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Outdoor Industry Took A Hit From Covid, But Outlook Is Strong

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Though the Covid pandemic was costly to the outdoor industry, the sector is expected to rebound/Kurt Repanshek file

Though the coronavirus pandemic in 2020 sent crowds into the National Park System and elsewhere in the great outdoors, it also took a roughly $100 billion toll on the outdoor industry due to supply chain problems, loss of international travelers, and decisions by many travelers to postpone their adventures.

There were bright spots -- RV sales set records, and boating sales also were up -- but the Covid pandemic hit the outdoor industry hard in terms of lost business along with increased costs.

According to Bureau of Economic Analysis numbers released Tuesday, the outdoor industry saw its economic output in 2020 drop to $688 billion from $788 billion in 2019. On top of that, there was a 1.1 million drop in the industry's workforce, to 4.3 million jobs. 

Despite the downturn, those in the industry put a positive spin on their sector of the national economy.

"Americans prioritize outdoor recreation, and they continued to in 2021 with strong numbers in participation and sales," said Jessica Turner, president of the Outdoor Recreation Roundtable, during a news conference to discuss the numbers. "This data, along with what we have seen throughout the past year-and-a-half, proves how vital continued investments in our public lands and waters and recreation infrastructure are to the national and local economies and how communities big and small, rural and urban, benefit from outdoor recreation.”

The numbers released by ORR belied the tough times the industry has weathered.

  • 40 percent of new boaters bought a boat in 2020.
  • Sales of off-road motorcycles were up more than 46 percent compared to 2019 levels.
  • Sales of ATVs were up nearly 34 percent over 2019 levels.
  • Last year saw an 11 percent increase in fishing license sales.
  • RV sales for 2021 are forecast to be up 34 percent over 2020 levels.

At the same time, other numbers showed great drops that impacted the outdoor industry.

  • Lodging revenues were off 37 percent
  • Air travel was down 72 percent
  • Trips and travel of more than 50 miles from home were off 35 percent
  • Local trips and travel were down 10 percent

Additionally, the outdoor industry's contribution to the country's gross domestic product fell 19 percent last year; the sector's gross output was down 17.4 percent; compensation to the workforce dropped 12.5 percent; and employment dropped 17.1 percent.

U.S. Sen. Jeanne Shaheen, D-New Hampshire, the lead sponsor of the Outdoor Recreation Jobs and Economic Impact Act of 2016, noted during the press call that the industry should bounce back in part with help from the Great American Outdoors Act, which is providing full funding for the Land and Water Conservation Act that pays for outdoor access and improvements to lands and waters managed by local communities as well as the federal land-management agencies. 

"That will have a significant impact when we look at the dollars we need to put in to preserving our outdoors," said the senator. "It also puts in $9.5 billion to address the (maintenance) backlog in so many of our outdoor places."

At the Outdoor Industry Association, Executive Director Lise Aangeenbrug said the pandemic "inspired huge participation growth in 2020, as outdoor spaces became places of refuge to safely socialize, improve physical and mental health, connect with family and recover from screen fatigue."

“In 2020, 53 percent of Americans ages 6 and over participated in outdoor recreation at least once, the highest participation rate on record," she added. "Remarkably, 7.1 million more Americans participated in outdoor recreation in 2020 than in the year prior. Early indications are this trend continued into 2021 and sales data comparing August 2020 to August 2021 show that the sales of tents, backpacks, coolers and camping equipment, trail running shoes, and other outdoor gear are up more than 20 percent year over year.”

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