Equestrian Market Analysis

Part
01
of two
Part
01

Equestrian Market Spend

The US market size for the industry as a whole is $102 billion. The competition sector is $28.3 billion, and recreation is $18 billion. There are seven million potential recreational and competitive customers. There are currently several factors affecting the market positively including a rise in association membership, gaining popularity in worldwide competitions, and companies partnering with non-profit groups.

ACTIVITIES ENCOMPASSED BY ENGLISH & WESTERN RIDING STYLES

  • Western riding style activities include cutting, team penning, reining, speed games, trail classes, pleasure and equitation classes, roping, and trail riding.
  • English riding style activities include dressage, country pleasure, jumping, hunting, mounted games, polo, and hunter pace.
  • Trail riding, endurance racing, competitive trail riding, and competitive mounted orienteering can be either Western or English.
  • For the purpose of research since Western and English riding styles can be competitive or recreational, we focused on these two categories.
  • The American Horse Council Foundation states there are 9.2 million horses in the US, with 3.91 million used for recreation, 2.72 million for showing, and 840,000 for racing.

RIDING STATISTICS IN THE US

  • Thirteen million households have participated in trail riding in the US.
  • There are over seven million Americans involved in the industry with 2 million horse owners.
  • The eastern part of the US has a higher percentage of English disciplines, while the western part has a higher number of Western disciplines.

EQUINE INDUSTRY MARKET SIZE IN US DOLLARS

  • The US equestrian market size for the whole industry is $102 billion.
  • The US competition sector of this market is $28.3 billion, or 32% of the market.
  • The US recreation sector of this market is $18 billion, or 18% of the market.
  • The US work sector of this market is $4.6 billion, or 5% of the market.
  • The US racing sector of this market is $36.6 billion, or 42% of the market.

Equine Industry- Western/English Breakdown

  • To obtain the Western and English breakdown, we used the competition and recreation sectors. According to the USA Equestrian Society, 63% of their riders are English, and 36% are western. We understand this breakdown might not extend beyond the competition market, so we have just used these figures for the competition market segment.
  • The US English Riding Competition market is $17.83 billion. ($28.3 x 63%)
  • The US Western Riding Competition market is $10.12 billion. ($28.3 x 36%)

EQUINE MARKET SIZE BY POTENTIAL CUSTOMERS

  • The US market size for the recreation and competition markets is seven million
  • The US market size for competitive riders is 3.6 million potential customers.
  • The US market size for recreational riders is 3.4 million potential customers.

Equine Industry- Western/English Breakdown

  • To obtain the Western and English breakdown, we used the competition and recreation sectors. According to the USA Equestrian Society, 63% of their riders are English, and 36% are western. We understand this breakdown might not extend beyond the competition market, so we have just used these figures for the competition market segment.
  • The US English Riding Competition market is potentially 2.45 million customers. (3.6 x 63%)
  • The US Western Riding Competition market is potentially 1.3 million customers. (3.6 x 36%)

GLOBAL EQUINE EQUIPMENT MARKET SIZE

  • The global equine equipment market is $1.9 billion.
  • It is expected to grow at a CAGR of 4.3% through 2028. Online purchases are expected to grow at a CAGR of 4.7%.
  • Saddles make up 30% of this market.
  • Tier Three players control over 85% of the market.
  • Equine equipment is expected to outsell rider equipment due to the number of riding clubs and schools.

FACTORS AFFECTING THE MARKET/INSIGHTS

  • In the US, riding lesson numbers are rising.
  • Several associations have reported increases in memberships including The United States Equestrian Federation, The Professional Rodeo Cowboys Association, The American Quarter Horse Association, and The Therapeutic Riding Association.
  • Arabians have seen a 15% increase in small show entries
  • In a 2018 survey, 21% of respondents said business had improved over the previous year. This is a four percent increase over 2017.
  • Boarding, lessons, and training were listed as the top revenue earners.
  • International horse competitions like the Olympics and World Equestrian games and rising prestige have contributed to the increase in market.
  • Companies are beginning to partner with non-profit equestrian groups to promote their equipment at competitions.

