Fall 2019 - Inside Outdoor Magazine

Inside Outdoor | FALL 2019 31 lives, and on average, more than one-third (34 percent) of people’s monthly income goes toward pay- ing off debt. For consumers with this type of financial baggage, it can be dif- ficult to justify spending money on a product such as an expensive new backpack, sleeping bag or tent – products that can lead to buyer’s remorse if they are only used once in a blue moon. The rising cost of gear, coupled with the widespread proliferation of rental services such as Airbnb and Netflix, makes the idea of renting very possible and al- luring to cash-strapped consumers who may only want gear for a few days at a time and no commitment (or payment plan) beyond that. At the same time, though, Ameri- cans don’t seem to have a problem spending money on travel and expe- riences. In fact, 74 percent of Ameri- cans now prioritize buying experi- ences over products. And according to travel commerce platform provider Travelport, young people between the ages of 18 to 34 years old are likely to spend more money on vaca- tions than any other age group, with 33 percent willing to spend $5,000 or more. Millennials also travel the most, at an average of 35 days per year. Gen Z is close behind, traveling 29 days annually on average. Rent- ing gear frees consumers to reach outdoor destinations with greater ease, and more cost-effectively. Now, you don’t have to carry a mas- sive backpack full of camping sup- plies through an airport. You can simply order it and pick it up. Plus, as we will explain, some companies even go a step beyond, combining gear rental with trip planning and destination discovery services. REI Sets the Pace One organization that’s aggres- sively moving forward with gear rental is REI, a company which had already been selling used products back to consumers. In April, REI ex- panded on this practice by announc- ing a new initiative to sell used gear online and in stores year-round. REI also announced a plan to expand its gear rental programs. By the end of 2019, REI expects to offer rental services in 115 stores. Consumers will be able to rent items including camping and backpacking kits, as well as snow accessories. “Customers look for these op- tions,” Peter Whitcomb, who is director of new business develop- ment at REI, recently told Forbes. “I’m a millennial customer. I use car sharing and Airbnb. I don’t need to own everything. … (Millennials’) attitudes toward hard ownership of products and perception in sustain- ability are changing.” Of course, REI is just one of several players in the emerging gear rental market, which is grow- ing in both size and complexity. Vendors are now finding unique ways to differentiate their services and increase their appeal to differ- ent types of buyers and partners. Here are some of the other leading companies in this space: Arrive Arrive is an outdoor experience company that rents and delivers gear anywhere in the continental U.S. Customers can choose to have gear delivered to their door or their eventual destination, and according to the company they can save more than $1,000 on average compared to buying. The company focuses on both premium quality and customer service. With Arrive, customers get a personal “guide” to help find the right gear, select destinations and answer questions throughout the rental process. Customers also can rent with no strings attached or maintenance commitment. According to Ross Richmond, Arrive chief operating officer, he and co-founder Rachelle Snyder wanted to build an organization that matched their desire to travel and camp casually, without spend- ing too much money, or skimping on cheap gear that would be liable to break down during use. For this reason, Arrive makes it a point to provide “premium but affordable” equipment from top vendors includ- ing Marmot and Helinox. Arrive recently made headlines by becoming the exclusive camping gear rental provider for ReserveAm- erica.com, an online campsite res- ervations provider. And this October, Arrive plans to expand into snow apparel such as pants, jackets, gloves and other items that you can’t always rent on the mountain. While Arrive primarily ships di- rectly to consumers, the company is also making it a point to build relationships with specialty retailers, who Richmond recognizes as a core part of the industry, and a valuable resource for outdoor enthusiasts. Richmond wants specialty retail- ers to focus on being not just a retail store but a home base or gather- ing point for community members. Working with a third-party gear rent- al service is one way of making that happen. Arrive, for instance, wants to be a business enabler—bring- ing unique traffic into a local retail REI Rental Kits Pricing Samples, 2019 Kits REI Member Pricing Non-Member Pricing 1-3 Nights 4-6 Nights 7-13 Nights 1-3 Nights 4-6 Nights 7-13 Nights Deposit Basic backpacking kits $120 $160 $215 $180 $240 $325 $100 Lightweight backpacking kits $160 $215 $285 $240 $325 $430 $100 Car camping kits $180 $240 $320 $270 $360 $480 $200 Deluxe car camping kits $250 $335 $445 $375 $505 $670 $200 Source: REI.com