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Today's alternative sports market is competitive. Skateboarders, snowboarders, surfers, BMXers (and the list goes on), all ascribe to different and ever-changing brands deemed the choicest by their peer group and often simple individual preference. In large part, these brands are respected for their "indie-label" character, which in essence is much like that of the sports themselves-driven by personal style and flair.

Unfortunately, given the high value placed on such qualities by alternative athletes, it is difficult to maintain this most-favored status. Often when a brand gains popularity and market share a frightening backlash occurs—suddenly a once-revered label can become completely uncaptivating, provoking disdain and even boycott. We've examined various aspects of this phenomenon, along with brands that have successfully avoided it…so far. Unfairly inauspicious, there is a fragile and fine line separating the beguiling brands of today and the harshly-judged outcasts of tomorrow.

THE SCENE

To gain acceptance and appreciation within the world of alternative sports (whose citizens mainly consist of New Consumer males), a brand must be seen as "core." Core, a derivative of "hard-core," describes athletes' über-commitment to their sport of choice and their unbridled go-for-it mentality. These kids live for—eat, sleep, drink and breath—their sport, and participate passionately in every aspect of the accompanying lifestyle.

The concept of core, however, goes deeper than such enthusiasm. Karl Greenfeld, in Time magazine, describes core as "…a vibe, a quasi-mystical, anti-establishment subtext that has to permeate…so that it resonates with trendsetters." Core has "attitude," which is free-spirited, no rules, rebellious, and daring.

Above all for the truly core, the alternative sports lifestyle is a genuine and dominant part of everyday life. A brand trying too hard to be core, like Mountain Dew or Nike, is by definition the antithesis (it's something like calling yourself "cool"). Basically, core is as core does.

It's a lucrative prospect for apparel brands who succeed in communicating a core attitude. Teenagers spent a total of $141 billion in 1998, according to Teenage Research Unlimited, and the NPD Group reports the men's and women's active markets grew from $69 billion to $73 billion that same year. That means, for instance, that it's possible for a two-man garage-based surfboard business to evolve into a multi-billion dollar success. Stranger things have happened. However, such growth can put a cramp on one's ability to lead a core lifestyle—suddenly blowing off work for killer waves or fresh powder becomes more difficult, if not impossible.

Unfortunately, eliminating such experiences from your daily life or the lives of your employees might be the key to your ultimate downfall.

It is vital to keep in mind that alternative sports, even with increasing popularity, are viewed by their participants as elite sports: athletically challenging, requiring a high level of commitment and commitment to the lifestyle. Athletes see themselves as highly-individualized members of specialized scenes. The sheer variety and specialization of alternative sports makes it nearly impossible for more generalized sporting brands to cover the same ground and to be credible.

Alternative sports scenes are primarily local ones, and mostly revolve around independent stores, neighborhood areas where the sport can be practiced (i.e. skateparks, beaches, etc.) and at local events. Independent shops are seen more as hang-outs than mere places to buy equipment—a spot where fellow core enthusiasts can watch videos, check out magazines and equipment, or simply spend time with their peers. Kids feel that there is no or low pressure to buy, and the kids enjoy the community that congregates in and around the shop. In addition, they feel that they are spending their money with integrity in these stores—supporting the small independent store that upholds the sport and its athletes and is not first and foremost out for profit.

THE C-FACTOR

It's all about commitment. As a general rule, the most alluring brands are significantly involved with the sport they represent at a deep level. Those who run these companies tend to have a deep passion for the sport, and the brand is active in supporting competitive events as well as embodying the lifestyle. One cannot underestimate the importance of the credibility this knowledge creates with the sport's athletes. According to James Palczynski, vice president and analyst at Needham and Co., a national investment banking and brokerage firm, "If you are selling skatewear, you'd better be a skaterat, and your company had better sponsor a team of top skateboarders."

Burton is a prime example. Jake Burton, the 45-year-old chief executive officer and founder of the company specializing in snowboarding gear and apparel, is a passionate snowboarder. Mr. Burton is widely known as the man who was, in the early days of snowboarding, key in convincing U.S. ski resorts to allow the sport. Burton's corporate culture also reflects this commitment. Presently, Burton employees are allowed to snowboard before work, after work and on their days off, and are encouraged to use the season ski passes provided to them each year. This company-wide passion for the sport reinforces and sustains Burton's reputation as an authentic, core brand.

Another example of a company with core values is Volcom, currently a hot surf- and snowboard clothing firm located in Orange County, California, prides itself on being core. Its president Richard Woolcott describes core as "the buzz from a good skate session, or riding a ten foot wave." Woolcott and his employees fanatically surf, skate and snowboard, and he resists growing his company if that means sacrificing any part of his lifestyle. Woolcott's core attitude and refusal to sell-out commands him almost total respect throughout the "bro-brah network," a term used to describe Orange County's web of alternative sports business connections.

Vans, creator of the famed canvas skateboard shoe (think Jeff Spicoli in Fast Times at Ridgemont High), has also arrived at a successful formula which incorporates core values and profit-making, but has struggled along this path. Practically as old as skateboarding itself, Vans was started in 1966 within the California surfing community. As surfing spawned skateboarding, Vans evolved along with it. In fact, the skateboarding boom in the late seventies first made Vans financially successful. With this growth, the company headed off into new territories, making shoes for baseball, football, soccer, basketball and wrestling. Losing site of its roots, sales plummeted and Vans filed for Chapter 11 in 1983.

They took a step back and regrouped, cutting other product lines and returning the focus to skateboarding. Emerging from Chapter 11 in 1986, Vans has been able to rebuild its reputation as a legitimate skate company by deepening its involvement with the skating scene. In addition to opening its own line of skateparks, Vans has created a spinoff brand and retail concept, Triple Crown. The stores feature indoor skate ramps, accessories and hardgoods for the core sports enthusiast.

Vans also supports a variety of other alternative sports by sponsoring a number of Triple Crown events—various competitions are held throughout the year for skateboarding, snowboarding, wakeboarding, surfing, supercross and freestyle motorcross. Such events help to reinforce the association of Vans and Triple Crown, so that while they are separate entities they are still inextricably linked. Paradoxically, these efforts increase the visibility of the brand while limiting overexposure through the use of the separate Triple Crown label.

In another related move, Vans and Sega have recently settled on a joint sponsorship and licensing deal, whereby Sony will have exclusive rights to develop Vans and Triple Crown video games and will sponsor a number of Triple Crown Series events. Such cross-promotion allows Vans to get in front of their core customer through the use of non-traditional media channels.

These examples demonstrate Vans's success in creating additional revenue streams while maintaining the feel of a niche brand and credibility with its target consumer.

PRESERVING ALLURE

The aspirational teen is a well-documented phenomenon. Kids under twenty long to live in a world five years ahead of where they are now, and their tastes and interests reflect this desire. This rule holds true in the world of alternative sports as well—the younger, less experienced enthusiasts adopt the brand and style preferences of the more skilled and seasoned athletes, which include both local heros as well as professional national figures. As mentioned previously by James Palczynski, sponsorship of these celebrities remains a successful tactic for numerous brands in the alternative sports market wishing to set style trends. In fact, younger athletes (defined roughly as grade school and junior high schoolers by core skaters), are more trend and brand conscious than their older peers, who are more concerned with their personal style and admit to being influenced by price.

One must be aware, however, that if these youngsters popularize a brand or look en masse, the product suddenly becomes dismissed by core sporters. A product can also lose its following when it is widely accepted as fashionable by teens who ascribe to the lifestyle (dress as skaters, surfers, etc.), but who don't actually participate in the sport. It is difficult, if not impossible, to predict or affect such outcomes. Controlling the amount of product released to the marketplace, where it is released (independent vs. mass channels), or creating quick turnover of limited editions are some strategic options.

However, in order for a brand to preserve its authenticity in the alternative sports market, the most important variable is contact with the true core sport enthusiast. It must be constant. According to Fran Richards, associate publisher and general manager of Transworld Media, one way for companies to realistically maintain a relationship with this consumer (assuming they don't have the time or prowess to engage in the lifestyle themselves) is to enlist a "senior vice president of reality," a young sport enthusiast to tell you what's evolving and what's relevant.

One only needs to look at Airwalk to see the dangers of ignoring such advice. Started in 1986, Airwalk has certainly tasted commercial success. After building a reputation with skaters, it went after the mass consumer. Its advertising campaign was extensive, replete with television commercials on major networks. A lot of shoes were sold, but the overexposure alienated the core skaters who felt all but abandoned and who felt Airwalk had sold out.

It should be noted that these athletes don't have a problem with financial growth and success per se, but rather with the loss of contact with the sport and its participants which often comes with it.

Now Airwalk is attempting to accomplish what Vans has done—win back the support of core skateboarders. Time will tell, but they certainly could take a cue from such a role model.

In addition to the skateparks, competitions and sponsorships, Vans has instituted, the company also pools information from the teenagers who frequent the skateboarding parks it owns and operates. One recent change they've noted in the skater demographic through observation and interaction at the parks is the increase in female participation in the sport. In fact, based on this information, Vans is planning to launch a new junior sportswear line aimed at female skateboarders. This is just one example of how they consistently monitor the scene and react to it. Having a vigilant ear and eye for what is hot and soliciting feedback from the core customer are essential tools in staying on top of trends and true to your core values. Selling to this group demands a continual commitment to innovation to keep your brand alive.

Lastly, context is very important to alternative sports athletes—as it is to most New Consumer teens. In order to win their loyalty, companies must present themselves appropriately, with a keen knowledge of the eye and values of the customer. Not doing so can be devastating to the reputation of an alternative sports brand. For example, a company advertising its product with action photography showing a skater or snowboarder in mid-air, without any reference point to indicate the difficulty of a jump, would immediately raise the eyebrows of a core athlete. By not showing the stunt in the proper framework, and thereby demonstrating the company's ignorance of its importance, the message to the alternative sporter is that they just don't get it. The product will be seen as made and marketed by someone who doesn't understand their sport. For these consumers, the brands that are in tune with the sport are ultimately the most favored. They are designed not with fashion in mind, but with the sport itself and its corresponding lifestyle at the forefront.

Many successful alternative sport brands are aware that as they grow, they must be conscious and careful of sacrificing their authenticity. The challenge for brands is to stay in touch and remain true to core alternative sports, keeping a finger on the pulse of this rapidly evolving market. Companies that are successful are so, at least in part, because the sport and corresponding lifestyle are deeply intertwined with their product. They know that it's about more than the sport. More than a subculture. It's about community. It is these tight-knit communities that make credibility so important. A company either has to come from the community or pay some serious dues to be accepted. As much as the popularity of alternative sports is increasing, we're still dealing with a fairly small group of dedicated individuals and the customer is truly a niche one. Remaining genuinely and passionately involved with the sport, as opposed to sport fashion, is the key to being seen as a core brand.

SOURCES:
Feitelberg, Rosemary. "Burton Carves a Niche," WWD, October 14, 1999.
Feitelberg, Rosemary. "A Real Alternative in Youth Market," WWD, November 18, 1999.
Greenfeld, Karl. "Killer Profits in Velcro Valley," Time, January 25, 1999.
Jordan, Simon. "Birth of the Global Bland," Viewpoint, Issue 6, October 1999.
McKinney, Melonee. "Vans on the Run," DNR, October 15, 1999.
Miller, Liz. "Youthquake," Worth Global Style Network, November 6, 1999.
Neuborne, Ellen. "Generation Y," Business Week, February 15, 1999.
Sultanik, Edina. "Selling Cool," Worth Global Style Network, November 11, 1999.
Young, Vicki M. "Tracking Teen Shopping Habits," WWD, November 18, 1999.