POPULAR EQUINE BRANDS

  • Ariat, Parlanti, Noble, and Dubarry were the equestrian brands mentioned the most times six different articles that mentioned "top" brands.

Research Strategy

We began our research by better understanding the differences between the two different riding styles. It was apparent that each style encompassed not only several types but also competitive and recreational riding.

Market research was readily found, but they primarily broke down the markets by competition and recreation, not by riding style. The USA Equestrian surveyed its members and revealed that 63% were English riders and 36% were western. We used this figure to triangulate the market where it made the most sense- competition. We didn't feel the number would be an accurate reflection of recreational riders.

To obtain the brands that were most popular we looked at lists that recommended the "top" brands. We were able to find six different lists and included the brands with multiple mentions. Ariat was the only brand mentioned in almost every article.


Part
02
of two
Part
02

Equestrian Market Psychographics

The average horse owner is 38-45 years old, female, and married. Horse owners tend to be impulse buyers. Horse owners spend and average of 22 hours a week with their horses. Equine publications are the primary source of information for the horse owner.

DEMOGRAPHICS

General Demographics

  • Thirteen million households have participated in trail riding, with 87% trail riding on public land.
  • There are 9.2 million commercial and recreational horses in the US.
  • Horse enthusiasts are found in 38 million homes in the US.
  • The majority of horse owners are recreational owners.
  • One out of 63 Americans are involved with horses in some way.
  • One out of three horses are registered as American Quarter Horses. Thoroughbreds make up 1.29 million registrations.
  • Pleasure and trail riding is the most frequently reported activity when horse riding, followed by dressage.

Areas

  • Texas, California, and Florida have the highest population of horses.
  • Oklahoma, Kentucky, Ohio, Missouri, North Carolina, Colorado, and Pennsylvania round out the top ten states for highest population of horses.
  • Rhode Island, Hawaii, and Delaware have the smallest population of horses.
  • More homeowners live in rural areas instead of urban areas. Communities with less than 20,000 people are the home to 57% of all horses. Cities with populations over 50,000 are home to 26% of horses.

Age/Education/Family

  • The average horse owner is 38-45 years old and female.
  • Thirty-eight percent of participants are under the age of 18.
  • Twenty-three percent of the US Equestrian Federation's membership is from junior members.
  • More horse owners are married than not married (52%)
  • The average horse owner has children between the age of 12-17.
  • 58% are college graduates. Managerial and professional jobs make up 60% of horse owners.

Income

  • The largest group of horse owners, 45%, are from the middle class with an annual income of $25,000-$75,000.
  • Twenty-eight percent of horse owners make over $100,000.
  • The average income of USA Equestrian members is at least $134,500. This would be a good representation of competition horse segment salaries. Their members also have an average net worth of at least $955,400, and a portfolio of $460,000.
  • Horse owning families with incomes under $50,000 make up 34% of the population.
  • 85% have at least one credit card.
  • 84% own their own residence.

Spending Habits

  • At least $7,200 is spent on horse care. (72%- vet care, 72%- dewormers, 66%- grooming products, 63%- medicine, 61%- feed, 58%- vitamins and supplements, 56%- leather care, 52% boarding fees, 48%- brindles and strap goods, 46%- hoof treatments, 42% -insecticides, 30%- saddles).
  • The average number of horses owned is four with a net worth of $50,300 (for USA Equestrian members).
  • 77.1% indicate their horses are not insured.

Competition Horse Owners

  • They travel over 1,400 miles per year for competitions.
  • Nine nights per year are spent in a hotel.
  • 92% own a vehicle. The average number of vehicles owned is three.

PSYCHOGRAPHICS

  • In an Equine Megamarket Study 1,000 horse owners were surveyed. The following was discovered:
  • They spend 22 hours a week with their horses.
  • The read equine publications. They spend five or more hours a week reading horse publications. This is their primary source of horse information.
  • The use the internet.
  • They are impulse buyers.
  • They tend to enjoy country music, hiking, outdoor activities, read, and own cats and dogs.
  • Two-thirds keep their horses at their home.

