Thanks everyone for watching! Let me know what you think about price increases for ski brands?

I don't know what's happening right now, but commodity plastics/resin prices truly did get out of control in 2020 due to breakdowns in supply chains, including commodity timber prices going up, multiple plastic resin factories actually exploding in 2020/2021 and factories in China being forced to shut down due to energy shortages. Warehousing and shipping also got more expensive due to latent demand being unmet by a constrained supply, partly due to a shrinking of the merchant marine fleet, and companies couldn't actually produce goods to sell to generate cash flow. I'm sure that's a sympathetic story to tell to customers. But yeah, none of that is really a problem in 2024, where regardless of past supply costs/constraints, demand is down.

Eating margin because we’re selling more skis! 😂 what?!

I work in the aviation industry and I keep a tight pulse on the cost of raw materials (metals/wood/synthetics etc). From 2021/2022, the cost of raw goods went up 17%. From 2022/2023, it went up 15%. From 2023/2024, it went up 14%. This obviously affects any industry that is relying on raw materials. I think that some of the larger ski manufacturers are able to hedge against inflation better than others by buying larger volumes of required material (poplar wood, resins, titanium etc.). Also, the ski companies don’t make significant design changes from one year to the next . . . for example, the Atomic Bent 120 has not changed in many years; and only now have they “tweaked “ the Bent 100 to be slightly stiffer. Then you can look at the Salomon QST line, they have not made significant changes to their skis. This allows them to buy massive amount of material to construct the same ski over many years. The inflation increase from 2020/2021 was almost nil . . . If ski companies were smart, they would have stocked up on raw materials then. Lastly, I think your assessment of Icelantic being a poorly run company is spot on. Why would anyone spend over $1000 for a pair of skis when you can buy so many other skis that are well reviewed? Like the QST 92 . . . that ski has tremendous value. If I want the Cadillac ski, then I’ll spend the $1K on some Stockli skis. Great post to ponder on Eliot, thanks for the variety!

This is why I buy K2s in the summer from Sportchek.

I think dishonesty can show up in a lot of forms. If the guys in this interview weren't prepared to speak about internal challenges to the wider audience with clarity, with integrity, framing the issues in a way that is both humble and sincere, then you have a group of business owners who are framing their internal issues in a dishonest way. And I hate dishonesty.

Agreeing with you about tone deafness to inflation and the very high cost to ski.

Hey Elliott, totally agree with your opinion and comments about the interview. Speaking for me , I rotate my quiver of 6 to 8 pairs of skis every season or other season for some. Being in the ski industry retail years ago in Mammoth I understand the sales end and trends, pricing etc. selling skis to the masses/ consumers, I always told everyone that all manufacturers make good quality skis and it’s a personal preference what feels good and what you like to look at. With that being said, to this day I would not and will not ever pay full retail price for any ski. I research and know what I am looking for and enjoy trying different brands ( which I have skied most) due to different shapes, designs etc. .As an accomplished skier , from instructor to patrol , boot fitter, sales and a passion for the greatest sport on the planet , you are correct that manufacturers absolutely need to “ justify “ the reason for the cost of their product!!!!. Most of all wood is the same throughout the industry and titanal is consistent. What is awesome is the engineering and design of placement of different woods , combination of other resins, carbons , rubber , shape and especially ……. marketing. I have skied awesome grassroots USA skis and not so impressive grass roots companies skis that are ridiculous high priced …….. So not worth it in my opinion. I am not going to name brands that I like and ski , but like you mentioned, there are soooooo many household name and “ proven “ brands that are the best and kick ass skis for a down to earth price for ski junkies like me. Thanks Elliott…….keep it going 👍

"We set a price and then have to live with it" is so infuriating. They set a deliberate high price in the beginning of the season so they can do a >40% sale in summer without taking a loss. It's not that the initial MSRP is just above break-even for them so yea, they set a price and 'have to live with' the huge profit margins.

Love hearing your comments on this.

Here is the thing, it's not just skiing. Mountainbiking is in a similar situation right now, after massive shortages during COVID we now have a massive oversupply. During COVID I was really into simracing with the community that I was spending most of my time in reaching 3000 members in 2021 with 3-4 league races with 20+ people showing up every week. We ended up streaming our stewards meetings (where we hand out penalties) to sometimes 100+ people. Now that everyone is back to work the community is dead. It's mostly just the regulars/og members from 2021 that formed genuine friendships that are keeping the discord server active. All of our "brother/sister" communities are just as or more desserted. People are/have returned back to their working life so they don't have the time to excuse spending ultra high amounts for hobby gear that they know won't get used enough for how much they cost.

Moment wildcats were pretty awesome in the fresh pow this last winter when I demoed them. These guys sound like some real tools, but honestly the way the big corporate manufacturers treat us is pretty dispicable. I agree with Ellitott, we are all fed up with the absurd over-pricing and tool bags.

The Icelantic CEO meant that his suppliers raised prices during the COVID year (many suppliers did, not just in skiing). When his cost/ski went up $50, he raised wholesale prices $25 amd retailers raised prices $50, so he’s envious that his profits went down &25/ski while retailers made an extra $25/aki.

Yes. We have corporations now leading the market who are obviously profit driven. I think the growth we now have in skier participation which is massive is driving the companies to make so many models. Way too many models. Mind you the vast majority of skis and boots are made for the average skier. It is what it is. Having said that I am still blown away when I am skiing at my resort it is still surprising how many skiers are on skis that are probably 10-15 years old. I think production costs on the major brands are around $150-$200.

Rickety keeps its production costs down while Blister is at CB acting all bougie. Take note ski industry. Buy your jungle gyms and Navajo blankets off season and pass the savings on.

I was talking to a former colleague last week at an event. She was a racing skier in her youth and now her 2 boys started skiing. But he told me it's getting so expensive she doesn't know if she will be still skiing in a few years now that she has a family. The stupid thing here is that people do stop skiing and then resorts and ski makers say they need to increase the price in order to remain profitable with the lower volume they have. Well it's the prices that drive people out of the sport, even more so with climate changes which greatly diminishes the value of passes and the number of times you will use your expensive skis.

The price of skis aren’t the real shocker. It’s the cost of a lift ticket, even the cost of skiing using the more creative ways to purchase access. All for the privilege of standing in atrocious lift lines. Also, the ski manufacturers play the consumer demand game. Ask a premium price on new model year stuff even ski’s that only employ bold new graphics, then play the “mark up to mark down” game. In the spring if certain models are sold out, they were probably really good skis. Blizzard Rustler 9’s come to mind.

Personally i would not like to do any business with either of those two gentlemen. They come off as very shady and full of excuses. Really off-putting. Great video and thoughts on the interview.

I can’t think of a reason to buy new skis full price. Obv you don’t want a ski that’s been sitting around for years, however the end of season sales are typically better than my industry perks. I can’t tell you how many people rush out to buy the new version of whatever and don’t like it as much as their older one. I also don’t understand how anyone is buying a $1000 ski new without demoing it. The sport is ridiculous and I love it. But there’s no love lost for these manufacturers. I saw one pair of Icelandic skis in the 50 odd days I was out skiing last season. Maybe the US isn’t their main market, but they act like they have it blanketed.

Retailer have to buy and carry inventory. That's money (borrowed?) that is tied up. Its not on consignment from the manufacturer.

Let’s look at the wholesale cost and retail. Retail doubles wholesale and a bit more. Cost price basically doubled to wholesale. Sure making a ski is about profit. I would say a ski costs anywhere from $250-$300. What are your thoughts?

Chili up in Idaho? I know the Monoski business isn't a 'get rich quick' industry, but more a labor of love. It goes up w/time, but I've got about a $600 ski & binding limit and about $2K for a mtn bike. Yes I have to buy the mtn bike on Black Friday & the skiing equipment in the off season I'm frugal lol

Skiing is an expensive sport, and the rise of mega resorts and multi-mountain passes changed everything. All the skis will eventually be $1000+ a pair sooner than later. The supply chain breakdown during covid was an excuse to raise prices without ever lowering them again. A lot of companies ramped up production based on 2020/21 but the problem is, everyone bought skis so they are set for a while, so they are sitting on inventory. If you're building a brand, you should maintain prices... when you slash prices in half, people feel fleeced.

Never ever pay full price for a pair of skis!

Now do mountain bikes

Guess you're not getting a pair of Icelantics to test.😊

If you look at certain big-box-stores in central europe: They always go into the new season with skis already on sale for around 350$ and now during the summer you can get many models for ~200$. Are they selling them at a loss to "poor" europeans? No? Guess that answers then what real production costs might be... Must be different reasons why ameribros have to pay double for the same stuff.

Please don't compare pickleball and running to skiing!!😂😂 Nothing about them is the same.... I realize they're both outdoor sports, but that's about it😅. I cannot get the sense freedom or pure adrenaline from the later two... if your life is not in danger every time you go out there, then it's not a fun sport sport...imo! I tell my kids all the time ..." skiing is fun, because skiing is dangerous". It's both an affirmation and a warning😂

I don't think you understood what they were saying. There's a lot of forecasting needed when you plan for the next season. You also can't buy all your materials ahead of time for season. Sure you can for some of it but that's a ridiculous amount of raw materials to store. You also don't want to over buy your materials. Its difficult to gauge future demand and strike that perfect balance, especially since you don't get POs from your distributors until you already set your prices and distribute your price lists to them. There's tons of room for things to go sideways. The margins on skis/snowboards is roughly 50% to wholesalers and retailers also mark them up another 50%. That margin then also needs to cover SG&A expenses and if your costs rapidly change your business can be in trouble. There isn't a ton of money in the ski industry, costs have rapidly increased and so have the prices as a result.

These were the worst ppl to interview on this topic.. Icelantic just started making their own skis and I still think most is outsourced.. not sure about moment. But they seem to think just the fact they are small companies that they are premium

The core product's quality goes far beyond its mass market competitors in the industry. At companies such as Rossignol or Salomon, the total price to produce a pair of skis can be as low as $35 to $50. Just the raw materials for the wood core in Wagner's skis, produced by a hardwood mill in Quebec, cost $70 per pair.