When you turn your back on your customers, you tend to pay a price.
And now Dick’s Sporting Goods is finding that out.
Earlier in the year, they made clear their anti-gun stance by raising the minimum age for buying firearms from 18 to 21 in their stores. They also removed what they referred to as “assault-style weapons” from their Field and Stream stores in the wake of the Parkland shooting.
And now their CEO has announced that their stance has hit their business hard.
They are now considering closing their Field and Stream stores.
The company suffered greatly as a result of their anti-gun stance. Dick’s share price dropped more than 4 percent and store growth is beginning to stagnate.
Edward Stack, chairman and CEO of Dick’s, claimed that he anticipated the negative consequences of the company’s gun ban during the conference held by Goldman Sachs in September.
“Well I think it’s definitely a factor, and it’s nothing that we didn’t anticipate,” Stack said of the loss of business. “As we put out kind of our guidance for the year and our earnings guidance for the year, we knew this would happen when—we’ve made some decisions on firearms in the past and we’ve had a pretty good idea of what these consequences were going to be.”
Despite that Stack said, “We felt that was absolutely the right thing to do. We would do the same thing again if we had a mulligan, so to speak, to do it again.”
It doesn’t sound like they learned anything.
They not only have lost customers by their anti-gun move, they’ve lost vendors as well.
“So, we’ve had some vendors who’ve decided based on our decision to not sell the assault-style rifle that was used in the Parkland shooting that they wouldn’t sell us any longer,” Stack said. “So, as you know, there’s been some people who said we’re not going to sell you any firearms anymore. We’re not going to sell you our product.”
They have 35 Field and Stream stores that they now may close or “re-conceptualize,” Stack said.
Never a good idea to turn your back on customers.