RESEARCH STRATEGY

Horse owners are a highly studied demographic, as they tend to be groups with disposable income. Considering that market research is conducted to reach the largest market, no information was available on the English/Western segments of horse owners. We did include information from USA Equine, which consists of mostly competition owners, as this the most representative of the demographic and psychographic. This information is noted in the findings. The rest of the information comes from organizations for horse owners. We made the assumption that if a horse owner was a member of an organization, they were either competitive or highly invested in their horse.
Sources
Sources

From Part 01
Quotes
  • "Western • Team penning • Cutting • Reining • Speed Games • Trail Classes • Pleasure and Equitation Classes • Roping • Trail riding "
  • "English • Dressage • English or English Country Pleasure • Jumping • Hunting • Mounted Games • Polo • Hunter Pace "
  • "Some sports allow for either style of riding. • Trail riding • Endurance racing • Competitive trail riding • Competitive mounted orienteering • Some local open shows have mixed English/Western classes. "
Quotes
  • "The recreation sector supports more than 162,000 direct jobs and adds $7.5 billion in direct value to the U.S. economy. "
  • "Those direct impacts drive a further $10.5 billion in added value to the economy and create more than 110,000 jobs from both indirect and induced effects. "
  • "Additionally, nearly 13 million households have participated in trail riding, with the vast majority of trail riders – 87 percent – utilizing public lands to ride on."
  • "Finally, the competition sector supports more than 241,000 direct jobs and adds $11.8 billion in direct value to the U.S. economy. "
  • "These direct impacts drive a further $16.5 billion in added value to the economy and create more than 175,000 jobs from indirect and induced effects. "
  • "The United States Equestrian Federation, American Quarter Horse Association, National Reining Horse Association and United Professional Horsemen’s Association licensed approximately 6,313 competitions throughout 2016, utilizing 1,654 competition managers."
Quotes
  • "The Market is spread as follows: U.S.A : $102 billion2 "
  • "USA /Canadian jobs: 460,000"
  • "• 7million Americans are directly involved in the US industry, 2 million of these are horse owners. "
Quotes
  • "The horse industry supports various activities and is clearly divided in the rural segment (breeding, training, maintaining and riding horses) and urban activities (horse racing, horse shows and public sales). The two segments combined represent the largest part of the equine population in the country with micro farms, police departments, travelling circuses, petting zoos and other smaller groups accounting for the rest."
  • "The current estimate according to a recent study commissioned by the American Horse Council Foundation and conducted by the Barents Group is 9.2 million, this includes both recreational and commercial horses. Out of the grand total 3.91M are used for recreational purposes, 2.72M for showing, 1.75M for other activities including farm work, rodeo, polo, police work etc. and 840K are used for racing"
  • "There is an estimated 2 million horse owners in the United States and a total of 7.1 million Americans are involved in the industry as owners, service providers, employees and volunteers."
  • "Owner Activities: • Recreational Rider: 85% • Competitive Rider: 30% • Horse Breeding: 11% • Horse Facility Manager: 10% • Grooming and Exercising: 9% • Professional Trainers: 7% • Racehorse Owner: 2% "
  • "o Total Impact on GDP: $101.5B o Goods and Services Sold per Year: $38.8B • Racing: $10.6B • Showing: $10.8B • Recreation: $11.8B • Other: $11.8B • TOTAL: $38.8B "
Quotes
  • "Including owners, employees, family members and volunteers there are approximately 4,659,719 people involved in the horse industry every year. "
Quotes
  • "A very large percentage of the population is interested in horses and would like to become more involved but perceive horses and equestrian sports as being inaccessible either due to financial concerns (expensive & exclusive) or physical convenience (location & availability)."
  • "Horse Show attendance is down but riding lesson programs are up. – Current clients are cutting back but new clients are still available."
Quotes
  • "Has the economy affected your revenue this past year, and by how much?” More than 21% of respondents said business is up, compared to about 17% who said that in 2017 and 14% in 2016. "
