Recreational Equipment (REI)

What Recreational Equipment (REI) does

Recreational Equipment, Inc. (REI) is a consumer cooperative founded in 1938 and headquartered in Sumner, Washington, that designs, develops, and retails outdoor gear and apparel across camping, hiking, climbing, cycling, watersports, running, snowsports, and travel categories. The company operates more than 180 retail stores across the United States alongside its REI.com e-commerce platform, iOS/Android mobile applications, the REI Outlet channel, and a Re/Supply used gear marketplace with dedicated locations in Manhattan Beach and Conshohocken. REI's underlying technology stack centers on an integrated e-commerce platform, retail POS systems, a member management platform for its lifetime membership program, and a co-brand credit card program with Capital One.

REI's business model is anchored in cooperative ownership by 26 million lifetime members who pay a one-time $30 fee and receive 10% annual Co-op Member Rewards (approximately $202 million distributed in 2025), free standard shipping, an extended one-year return window, and member pricing across services, rentals, classes, and adventure travel. Revenue is generated through retail merchandise sales as the dominant stream, supplemented by membership economics, interchange revenue from the REI Co-op Mastercard (5% back on REI purchases, 1.5% on all other purchases), affiliate referral revenue from the Intrepid Travel partnership for REI Exclusive and REI Recommended trips, and REI Outlet closeout sales. Marketing relies on an integrated content engine including the Uncommon Path blog, Expert Advice platform, Co-op Cinema documentary initiative, podcasts, and active social presence across Instagram, TikTok, Facebook, Pinterest, and YouTube.

As of early 2026, REI is executing an operational turnaround under CEO Mary Beth Laughton following public acknowledgment that the company is 'still spending more than we bring in.' Recent strategic moves include the March 2026 appointment of former Foot Locker executive Kim Waldmann as Chief Commercial Officer, the launch of Spring 2026 product lines featuring proprietary ShadeFactor50 UPF 50+ apparel technology and LanzaTech carbon-capture materials, expanded partnerships with Intrepid Travel and Outside Inc. for the Outside Days festival, a pre-seed investment in sportstech startup Hightag Inc., and a labor impasse declaration in March 2026 with compensation and benefit cuts effective July 1, 2026.

Name

Recreational Equipment (REI)

Legal name

Recreational Equipment, Inc.

Website

https://rei.com

Company type

Private

Founded year

1938

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

Recreational Equipment (REI) is a 1938-founded consumer cooperative that designs, retails, and distributes outdoor gear and apparel through 180+ US stores, e-commerce, mobile apps, and travel services to its 26 million lifetime members.

Ownership category

akta.pro rank

Product category

Outdoor Gear & Apparel Retail

NAICS

Sporting Goods Retailers (45911), Sporting Goods, Hobby, Musical Instrument, Book, and Miscellaneous Retailers (459), Used Merchandise Retailers (459510), Recreational Goods Rental (532284)

SIC

Sporting & Athletic Goods, Nec (3949), Retail-Apparel & Accessory Stores (5600)

akta.pro primary industry

Camping, Hiking & Climbing Specialty Retail (CRAMABAM)

akta.pro secondary industries

Camping, Hiking & Backpacking Gear Retail (CRAMAMAA), Tents, Shelters & Sleep Systems Retail (CRAMAMAH), Outdoor Travel Gear (Duffels, Packs, Dry Bags) Retail (CRAMAAAI), Sports & Active Travel Agencies (e.g., ski, golf, dive) (THAKAFAJ)

Keywords

• Outdoor gear retail
• Consumer cooperative
• Outdoor apparel
• Adventure travel
• Used gear marketplace

Headquarters

HQ city

Sumner

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Supply Chain, Personnel, Marketing or Sales, Infrastructure, Technology or R&D

Revenue model

1. Retail Merchandise Sales: REI generates the majority of revenue through retail sales of outdoor gear, apparel, and equipment through its physical stores and e-commerce platform. Products span categories including camping, hiking, climbing, cycling, watersports, running, snowsports, and travel gear.
2. Membership Program: One-time $30 lifetime membership fee provides recurring value through annual Co-op Member Rewards (10% back on eligible purchases). Members receive free standard shipping, extended return windows, and exclusive discounts.
3. REI Mastercard: Co-brand credit card partnership with Capital One generates interchange revenue and strengthens customer loyalty. Cardholders earn 5% back on REI purchases and 1.5% on all other purchases.
4. Travel Services: REI partners with Intrepid Travel to offer adventure trips under REI Exclusive and REI Recommended brands. REI earns referral fees and marketing revenue from trip bookings.
5. REI Outlet: Online-only outlet channel selling closeout and previous-year merchandise at discounted prices, moving inventory while maintaining margin recovery.

Pricing tiers

Go-to-market motion1 record

Distribution channels6 records

Marketing channels8 records

Core offering

REI designs, develops, and retails outdoor gear and apparel for camping, cycling, climbing, hiking, watersports, running, snowsports, travel, and general outdoor recreation. Sales are made through more than 180 US retail stores, the REI.com e-commerce site, the REI mobile app, the REI Outlet, and the REI Re/Supply used-gear marketplace. The cooperative also operates a $30 lifetime membership program, an REI Co-op Mastercard co-brand credit card, REI Travel adventure trips (in partnership with Intrepid Travel), and in-store classes and events.

