May 2023 Issue

Page 32 May 2023 EAST COAST EQUESTRIAN The Equine Economy in the 21st Century Fragmentation, Aging Population Threaten Horse Industry's Health By Stephanie Lawson Editor’s note: In recognition of our 30 years in publishing, we will occasionally reprint and up- date articles from the past. This article, written in 2007, remains relative to today. The horse industry is com- posed of thousands of fragments, operating independently, with no cohesive promotional body. Baby boomers, who will give up riding in the next several decades, represent a large number of rid- ers. Soon, more people will quit riding than will start riding. The industry has gotten a free ride for the last fifty years, from a demographic cohort that grew up near horses, encountered them daily through the media and had the economic wherewithal to pursue an equestrian lifestyle. All that has changed, say industry representatives who gathered in Kentucky in late April, 2007 to focus on the economic future of the horse industry. The horse industry is poised to lose its base, yet has a long standing inability to effectively reach out to new members. Fragmentation Repeatedly speakers voiced concern over the industry's frag- mentation, inability to commu- nicate within itself or to share resources. The industry has been unable to effectively reach out to and educate novices. At the same time, no matter how diverse the groups, they all share the need to grow their segment of the indus- try, and face the same challenges of how to create new customers while cultivating the ones they already have. In addition, the demographic cohort that owns horses is aging while younger, less populous generations have had far less childhood exposure to horses. Horses Peaked at 20 Million The number of horses in the US peaked at 20 million in the first decade of the 20th Century, said Richard Wilke, Director of the Equine Program at the University of Louisville. Racing was the country's pre- dominant sport as it facilitated a supply of quality horses for use by the military. In 1917 hundreds of thousands of horses were shipped to Eu- rope for use in World War I. In the 1920's and 30's, as the US faced economic hardship, bet- ting on racing was legalized as a source of tax revenues. World War II ended the use of horses by the military, and after the war, horses were dropped from the USDA census and research. By 1951 only a million horses remained in the US. Those were used in racing and circuses, for ranching and the amusement of the wealthy. Vet schools discouraged students from pursuing equine careers, he said. But the horse did not disappear. Instead the trend moved in the opposite direction and the industry continued to grow. Between 1951 and 1959 the number of horses had doubled, from 1mil- lion to 2 million. Westerns Dominate Horses became a part of the American culture as westerns dominated network prime time. Gunsmoke was the number one network TV program in 1956, and every studio developed a western. By 1957 there were 25 westerns on TV, representing seven of the top ten programs, and the trend continued for 15 years. As the industry continued to grow, showing became more specialized and offered oppor- tunities for riders of all skill levels to compete. In the 1990's he said, team roping became the fastest growing equestrian sport by instituting a handicap system that allowed riders to be success- ful at a variety of levels. Sim- ilarly, barrel racing developed divisions so more people could win at more levels. Growth Is Stalling Today, he said, the US horse population stands at 9 million and a 50 year episode of growth is stalling. Cultural, economic and land use barriers are making horse ownership more difficult. Horses are more likely to be seen from afar and idealized, and far fewer people have ever met one. Ten percent of the US pop- ulation rides, said Steve Day of Dover Saddlery, and five per- cent once rode. That's a higher percentage than skiing (5%), or mountain biking (2%). In addi- tion, 18% of the US population report in surveys that they would like to ride. The problems in the short term are the slowing econo- my, fuel prices and tightening of credit. In the long term, Day said, the aging of the customer base is the main problem. The largest group of riders is traditionally ages 5 to 24, a population group that is much smaller than the baby boom generation. Between the ages of 55 and 65 virtually everyone stops riding. Soon more people will stop riding than will start riding. More Exposure Boomers were seven times more likely to be exposed to horses growing up than Gener- ation Y members, said Martin Concannon of Lafayette Asso- ciates. With far fewer horses in the media than in the 50's, fewer kids aspire to riding. A US For- est Service survey, he reported, indicated a dramatic future drop in wilderness participation, foreshadowing less interest in funding federal parks and open space. The middle class has de- clined, he said, making horse ownership more difficult. "The industry is focused on owner- ship," Concannon said, "when what's needed is a way to bring newcomers in that's divorced from having to own one." Equestrian organizations "look like the United Nations," he said, as the largest five to ten of the about 100 to 150 in existence represent 50 to 60 percent of the horse population. The remaining organizations are highly fragmented and NOW in 2023 The latest available figures are from a 2017 American Horse Council study which put the number of horses in the US at 7,246,835, compared to 9 million in 2007. According to a Statistica tested multi-stage peer-review survey, the number of Americans riding horses decreased from 12.1 million in 2007 to 8.09 million in 2013. (Continued on page 33)