  • "1. boarding 2. lessons 3. training 4. other 5. equine-assisted therapy 6. rehab/retirement 7. breeding 8. camp programs 9. sales (tied) 9. rescue (tied) 11. competitions/events (tied) 11. trail rides (tied) 13. racing "
Quotes
  • "4.6 million people are involved in the horse industry in some way, either as owners, employees, service providers or volunteers. This includes 2 million horse owners, of which 238,000 are involved in breeding, 481,000 in competing, 1.1 million involved in other activities, 119,000 service providers and 702,000 employees, full- and part-time and 2 million family members and volunteers. That means that 1 out of every 63 Americans is involved with horses."
  • "Specifically, the GDP effect for each (in billions of dollars) is: Direct Total Racing 10.6 26.1 Showing 10.8 28.7 Recreation 11.8 31.9 Other 5.5 14.6 Total 38.8 101.58 "
Quotes
  • "3.6 million participated in showing. 4.3 million participated in recreational. "
  • "63% English, 36% western, 1% other. "
Quotes
  • "• 85% say that they are recreational riders of their horses. Only 30% participate in competitive events."
  • "• The United States Equestrian Federation [USEF] has seen a 2-3% rise in membership and a 20% increase in the number of show entries."
  • "• The Professional Rodeo Cowboys Association has reported a 6.4% rise in the number of entries received."
  • "• The American Quarter Horse Association [AQHA] also reports a 15% increase in the number of show entries, although the number of horses registered is actually down."
  • "• There are 2.72 million showing horses in the United States right now. Another 840,000 are registered as racing horses."
  • "3.6 million competitors, 3.4 million recreational riders"
  • "• Arabians as a breed have seen a 15% increase in small show entries. There has also been a rise in embryo transfers and exports for the breed."
  • "• The Therapeutic Riding Association has experienced a recent growth of 7%, with about 6,000 horses in total as part of their membership."
Quotes
  • "The US$ 1.9 billion equestrian equipment market in 2018 is expected to ride on an optimistic growth trajectory in the coming decade, as per the new Fact.MR valuation. "
  • "The study foresees 1.4x growth of the equestrian equipment market during the period of 2018 - 2028. "
  • "While the market remains highly fragmented, delivery of high functionality and fashion in equestrian equipment remains the prime focus of prominent market players. "
  • "Taking the advantage of an unorganized market, tier 2 players with the easy accessibility of raw materials are introducing new products and economic alternatives. With over 85% of the total market share in 2018, tier 3 players continue to strengthen their presence in the domestic equestrian equipment market."
  • "Fact.MR research shows that the promotional buyer type segment is expected to witness rapid expansion at a 4.3% CAGR through 2028. "
  • "Rising prestige and visibility of international horse competitions such as Olympics and World Equestrian Games can be attributed to the increasing demand for equestrian equipment by promotional buyers. Institutional buyers are expected to maintain their preeminence with almost 60% market share owing to a significant rise in the number of private horse clubs."
  • "Increasing inclination for online purchase explains the fastest growing third-party online channel at a CAGR of 4.7% during the forecast period."
  • "With the significant impact on the U.S. economy, the equine industry in the United States thrives with the presence of 7.2 million horses of which over 70% engaged in recreation, showing, racing and working activities."
  • ". Fact.MR research shows that North America will continue to hold the largest market share with the U.S capturing over 90% of the regional growth"
  • "Demand for equine equipment is expected to outsell that of rider equipment owing to rising number of equestrian clubs and riding schools. Among equine equipment, saddles are estimated to capture over 30% of sales as they remain the most common and highly utilized equine equipment."
Quotes
  • "Sales of equestrian equipment is largely influenced by increasing investment of individuals in recreational sporting activity"
  • "For instance, according to the American Horse Council, more than 2 million people from United States alone are engaged in the sport on an annual basis and the number is likely to increase in the coming years. "
  • "Companies in the equestrian equipment market are collaborating with equestrian non-profit organizations in a bid to promote their equestrian equipment in championships and local tournaments."
Quotes
  • "The key manufacturers in the Equestrian Products & Supplies Market include: Horze-Equestrian Colonial Saddlery Gems International Akash International Bates Saddles Amerigo saddle Berney Brothers"
Quotes
  • "While the pattern isn’t entirely consistent, in general, it appears that a higher percentage of respondents report participating in many of the primarily English disciplines (such as dressage, eventing, foxhunting, and hunter/jumper) on the eastern side of the U.S. Conversely, a higher percentage of respondents report participating in many of the primarily Western disciplines (such as cutting, reining, rodeo, and roping) on the western side of the U.S."
Quotes
  • "1. ARIAT, 2. PARLANTI, 3. NOBLE OUTFITTERS, 4. DUBARRY 5. 5. EQUETECH "
Quotes
  • "1. Ariat 2. Parlanti 3. Dubarry 4. Der Dau 5. Middleburg 6. Noble Outfitters 7. E. Vogel 8. B Vertigo 9. Mountain Horse 10. De Niro Boot Company"
Quotes
  • "• Kerrits • TuffRider • Horseware R • Horze • Noble Outfitters • Ovation • Goode Rider • SmartPak "
Quotes
  • "Lucchese is listed (or ranked) 1 on the list The Best Cowboy Boots"
  • "Tony Lama is listed (or ranked) 2 on the list The Best Cowboy Boots"
  • "Ariat is listed (or ranked) 3 on the list The Best Cowboy Boots"
From Part 02
Quotes
  • "Texas – the epicenter of the cutting industry – had the highest population of horses, followed by California and Florida"
  • "The study also found that 38 million, or 30.5 percent, of U.S. households contain a horse enthusiast, and 38 percent of participants are under the age of 18."
  • "Some 80 million acres of land is reserved for horse-related activities."
  • "Additionally, nearly 13 million households have participated in trail riding, with the vast majority of trail riders – 87 percent – utilizing public lands to ride on."
Quotes
  • "The horse industry supports various activities and is clearly divided in the rural segment (breeding, training, maintaining and riding horses) and urban activities (horse racing, horse shows and public sales). The two segments combined represent the largest part of the equine population in the country with micro farms, police departments, travelling circuses, petting zoos and other smaller groups accounting for the rest."
  • "9.2 million, this includes both recreational and commercial horses. Out of the grand total 3.91M are used for recreational purposes, 2.72M for showing, 1.75M for other activities including farm work, rodeo, polo, police work etc. and 840K are used for racing. "
  • "• Texas: 1,000,000 • California: 700,000 • Florida: 500,000 • Oklahoma: 326,000 • Kentucky: 320,000 • Ohio: 307,000 • Missouri: 281,000 • North Carolina: 256,000 • Colorado: 256,000 • Pennsylvania: 256,000 "
  • "Demographics: o Gender: mostly females o Age Range: 38 – 45 o Employment Status: employed o Marital Status: Married o Urban or Rural: Rural "
  • "Percentage of Owners by Household Income: o *Median income: $60,000 o <$25,000:14% <$50,000: 38% o <$75,000: 64% o >$75,000: 36% "
  • "Owner Activities: • Recreational Rider: 85% • Competitive Rider: 30% • Horse Breeding: 11% • Horse Facility Manager: 10% • Grooming and Exercising: 9% • Professional Trainers: 7% • Racehorse Owner: 2% "
Quotes
  • "with 28% of horse owners earning over $100,000 annually and 34% of horse owners having an annual household income of less than $50,000. "
  • "• The least amount of horses are found in Rhode Island (3,509), Hawaii (8,037) and Delaware (11,083). "
  • "For example, approximately 23% of the U.S. Equestrian Federation's total membership consists of junior members. "
  • "The largest group of horse owners (45%) are drawn from the middle class with an annual household income between $25,000 and $75,000. Only 9% of the population earns greater than $150,000 yearly and a full 11% of horse owners have an annual income of less than $25,000. "
  • "• Horses are also found in all types of communities from rural to urban. The majority of horses (57%) are concentrated in communities with less than 20,000 people. Cities also have a significant number of animals with 26% of horses residing in areas with population densities of over 50,000. "
  • "The study has found that horse ownership appeals to people of all ages. The most horse owners (41%) are between the ages of 45 and 59. The 30-44 age bracket is the next most significant group with 35% of horses. The youngest demographic (18-29) is also coming on strong and owns 16% of all horses in America ."
Quotes
  • "Approximately 34% of horse owners have a household income of less than $50,000 and 28% have an annual income of over $100,000. 46% of horse owners have an income of between $25,000 to $75,000."
  • "Over 70% of horse owners live in communities of 50,000 or less."
  • "The study dispels the mis-perception that the horse industry is an activity only for wealthy individuals. In fact, the horse industry is a diverse activity with stakeholders including recreational and show horse riders, and moderate-income track, show and stable employees and volunteers."
  • "That means that 1 out of every 63 Americans is involved with horses."
Quotes
  • "US Equestrian Membership: 85% female 38 years of age. 52% married. 58% college graduate or more. $134,500 average household income. $955,400 average net worth. 85% own atleast one credit card. 60% are in managerial or professional employment. 84% own their main residence. Most have been member for ten years and reading EQUESTRIAN MAGAZINE for eight years. "
  • "They own approximately four horses with an estimated value of $50,300. They spend $7,200 annually on horse related products. They have been riding on average of 20 years. They travel over 1,400 miles yearly for competitions and spent nine nights in a hotel. 92% own a vehicle with the three being the average owned. Their portfolio is worth approximately $460,000. "
  • "The $7,200 is broken down by: 72% spend on vet care 72% buy dewormers 66% purchase grooming products and equipment 63% buy medicine 61% purchase horse feed 58% buy vitamins and supplemtnets. 56% purchase leather care products 52% boarding fees. 48% buy brindles/strap goods 46% buy hoof treatments. 42% insecticides 30% purchase saddles"
  • "Average income $89,1000, compared to $60,000 for horse owners. "
Quotes
  • "• Texas has the largest horse population in the United States. It’s the only state with more than 1 million horses. • California has the second largest horse population at 700,000. • Florida comes in third, with 500,000 horses registered. • Oklahoma, Kentucky, and Ohio all have more than 300,000 horses respectively registered within their borders. • Missouri, North Carolina, Colorado, and Pennsylvania round out the top 10 of states with largest horse populations, with each one having more than 250,000 horses."
  • "• 1 in 3 horses registered in the United States is an American Quarter Horse. Thoroughbreds account for another 1.29 million registrations."
Quotes
  • "Land Use by the Equine Industry 32 million acres of land owned 49 million acres of land leased for horse-related uses"
Quotes
  • ""Our Equine Megamarket Study was designed for commercial planning for our clients," he said. The survey included 1,000 horse owners who were the primary decision maker on the care of the horses they own."
  • "We found that horse owners are more involved in their vocation than just about any other group," Volk said. "Horse ownership defines them They spend an average of 22 hours a week with their horses. They read equine publications, they use the web, and they are impulse buyers. It is a community.""
  • "The average horse owner is a married female, age 35-54, with kids between the ages of 12 and 17. They also enjoy country music, hiking and outdoor activities, read lots of publications, and own cats and dogs."
  • "The majority own multiple horses. Fourteen percent own one, twelve percent own 10 or more and the other 74 percent lie in between. Two thirds keep their horses on their own property. "They own property because they own horses," Volk said. Twenty percent board their horses elsewhere."
  • "Heavy media consumers, horse owners spend five or more hours a week reading horse publications. The Intense Enthusiast category relies on horse publications as their number one source of information."
Quotes
  • "Over three-quarters (77.1%) of respondents indicate that none of their horses are insured, while nearly 8% report that more than 75% of their horses are insured. The percentage of uninsured horses has been nearly identical across the four surveys."
  • "Pleasure/trail riding is the most frequently reported activity with horses in all ten regions. Horses who are idle, retired, or otherwise not working represent the second most frequently reported “activity” in all but two regions, where dressage ranks second"