Sporting Goods Stores Revenue Benchmarks
The average sporting goods stores business in the United States generates $3.1M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 15,248 sporting goods stores businesses in the U.S., employing 238,887 workers with an average profit margin of 4.0%.
What Does a Sporting Goods Stores Business Actually Do?
Retailers of sports equipment, athletic apparel, and outdoor gear. Range from big-box (Dick's, Academy) to specialty (bike shops, ski shops, golf shops).
Who buys: Recreational athletes, parents outfitting kids, gift buyers, gear enthusiasts.
Average Revenue
$3.1M
per year
Profit Margin
4.0%
industry average
Revenue / Employee
$197K
per year
Total Businesses
15,248
in the US
Est. Owner Income
$123K
small business avg
Labor Cost
14.0%
of revenue
Avg Employee Wage
N/A
per year (BLS)
Market Saturation
4.6
firms per 100K people
How Much Do Sporting Goods Stores Charge?
Sporting goods retailers earn 30–45% gross margin, with equipment lower and apparel higher.
| Service | Typical range |
|---|---|
Equipment (bikes, golf, fitness) markup | 25–40% |
Apparel markup | 60–100% |
Accessories/nutrition | 70–130% |
Service (bike tune, ski wax) | $40–200 per service |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete sporting goods stores business plan
A 12-section data-backed business plan for a sporting goods stores business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the sporting goods stores industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Cost of goods sold | $61 | $1.9M | Wholesale cost of merchandise purchased for resale. Retail's biggest expense. |
Wages & benefits | $14 | $431K | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $8 | $253K | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $4 | $126K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $8 | $253K | Utilities, POS fees, shrinkage, insurance, store maintenance. |
Net profit | $4 | $123K | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
8.7%
openings/year
Closure Rate
7.58%
closings/year
Net Job Growth
+0.54%
annual
Businesses Closed
1,944
in 2023
Firm Count Trend
Should You Start a Sporting Goods Stores Business?
Startup Cost
$75K – $400K
Break-Even
23 months
5-Year Survival Rate
48.0%
Related Industries
Frequently Asked Questions
- What does a sporting goods stores business do?
- Retailers of sports equipment, athletic apparel, and outdoor gear. Range from big-box (Dick's, Academy) to specialty (bike shops, ski shops, golf shops). Recreational athletes, parents outfitting kids, gift buyers, gear enthusiasts.
- How much do sporting goods stores charge?
- Sporting goods retailers earn 30–45% gross margin, with equipment lower and apparel higher. See the pricing table above for typical rates by service type.
- How much does the average sporting goods stores make per year?
- The average sporting goods stores business generates $3.1M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $123K per year at a 4.0% profit margin.
- How many sporting goods stores businesses are there in the US?
- There are 15,248 sporting goods stores businesses operating in the United States, employing a total of 238,887 workers.
- How much does it cost to start a sporting goods stores business?
- Startup costs for a sporting goods stores business typically range from $75K to $400K, with a 5-year survival rate of 48.0%.
Industry Growth & Survival
The sporting goods stores industry is relatively stable — with a net job growth rate of 0.5%. Entry and exit rates are balanced at 8.7% and 7.6% respectively.
Approximately 67% of sporting goods stores businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 1,944 firms in this industry closed permanently.
Industry Trend (2000–2023)
The sporting goods stores industry has declined 21% since 2000 (from 29,539 to 23,199 firms).
See full historical statistics →Compare Sporting Goods Stores revenue with other industries: