Capstone’s latest Outdoor Recreation & Enthusiasts Sector Update reports that the rising popularity of outdoor recreation has fueled significant growth in the Outdoor Recreation & Enthusiasts market. As more individuals seek nature-based experiences, sector operators have actively worked to capture this expanding consumer base. Strategies such as sector consolidation and the cultivation of strong brand identities have become central to attracting and retaining new participants. These companies have not only grappled for market share in the expanding space but have also aimed to build consumer trust and limit brand switching as competition intensifies.
Several emerging outdoor recreation activities have acted as powerful tailwinds, helping to accelerate growth within the sector. Notably, pickleball and padel—two racquet sports—have quickly gained global popularity. Pickleball has seen rapid adoption across North America due to its accessibility, low barrier to entry, and appeal across age groups. Padel—a hybrid racquet sport combining elements of tennis and squash—has experienced a significant surge in global popularity, particularly across Europe and Latin America. Interest in the sport has recently gained traction in the U.S. as well. These racquet sports have attracted new participants and fostered strong community engagement and repeat participation. The accessibility, social nature, and relatively low physical barriers make it ideal for a wide range of age groups and skill levels, positioning current and new players as valuable engines of sustained growth within the Outdoor Recreation sector. Amid these ongoing trends reshaping the market and driving infrastructure investments, a wealth of opportunities for mergers and acquisitions (M&A) have also emerged. Companies have increasingly looked to take market share, acquire leading brands, and expand their footprint in high-growth niches within the space.
Also included in this report:
What segments within the Outdoor Recreation sector have seen heighted interest from acquirers and consumers alike.
Several notable M&A transactions in high-growth segments.
How sector M&A multiples YTD 2025 have compared to historical levels.
An overview of a private strategic with an active M&A presence in 2025, with specific deal analysis.
Capstone Partners’ Consumer Investment Banking Team provides M&A, capital formation, and financial advisory services to the owners of middle market businesses in the consumer and retail industries. Our team partners with leading mid-to-large sized consumer businesses that serve growing end-markets. For more information on the outdoor recreation market trends featured in this report or to speak with one of our Consumer Investment Banking Team members about how to grow, value, and/or sell your company, we are here to help. Contact us today to start a conversation.
