not the most, crucial issues the outdoor industry faces today. If there is not a thriving environment to recreate in, outdoor businesses do not have a future. Collaboration is necessary to significantly reduce climate impacts in the outdoor industry; the problem is too large for individual companies to solve on their own. Companies must work together to decarbonize the global supply chain, and OIA provides an avenue with a clear path to do just that. OIA’s Impact CoLabs are collaborative, pre-competitive, emissions reduction initiatives led by OIA and service providers to help members meet their sustainability goals in less time and with less cost by working together.  Through OIA’s six Impact CoLabs, 19 OIA members have invested in collaborative emissions reduction projects across their supply chains – working collectively to maximize impact and protect our planet.

 “The Carbon Leadership Project CoLab empowered members to take bold, collective climate action. OIA understands that tackling climate goals and reducing emissions can be daunting for individual companies, but we believe in the power of working together. By uniting to create shared solutions, we can accelerate progress and achieve significant emissions reductions. Through initiatives like the CLP CoLab, OIA supports members in reducing emissions across their supply chains”, said Breana Nehls, OIA Sustainable Business Innovation Manager. “Together, we are catalysts for sustainable growth.” 

 Learn more about OIA’s CoLabs and how you can catalyze meaningful change with us at outdoorindustry.org/sustainablebusiness.

 

 

REI, BURTON, AND NEMO EQUIPMENT ACCELERATE TRANSITION TO CLEAN ENERGY

Brands collaborate ​in a challenging market ​to ​advance ​solar energy ​investments ​with suppliers

Clean energy is best achieved by collective action. And that’s exactly what REI, Burton, and NEMO Equipment set out to do through OIA’s Vietnam Renewable Energy Impact CoLab. In collaboration with Allotrope Partners, these brands ideated sustainable solutions and accelerated their transition to cleaner energy. Vietnam is a key manufacturing hub for many OIA members, but its carbon-intensive electricity grid means it is a large source of greenhouse gas emissions. Vietnam’s growing clean energy market has opened the door for financially attractive on-site rooftop solar projects and off-site renewable energy procurement. However, COVID-related supply chain disruptions and evolving regulations have posed significant challenges in the Vietnam renewable energy market. These challenges inspired OIA to launch the Vietnam Renewable Energy CoLab to support members in navigating the challenging renewable energy landscape together. By bringing members together through the CoLab, members and their suppliers could collaborate on shared solutions to more effectively transition to renewable energy.  

“NEMO was excited to partner with Burton, REI, OIA, and Allotrope on the Vietnam Renewable Energy CoLab. NEMO has set a target to reduce our greenhouse gas emissions intensity by 50% by 2030. So far, we’ve achieved a 36% reduction in emissions intensity per product, but to reach our goals, we need to partner with our supply chain. This CoLab is an example of collective action helping to accelerate emissions reductions,” Theresa McKenney, Director of Sustainability and Government Affairs, NEMO Equipment. 

OIA’s Impact CoLabs are collaborative, pre-competitive, emissions reduction initiatives led by OIA and service providers to help members meet their sustainability goals in less time and with less cost by working together. The Vietnam Renewable Energy CoLab focused on accelerating the transition to a sustainable energy future by supporting suppliers with rooftop solar evaluations. The Impact CoLab enabled REI, Burton and NEMO to work collaboratively with suppliers to install 3.5 MW of power across five supplier facilities in Vietnam. 

“In order to achieve REI’s goal of more than halving emissions by 2030, we have to do a great deal of work with partners—from our manufacturing facilities to retailed brands. The CoLab presented an opportunity to engage deeply in that shared work. Our suppliers were able to gain a clear understanding of the “what”, “how” and “why” of procuring rooftop solar electricity in Vietnam”, said Evan Scandling, Supply Chain Decarbonization Lead, REI.

CoLab Results + Impact

The Vietnam Renewable Energy CoLab included five industry suppliers that joined together in an RFP that produced bids for five on-site rooftop systems totaling 3.5 MW, with power purchase agreement (PPA) prices ranging from 8-20% below the buyers’ current electricity rates and covering between 25-35% of the facilities’ electricity needs. Over the life of this project, market conditions have continued to evolve, with government approvals of operating and construction permits emerging as a challenge, along with buyer concerns over their ability to prioritize clean energy procurement during tough financial times. As the supplier facilities continue to work toward clean energy solutions, these proposals serve as a starting point and guidepost for what’s possible. 

Michelle Murphy Rogers, Senior Director of Allotrope’s Clean Energy Advisory Practice notes, “The OIA CoLab process offers an amazing opportunity to explore innovations on renewable energy procurement in a low-risk environment. This project incorporated time and cost-saving approaches to engage project developers and evaluate proposals that can be used in future procurements. Current market challenges in Vietnam underscore the need to work together to pursue new innovations like engaging buyers and developers to pair on-site solar with battery energy storage solutions to maximize system sizes and enhance reliability.” 

“Allotrope was a great partner throughout the project. They worked directly with our supplier to review the process, clearly laid out the evaluation of proposals, and worked hard to overcome challenges in a highly complex regulatory environment. We gleaned valuable learnings from the process”, said Emily Foster, Director of People & Planet Impact at Burton. 

