Since becoming executive director of SIMA, Vipe Desai has spent time studying the association’s history and bouncing ideas off mentors and friends to figure out how the organization can grow its membership and meet its members’ evolving needs. Now, as SIMA approaches its 35th anniversary, Desai is proposing several initiatives for the association as the industry undergoes massive change.
Desai, who was appointed to the executive director role in 2021, spent his first months on the job in listening mode, meeting with people like Bob Mignogna, Peter Townend, Bob McKnight, who are all senior advisory board members at SIMA, and former SIMA Executive Director Sean Smith, who Desai is friends with.
“I’ve really stepped into this more as a collaborator, trying to get as much input and feedback as possible,” Desai said in an interview with SES.
That feedback is informing how SIMA adjusts to what he said have been some of the biggest changes he’s seen in the industry, which include:
- Consolidation, such as those brands formerly under Boardriders, now under Authentic Brands Group.
- An increasing number of brands operating under a licensing business model.
- More innovation and competition from small and medium brands that are challenging legacy brands.
“I would say the last 12 months have been the most seismic and disruptive our industry has ever seen in its entire history,” Desai said.
SIMA’s goal is to meet the moment by continuing its long-held traditions such as the upcoming annual Waterman’s Weekend, and growing new initiatives, such as Surfscape, which drew approximately 6,000 people to the Huntington Beach, California, event this past spring.
“One of the things that I enjoyed most about SIMA in the past was when we did things like Surf Summit, the Image Awards, Waterman’s – all the different programs that we ran,” Desai said. “It was really inspirational that competitive brands would sit in a room together to hash things out, and it was great to see that the industry looked at common causes as an opportunity to insulate themselves from outsiders. I’d like to see us get back to that a little bit more.”
Rightsizing the Ship
In addition to macroeconomic and political issues that are outside of the industry’s control, as well as the post-pandemic sales slump, the surf industry needs to rightsize, Desai said.
The retail landscape has constricted, which has made it more difficult to grow. But at the same time, participation is higher than ever with a growing number of surf enthusiasts outside of the U.S., driven by organizations such as the World Surf League and even the Olympics.
Desai predicted that growth will become more incremental, and will occur through some brand acquisitions and tapping into global opportunities. Small and mid-tier brands will be more geared toward sustainable profitability rather than growth in and of itself, he said.
“I’d rather be a $5 million company and profitable rather than struggling to grow every year because I have a private equity group or some money guy behind me that is asking me to 10-times this thing,” Desai said.
Too much inventory is another problem, Desai said, particularly as it relates to the environmental impacts. Brands must evaluate and rightsize their production, he said.
“What amount of inventory are [brands] comfortable producing to minimize this enormous problem that we have with environmental waste?”
$10 Million Raised Since Environmental Fund Launch
Reducing waste, as well as protecting and cleaning up the world’s oceans, are at the forefront of SIMA’s work.
The association announced its upcoming Week of Charity for Our Oceans, from July 31 to August 10, which includes an online charity auction, a luau, and the Waterman’s Gala.
SIMA has raised more than $10 million since it started the Environmental Fund about 20 years ago. Money raised is granted to a multitude of organizations such as Surfrider Foundation, the Santa Barbara Coast Keepers, and more, all of whom contribute to protecting and cleaning up the oceans domestically and abroad.
Auctioneer Michael Shumard and SIMA Environmental Fund President Paul Naude. Photo courtesy of SIMA.
Bob Mignogna, the former publisher of Surfing Magazine and one of the original SIMA board members, said the funds raised by SIMA’s Environmental Fund are by far his proudest accomplishment since becoming involved in the association in the ‘80s.
“[I’m proudest of] the effort we’ve made with protecting our ocean, our near shore ocean, the surf zone, and the waves and the beaches by funding grassroots organizations who do the grunt work day in and day out to make sure there’s a beach we can access, that it’s relatively clean, that we can get in the water, that we’re not getting sick,” Mignogna said.
The health of the oceans is intimately linked to the future of the industry, and SIMA is doing its part to protect that future, both Desai and Mignogna said.
Growing SIMA and Surfscape
SIMA once had five full-time employees and a healthy war chest. Now it’s down to two full-time employees and a “somewhat depleted” war chest, Mignogna said.
Bringing in startup brands as members is important, and Desai has brought in four new sponsors to the organization, he said. Surfscape has also launched profitably.
Surfscape 2024 in Huntington Beach. Photo courtesy of SIMA.
“I think the one in Huntington should be three times as big as it was this past year,” Mignogna said. “I hope in two or three years it is. And then personally – I’m not speaking for the organization – I would encourage the organization to look to build one on the East Coast. Cocoa Beach comes to mind.”
Desai is planning Surfscape’s third event for next year, and has already secured 12 to 15 new exhibitors and is working to include outdoor brands outside of the surf ecosystem to welcome enthusiasts of all stripes into the surf world. He envisions it as a SXSW-type event for surf, and is extending the weekend with TED-style keynotes and casual panel discussions, as well as art, film, and music events.
“Hopefully in the future this turns into Surf Week,” Desai said. “It’s exciting. It gets consumers out, it gets them going to all these different activities and gets them excited about what they’re going to purchase next.”
Kate Robertson can be reached at kate.robertson@emeraldx.com.
