Private Equity Gutted Surf Brands — Is Fishing Next?
- Casey Shedd, President of AFTCO
The outdoor boom brought PE Capital. But it could strip our soul too.
Living in Southern California, I’ve watched passion-driven surf brands like Quiksilver, Volcom, Billabong, Hurley, and RVCA collapse under the weight of private equity deals, complicated licensing agreements, and Chapter 11 filings. Less and less of their product can be found in core surf stores. Instead, it’s often now sold at Costco, JC Penny’s, and off-price channels that have nothing to do with surfing.
The powerhouse surf brands I grew up on are losing relevancy at a striking rate. While there are several reasons for that, Private Equity has certainly played a role in their current stage of demise. The recent bankruptcy of Liberated Brands, the discreet parent company formerly behind many of the most well-known surf brands, is just the latest chapter in an all too familiar story. Customer service lines at these brands are far too often silent, blown-out seam taping on wetsuits go unrepaired, and overall product quality has fallen. While new companies have stepped in to pick up the licenses for these brands, much of the damage is already done.
What began as aspirations for growth spiraled into a cycle of overexpansion, debt loads, declining purpose, and a lack of authenticity. The surf industry that once defined youth and counterculture became the paper pushers they initially sprung up to rebel against.
Thankfully, there is a new wave of surf brands. Not coincidentally, many are founder, independently, or family led. While that should give anyone who loves surfing hope, the lessons for the fishing industry are clear—and hit close to home.
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