Pre-Competitive Collaboration: OIA’s Impact CoLabs  

Climate change is one of, if not the most, crucial issues the outdoor industry faces today. If there is not a thriving environment to recreate in, outdoor businesses do not have a future. Collaboration is necessary to significantly reduce climate impacts in the outdoor industry; the problem is too large for individual companies to solve on their own. Companies must work together to decarbonize the global supply chain, and OIA provides an avenue with a clear path to do just that. OIA’s Impact CoLabs are collaborative, pre-competitive, emissions reduction initiatives led by OIA and service providers to help members meet their sustainability goals in less time and with less cost by working together.  Through OIA’s six Impact CoLabs, 19 OIA members have invested in collaborative emissions reduction projects across their supply chains – working collectively to maximize impact and protect our planet.  
 

“OIA recognizes that tackling climate action goals and reducing emissions can be a daunting journey for individual member companies. However, we also recognize the power of collective action. If we collaborate, we can move faster and realize significant emissions reductions. Through collaborations such as the Vietnam Renewable Energy CoLab, OIA supports members in making lasting impacts across their supply chains”, said Breana Nehls, OIA Sustainable Business Innovation Manager. “Together, we can be a force for sustainable growth.”

MiiR, Stanley, and YETI’s Bold Collaboration to Reduce Supply Chain Emissions

Three drinkware brands, one mission: protect the planet

Making a significant move to create a more sustainable future, three drinkware brands came together in a first-of-its-kind effort to reduce carbon emissions across the drinkware supply chain. Deemed the Drinkware CoLab, ​ MiiR, Stanley, and YETI, facilitated by the Outdoor Industry Association (OIA), spearheaded this collaboration to reduce the environmental impact of manufacturing. The brands invited four shared third-party suppliers to participate in the project and all parties provided financial and human resources to support the project. The scoped work of the CoLab launched in 2022 and was completed in early 2024.   

The primary goals of the project were to move industry suppliers to 100% renewable electricity and develop facility emissions reduction plans. The project supports OIA’s goal to take bold, collective action against climate change by reducing and removing greenhouse gas emissions across the outdoor industry, carving a new, bold path for others to follow.​ MiiR, Stanley, and YETI participated in the Drinkware CoLab through OIA’s Climate Action Corps, the outdoor industry’s collaborative model to lead on climate action.    

“It was a remarkable experience to work with YETI and Stanley to identify key strategies in reducing our collective footprints. The OIA team did a phenomenal job leading us through this process and we’re excited to get to work on the things we learned. Our hope is that this collaboration inspires other groups in the outdoor space to set aside competition for the sake of sustainability,” said Josh Stinger, Vice President of Supply Chain & Sustainability at MiiR. 

Reduction Roadmaps: Drinkware CoLab Impact

MiiR, Stanley, and YETI collectively nominated four factories and each of the facilities received management training, detailed greenhouse gas measurements of their facility, assistance in setting science-aligned emissions reduction targets, and a customized plan outlining steps to reduce their emissions.  The group identified a global service provider, Environmental Resources Management (ERM), to lead the assessment with each supplier.   

The emissions reduction action plans, or “roadmaps,” provide detailed information on sustainable actions that will improve energy management and reduce emissions. All opportunities were assessed and prioritized based on environmental impact and cost implications for each facility.   

“We know that deep engagement with our suppliers and other stakeholders is critical to ensure that our collective emissions reduction goals are in reach, said Emily Cichy, Senior Director, Corporate Responsibility at Stanley. By collaborating with Outdoor Industry Association, our suppliers, and these esteemed brands, we can help create a more sustainable world.” 

The Trail Ahead

MiiR, Stanley, and YETI are partnering with all four suppliers to ensure these roadmaps are implemented, and are planning to touch base with each other quarterly through OIA to share progress. They are also considering replicating the CoLab process with other strategic suppliers in their networks.  Interested in participating or learning more about CoLabs? Contact OIA at sustainability@outdoorindustry.org 

“The Drinkware CoLab gave YETI the chance to join an industry-wide initiative that aligns with our ongoing sustainability priorities to help keep the wild, wild,” Said Marty Duff, SVP, Supply Chain and Operations at YETI. “We are honored to help drive meaningful progress and help impact broad-based change.” 

Pre-Competitive Collaboration: OIA’s Impact CoLabs

Collaboration is necessary to significantly reduce climate impacts in the outdoor industry; the problem is too large for individual companies to solve on their own. Companies must work together to decarbonize the global supply chain. OIA’s Impact CoLabs are collaborative, pre-competitive, emissions reduction initiatives led by OIA and service providers to help members meet their sustainability goals in less time and with less cost by working together. Learn more about OIA’s Impact CoLabs here.  

 “The Drinkware CoLab provides members the opportunity to take bold, collective climate action. We know that individual companies cannot solve the climate crisis alone, they must come together to create shared solutions to reduce emissions across the supply chain”, said Breana Nehls, OIA Sustainable Business Innovation Manager. “OIA provides this invaluable collaboration space for members to make lasting impacts across their supply chains.” 

Pride Outside: LGBTQ+ Individuals are the Most Active Adult Cohort in Outdoor Recreation

This Pride Month, we’re celebrating the love that the LGBTQ+ community shows the outdoors all year long. From hiking and camping to paddleboarding and kayaking, LGBTQ+ individuals are recreating outside at a higher rate than any other adult cohort.

how is the LGBTQ+ community breaking barriers?

Members of the LGBTQ+ community make up 11.3% of the outdoor participant base (19.9M) and continue to be the most active adult cohort in outdoor recreation, with total participation rates above 60%. Furthermore, people who identify as bisexual had the highest participation rate at 65.6%. 

This month and every month, we celebrate that love is love everywhere – from urban parks to rugged peaks.

If you’re curious about the data and want to dive deeper, check out our recently released 2024 Outdoor Participation Trends Report.