Fashion

Pacsun: Surf n’ Skate

History 1982: Pacsun was founded by Jack Hopkins and Tom Moore in

Newport Beach

1999: Vans and Pacsun began a liability company to produce product together

- Made over $1 million in sales and added 10 stores

2008: They were acquired by Adrenalina for quite a bit of

stock exchanged

2013: Launched Kendall and Kylie Collection

2016: Filed for Chapter 11 Bankruptcy

2016: Golden Gate Capital ended up being the term loan lender for Pacsun

2020: Hard Rock Cafe Collaboration

Main focus: teens and young adults

Mission Statement & Strategic Vision

Mission Statement:

- “We listen to get the trends, the solutions, and find out what we are doing right. The rest of course is history”

Strategic vision:

- “PacSun is dedicated to delivering an exclusive collection of the most relevant brands and styles to a

community of inspired youth. Curated in Los Angeles.”

- to become the dominant, national specialty retailer of teenage apparel, footwear, and accessories

Company Philosophy

● Pacsun values the public’s opinion and is always looking to evolve and grow ● Sticking to their original roots as a surf shop is always important ● They aim to keep up with the latest trends, and include many popular brands in

their stores ○ Vans ○ Champion ○ Brandy Melville ○ Playboy ○ Kendall and Kylie

● Me to we: ○ Sustainable

Targets Surf:

- 2.3 million in US - Tends to be younger - 16-22 age range - 80% Male

Skate:

- Over 10 million in US - Majority under 18 years old - 14-20 - 20% are core skaters (skate regularly)

Surf Trends

● Professional surfers are getting younger ● Fighting for the environment ● Less “surf trips” ● Thermal linings for warmth

Skate Trends ● Number of Casual skaters is rising ● Competitions gaining viewers ● Skateboarding was supposed to be in the 2020 summer olympics ● “Funky and attractive graphics” ● Social media gains attraction for skating

The Line: Surf

- Boards - Wet suits - Bathing suits - Rash Guards - Surfboard cleaning/maintenance accessories - Wax

The Line: Skate - Beanies, Snapbacks - Tshirts - Long Socks - Skate shoes: VANS - Jeans - Collared long sleeves - Skateboards

- Wheels

- Decks

- Trucks

- Bearings

- Grip Tape

Inspiration: Surf

Inspiration: Skate

The Market: Surf

The Market: Skate

SWOT: Strengths

Strengths:

- Headquarters located in California - Includes lines of 2 popular sports - Pacsun’s age range fits with Surf n’ Skate - Pacsun already has an image with surfing and skating

- They don’t sell gear, fashion geared towards these sports, aesthic

SWOT: Weaknesses

- Price point may be way higher - $100-$400 - Differentiation is important

SWOT: Opportunities

- Roots of the company are in surf - Bring back true surfers/skaters to the brand - Trendy compared to competitors

SWOT: Threats

- Competitors have more knowledge of the market - Avid surfers/skaters may be loyal to other brands already - Covid-19 could cause manufacturing issues and delays

Brand Positioning

- The brand would be positioned as - Trendy

- Fresh ideas and new designs

- Never seen before

- Consumers want comfortable, trendy and practical gear to perform their sport in

- Roots in surfing and skating

Competitor: Surfdome

- Surf, Skate, Snow, and outdoor apparel and accessories

- Founded in 2006

- Surf: Essentials, Equipment, Wetsuits

- Skate: Equipment, Hardware, accessories.

Surf n’ Skate Compared to Surfdome

- Sells products from existing brands - Not very exciting or extremely colorful - Surfdome has more recognizable brands - They have clothing and equipment - Been around longer - We will only sell products from our own company

Sources FEATURE. (2016). Bankruptcy Week, 16(15), 5-6. Retrieved from https://sacredheart.idm.oclc.org/login?url=https://www-proquest-com.sacredheart.idm.oclc.org/docview/1782260817?accountid=28645

Scarano, G. (2016). PacSun emerges from chapter 11. Sourcing Journal (Online), Retrieved from https://sacredheart.idm.oclc.org/login?url=https://www-proquest-com.sacredheart.idm.oclc.org/docview/2273054948?accountid=28645

https://www.barchart.com/stocks/quotes/ZUMZ/overview

https://www.infrontanalytics.com/fe-EN/31622NU/Pacific-Sunwear-of-California-Inc-/financial-ratios

http://www.fundinguniverse.com/company-histories/pacific-sunwear-of-california-inc-history/

https://www.grandviewresearch.com/industry-analysis/surfing-apparel-accessories-market

https://publicskateparkguide.org/vision/who-are-skateboarders/

https://www.prnewswire.com/news-releases/skateboard-market-size-worth-2-4-billion-by-2025--cagr-3-1-grand-view-research-inc-300885354 .html

https://www.grandviewresearch.com/industry-analysis/surfing-apparel-accessories-market

https://www.tracksmag.com.au/news/surfing-trends-for-2019-517596