Tips from Struggling Equine Industry in Kentucky

Lexington, Ky. - As the horse industry in Kentucky continues to struggle, equine business owners are looking for any means of staying afloat they can find. A recent webinar from EquestrianProfessional.com instructed some 800 business owners on how to do just that, by taking charge of marketing in the digital age.  

According to Equestrian Professional's research, the response of the horse industry to the recession has differed around the world. The U.S. horse industries are stabilizing since the decline felt by many Lexington horse operations after the onset of the recession. European equine businesses are still flailing, while Chinese markets are growing at a rate of roughly 20 percent a year.  

With the recession came a decrease in high-profit activities like sales, shows and clinics. Surprisingly, however, a survey by Equestrian Professional showed an increase in lessons and boarding. Sean Pecor, founder of NewHorse.com said he receives approximately 8,000 searches per day for these services. 

"In this particular economy what we're seeing is growth without an increase in profit along with it," said Elisabeth McMillan, editor of EquestrianProfessional.com.  

Concurrent with this growth is heightened accessibility of the average American to horses on TV and in social media coverage. Costs for broadcasting equestrian events like the 2010 FEI Alltech World Equestrian Games are down, which according to McMillan brings opportunity for education and promotion to equestrian sports.

 

"[I noticed it] was impossible, if you watched [WEG, Rolex, and other equine events on TV], to not get excited about riding…and maybe it will encourage people who had stopped riding to return," she said.  

McMillan also noted that the proliferation of reality television programming is likely to impact equine topics also, as seen with Animal Planet's popular program, "Jockeys."

The recent explosion in social media has created a unique business environment in which horse businesses are seeing some of the worst economic times in decades, but are provided with some of the best marketing tools ever available at little to no cost. The accessibility of social media applications like Facebook and Groupon is a great way for business owners to bring new boarders, riders or clients to their barns. While word of mouth is still the biggest promoter for a business, McMillan points out that the Internet is a tool for dispersing positive experiences with your company, as some 80 percent of new customers search for businesses online. Some of the most notable successes in equine marketing online include the use of Groupon by several lesson barns, which reported selling 400-500 lessons in three days thanks to the subscription discount service; Judge My Ride, a Facebook page for free riding critiques with over 10,000 fans, which has now developed an online store, and fan sites like Run Henny Run for riders in high-level competition. 

The most effective approach to marketing businesses that rely so heavily on word-of-mouth recommendations is to use a variety of tools, and be ready to promote your marketing presence when you have the chance. 
"You might meet your best client in the grocery store. You might walk in wearing your spurs and someone might say, 'Hey do you ride?' and you might say yes and you better have a marketing tool to talk to them about right then and there." 

The whirlwind of websites, marketing options and technical lingo can be overwhelming for equestrians who are just beginning to use e-mail and smart phones, so when all else fails McMillan suggests they take the power of marketing seriously and hire a professional. 

"Internet, tech and new media aren't just for big sponsors and events … their low cost enables you to market nearly as well as a big company," she said. 

Despite the bleak sale averages at recent Thoroughbred auctions and discouraging numbers from the sporthorse industry, McMillan says she believes the horse business will turn around in the U.S., which can only mean good things for Lexington's economy. 

"My opinion is that what we saw in the late 1990s to early 2000s…it felt like it was really easy to sell horses," she said. "I don't know that we're going to see our economy return to easy spending, but I do think that the horse business will return … I think it's cyclical and it will come back but I think you need to focus on what you're going to do with your business for the next two to five years."

Source: bizlex.com