1. The World of Horses An introduction to the consumers who live the equine lifestyle

2. A Brief Overview The size of the horse industry Key segments in the industry The horse owner market Horse owners as consumers What drives horse ownership The future of the horse industry

3. The Horse Industry A $102 billion impact on the US economy 4.7 million Americans involved in the industry as owners, employees, volunteers or professionals 1.4 million full-time equivalent jobs 9.2 million horses with 6.6 million used for recreation or competition 2 million horse owners

4. Key Segments in the Industry The largest segment, spectators, are most influential in the racing and rodeo worlds, but also are the least involved

5. Spectators Racing fans comprise the largest group of spectators and number about 60 million The next largest group are attendees at rodeos – 2.4 million at pro rodeo events and over 1 million at high school rodeos

6. Occasional Riders About 17 million people ride at least once per year Of these, 4 million ride at least once a month and 2 million ride once a week or more

7. Horse Owners By the numbers 76% are female 66% are married The average age is 43 Average household income of $69,500 with 14% reporting incomes above $100,000

8. Horse ownership requires a financial commitment The average owner spends over $2800 annually on each horse

9. Horse Owners Are land owners… 89% live in areas of under 100,000 population They own an average of 35 acres 74% own 4 or more acres

10. About 25% of Horse Owners Compete in One or More Events While only 15% of all riders ride English, 40% of competitors ride English Western riders are more likely to be recreational riders

11. Associations representing major competitive disciplines include US Equestrian Federation – 87,000 members US Dressage Federation – 33,000 members US Hunter/Jumper Association – 32,000 members National Reining Horse Association – 13,000 members National Cutting Horse Association – 16,000 members US Eventing Association – 14,000 members National Barrel Horse Association – 23,000 members

12. Associations representing the major breeds are American Quarter Horse Association – 3.1 million horses registered The Jockey Club (Thoroughbreds) – 1.8 million horses American Paint Horse Association – 795,000 horses Arabian Horse Association – 947,000 Arab and Half- Arab horses Appaloosa Horse Club – 654,000 horses

13. Horse Owners are Active and Discriminating Consumers Price/quality relationship is vital and is often defined by brand Availability/selection often determines purchase location Customer service is a factor in selecting specific outlet Owners look to trainers, veterinarians and other professionals for product recommendations

14. Where Horse Owners Shop Tack shops & feed stores are under pressure from other outlets Specialty outlets – Tractor Supply, Southern States, America’s Country Store, etc. – are gaining share Catalogs – Dover, State Line, United Vet Equine, Libertyville, etc. – continue to grow and are moving into the online market Mass merchandisers – Wal-Mart, – are adding equine products to their extensive selection

15. What Drives Horse Ownership? Demographic trends – most horse owners are between 25 and 49 Economic issues – land availability and cost, disposable income Competition for time Awareness of horses – the horse in society Exposure to horses among youth

16. The Horse Industry’s Future The future for competitive and recreational horses remains bright – increased disposable income, lifestyle appeal, cost effective Horses on farms and ranches will continue to decline as land costs increase More horses will be kept on smaller acreage