The company's emphasis is on the sport recreation and entertainment market. Miami is the fourth largest city in America, thus providing enormous potential for growing enterprises such as inline hockey.
Within these markets, The Skate Zone focuses on the more lucrative areas of youth sports and extracurricular activities because of what the statistics show in the amount of time spent in these areas of our lives. Figure 3, in the following section, provides a breakdown of the total sales of inline skates for 1996 and 1997.
The company will also be involved in the selling of sporting goods and accessories. Figure 2, also in the following section, gives a profile of the sporting and recreation goods industry.
Figure 1 below provides the market statistics for the sporting and recreation goods industry. This includes establishments primarily engaged in the wholesale distribution of sporting goods and accessories, billiard and pool supplies, sporting firearms and ammunition, and marine pleasure craft, equipment, and supplies.
Figure 1. Market Size Statistics
|Estimated number of U.S. establishments||9,906|
|Number of people employed in this industry||60|
|Total annual sales in this industry||$15 million|
|Average employees per establishment||6|
|Average sales per establishment||$1.6 million|
Figure 2. Inline skate sales
|Year||Skates Sold||Total Sales|
|1996||5.4 million pairs||$374 million|
|1997||6.4 million pairs||$418 million|
Figure 3 provides a breakdown of the top 20 inline skating areas in the United States. The number of skaters shown is in thousands. Inline hockey totals include players who also skate in other disciplines.
Figure 3. Top 20 Inline Skating Areas in the United States
|Area||Rec/Fitness||All Skating||Hockey only||Total Skaters|
|New York City||1,438||255||657||1,503|
|Tampa Bay Area||264||32||8||272|
The company's target customers are as follows.
The company believes that its customers will choose The Skate Zone based on the following criteria: