Presented By Nathan Pearce
description
Transcript of Presented By Nathan Pearce
Presented By
Nathan Pearce
Purpose of Presentation
Diversity, Uniqueness, and Aggressive Marketing are imperative to the growth and success of a business competing for discretionary funds.Cabela’s® has utilized this approach to be a leader in the outdoor sporting goods market.
History of Cabela’s®• Founded in 1961 by Richard (Dick)
Cabela.• 1963 Jim Cabela joins business• 1987 – First Retail Store in Kearney, NB.• 1988 – Online store started• 2004 - Company became publicly
traded on New York Stock Exchange• 2009 – Thomas Milner joins company as
President/CEO
Introduction
• One of the World’s Largest Direct Marketers of Hunting, Fishing, Camping, and Outdoor Merchandise
• 30 Retail Stores in 22 States and 1 in Canada
• Recognized as the “World’s Foremost Outfitter®”
• Known as the Disneyland of Outdoors Sports Stores –Theme Stores range from 35,000 to 247,000 square feet.
• Attract over 4 million visitors per year to some of their stores. It is estimated that 50% drive over 100 miles to visit.
Unique Stores
• Destination Stores – Each Store has its’ own theme
• Product Line for each store varies based on geographic location and customer preference
• Educational and Entertainment Attractions• Growth Centers for the area they are
constructed in.
Uniqueness
Cabela’s Core Values
• Superior Customer Service• Integrity and Honesty• Quality Products and Services• Respect for Individuals• Excellence in Performance
Primary Competitors
Total Revenue for 2001-2010 in Billions
$0
0.5
1
1.5
2
2.5
3
20012002200320042005200620072008200920102011
Financial Highlights
Year 2010 2009 2008Total Revenue $2.67 Bil. $2.63 Bil. $2.56 Bil.Gross Profit $1.09 Bil $1.03 Bil. $1.02 Bil.Gross Profit Margin 40.8% 39.1% 39.8%Net Income $121 Mil. $92 Mil. $83 Mil.
The company continued to make a profit even during poor economic years.
Cabela’s Quarterly Stock History
1Q/082Q/08
3Q/084Q/08
1Q/092Q/09
3Q/094Q09
1Q/102Q/10
3Q/104Q/10
1Q/112Q/11
3Q/11
10/14/20110
5
10
15
20
25
30
14.1611.0112.08
5.839.11
12.2513.3414.2617.49
14.14
18.9821.75
25.0127.15
20.4923.69
Series 1
Series 1
Cabela’s Revenues are Derived from 4 Areas Retail Store Sales Direct Market Salesa) Catalogb) Internet Financiala) World’s Foremost Bankb) Cabela’s Club Visa card Othera) Outdoor Adventuresb) Trophy Properties LLCc) Gun Libraryd) TV and Video Contracts
Sources of Revenue
Multi-Channel Mix of Revenue
RetailDirectFinancialOther
Retail 53%Direct 37%Financial 9%Other 1%
2010 Merchandising Mix
Sales
Hunting Gear and EquipmentClothing and FootwearFishing and MarineCamping and EquipmentGifts and Furnishing
Hunting Gear and Equipment 40%
Clothing /Footwear 28%
Fishing and Marine 13%
Camping Equipment 10%
Gifts and Furnishing 9%
Cabela’s Strategic Focus • Focus On The
Customer• Improve
Merchandise Performance
• Retail Profitability• Retail Expansion• Direct Channel
Growth• Grow Cabela’s CLUB
Visa Program
Summary
• Cabela’s has shown growth is possible in discretionary markets even during a bad economy.
• Unique stores and products, diversity in business segments, and aggressive marketing all contribute to growth and sustainability in the discretionary market.
Any Questions?