Kayak kraze - Kayaking moves into the mainstream

INLET, N.Y. -- When John Nemjo left his Florida teaching job 10 years ago to become a wilderness outfitter in northern New York, kayaking was still the domain of a fringe group of whitewater fanatics.

"There was hardly a kayak to be seen in the Adirondacks," Nemjo said. "A friend told me kayaking was the next big thing, but I didn't listen."

Instead, he focused on backpacking gear. After a couple of very lean years, he tried selling canoes and kayaks.

Nemjo got onboard just as kayaks were surging into the mainstream. Now he's one of the top kayak retailers in the country, selling nearly 2,000 boats last year from his two Mountainman Outdoor Supply stores in a lake-studded region 90 miles northwest of Albany.

"We're in a phase of planned and controlled growth now," Nemjo said. "For a number of years, it was just out of control."

Participation in human-powered outdoor activities, particularly paddle sports and telemark skiing, is at an all-time high, according to a recent report by the Outdoor Industry Association.

Sport for the masses

"One thing that makes kayaking so alluring is the physical accessibility," said Chris Mitchell, executive director of the Trade Association of Paddle Sports in Washington state. "It's something anyone can do."

Joe Pulliam, executive vice president for water sports at Watermark Industries, has been making kayaks since they first became popular 30 years ago.

"When plastic boats came out in 1972, it meant a cheaper, stronger product that could reach more people," said Pulliam, who founded Dagger Kayak in 1973. "Then, it was virtually 100 percent whitewater kayaking."

In the early 1990s, the industry turned to the more casual user who wasn't interested in risk-taking, Pulliam said. They made sea kayaks and recreational kayaks, wider boats that were more stable and easier to use. Sales surged.

"There was a redefinition of what kayaking is," Pulliam said.

Sales should be about $325 million this year, including boats, accessories and services, Mitchell said. Growth raged at 20-22 percent from 1996-99 but now is around 10 percent.

"Some of the key players are having financial problems because they overproduced," Mitchell said.

Boom leads to mergers

The kayaking boom led to a wave of mergers funded by outside investors in the late '90s.

The First Islamic Investment Group of Bahrain formed Watermark in 1998 by merging the two largest kayak manufacturers in the United States, Dagger and Perception. The group also acquired Yakima sports racks.

Wisconsin-based Johnson Outdoors added Necky, Pacific, and Ocean kayaks to its line, which also includes Old Town canoes and kayaks, Eureka tents, Camp Trails backpacks, Johnson fishing gear and other brands.

Wilderness Systems and Mad River merged in 1998 to form Confluence Watersports.

Eddyline Kayaks, on Washington's Puget Sound, was there at the beginning 32 years ago and has rejected buyout offers to remain a small, independent company producing fewer than 2,000 kayaks a year.

Joe Dryden, general manager of Eddyline, said staying independent allows the company to focus on innovation rather than high volume. Among Eddyline's firsts is the use of vacuum-bag construction developed by NASA, which reduces weight without giving up strength.

Eddyline also used thermoformed material to make boats at a third of the cost and higher durability than traditional fiberglass construction, and switched to tougher carbonlite material to replace the crack-prone gelcoat on Kevlar and fiberglass kayaks.

Mitchell fears the industry's rapid expansion will drive specialty stores out of business by big box retailers selling cheaper, lower-quality kayaks.

But Pulliam said there are changes for the better, as well.

"It has made kayaks available to a whole segment of population that wouldn't have come in contact with a kayak otherwise," Pulliam said. Those converts could end up buying higher-end boats from specialty stores.

Dryden believes there's still tremendous growth potential that could be realized through expanded promotional programs.

Kayak shows around the country are a popular marketing tool, offering entertainment, instruction, accessory booths and the opportunity to test-paddle hundreds of boats.

Popular Paddlefest

The annual Paddlefest sponsored by Mountainman drew about 7,000 people to the village of Inlet on Fourth Lake in May. By the end of the weekend, about 300 boats had been sold, most of them kayaks, Nemjo said.

Nemjo is also trying to sell civic leaders on the idea of "quiet waters" wilderness areas such as Minnesota's Boundary Waters Canoe Area, where paddlers can take extended trips. He's the Sierra Club's main proponent of the Great Oswegatchie Canoe Wilderness, a region of the state-owned Adirondack Forest Preserve that advocates want set aside for non-motorized use.

The founders of Mad River Canoe in Vermont are promoting the Northern Forest Canoe Trail, a water version of the Appalachian Trail that would stretch 740 miles..

"The growing popularity of paddle sports offers a great economic opportunity," Nemjo said. "I believe the future of the Adirondack economy is in promoting ecotourism."