Differentiator

Problem solved

Functional benefit

Products and services

• REI Co-op Lifetime Membership One-time $30 lifetime membership that grants the buyer Co-op Member Rewards (approximately 10% back on eligible full-price purchases), free standard shipping, a one-year return window, member-only discounts, up to 33% off rentals, 20% off bike and snow shop services, special pricing on classes and events, and voting rights for REI's board of directors. As of 2025, the program had grown to 26 million lifetime members.
• REI Co-op Mastercard Co-brand credit card issued by Capital One in partnership with REI. Cardholders earn 5% back in rewards on REI Co-op purchases and 1.5% back on all other purchases; rewards are redeemable as earned and do not expire for the life of the account. The partnership generates interchange revenue for REI and includes annual donations to the REI Cooperative Action Fund.
• REI Travel Adventure travel platform operated in partnership with Intrepid Travel, offering REI Exclusive and REI Recommended trips to destinations worldwide including domestic US locations (e.g., Yellowstone, Grand Tetons) and international destinations (e.g., Peru, Morocco, Iceland). REI Co-op Members receive 15% discounts on REI Exclusive trips and 20% off gear coupons for Recommended trips. REI earns referral fees and marketing revenue from trip bookings.
• REI Outlet Online-only outlet channel selling closeout and previous-year REI merchandise at discounted prices. Sells end-of-season closeouts and previous-year models at reduced prices, allowing REI to move inventory while recovering margin.
• REI Re/Supply (Used Gear) Used-gear marketplace where members can buy and trade gently used outdoor equipment. Includes dedicated sections in physical stores, an online marketplace, and dedicated Re/Supply stores in Manhattan Beach, CA and Conshohocken, PA.
• REI Classes & Events In-store and online workshops, presentations, run clubs, film tours, and service projects that connect members with outdoor activities and REI products. Members receive special pricing on classes and events.
• Spring 2026 Gear & Apparel Collection Spring 2026 outdoor gear and apparel collection featuring updated performance apparel with ShadeFactor50™ UPF 50+ sun protection technology, the Westward line of new camping equipment, the Co-op Cycles ADV 2.1 gravel bike priced at $1,499, new additions to the Trailmade value line, and the Flash Shade Hoodie featuring LanzaTech carbon-capture technology.

Quantifiable outcome

• $202 million in member rewards distributed
• +2 more outcomes

Named customers3 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

Three partnerships are on record, tiered minor and core.

• Outside Inc.minorGTM or Marketing Partner · 3 December 2025REI Co-op is presenting sponsor of the annual Outside Days festival, a four-day outdoor festival in Denver, Colorado featuring live music, industry conference, and outdoor activities. Previous events drew over 50,000 attendees and generated $35 million in economic impact for Colorado.
• Intrepid TravelcoreStrategic or Co-development PartnerREI and Intrepid partnered to launch immersive adventure travel experiences under REI Exclusive and REI Recommended brands. Intrepid serves as the operator and merchant of record for all travel bookings while REI handles marketing and customer acquisition. REI Co-op Members receive 15% discounts on REI Exclusive trips and 20% off gear coupons for Recommended trips. Intrepid donates 1% of trip revenue to the REI Cooperative Action Fund.
• Seattle FoundationminorStrategic or Co-development PartnerREI's donations to the REI Cooperative Action Fund are managed through a Designated Fund at Seattle Foundation (Tax ID#91-6013536), a public charity, providing administrative infrastructure for the Fund's grantmaking activities.

Scale indicators8 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Patagonia: Founded in 1973, Patagonia is a privately held outdoor apparel and gear company with a strong mission-driven brand similar to REI's cooperative ethos. Both companies serve outdoor enthusiasts with premium apparel, gear, and activism around environmental causes, and Patagonia's vertically integrated brand competes directly with REI's curated multi-brand assortment.
• The North Face: Owned by VF Corporation, The North Face is one of REI's largest supplier-partners and a direct competitor across outdoor apparel, technical gear, hiking, climbing, and snow sports. REI carries The North Face products while also competing with the brand through its Co-op Cycles and private label lines.
• Backcountry: Backcountry is a private, online-first specialty retailer of outdoor gear and apparel, offering a deeply curated multi-brand assortment that directly competes with REI.com. Backcountry's expert-led content and gearhead positioning mirrors REI's Expert Advice approach and competes for the same high-engagement outdoor enthusiast customer.
• Columbia Sportswear: Columbia Sportswear is a publicly traded outdoor apparel and footwear brand competing with REI across hiking, camping, fishing, and winter sports categories. Columbia sells through REI as a wholesale partner while also competing via its own retail stores and direct-to-consumer channels.
• Decathlon: Decathlon is the world's largest sporting goods retailer, operating over 1,700 stores globally with a vertically integrated private-label model. While Decathlon's US presence is still developing, its value-priced technical gear and broad category coverage represent a structural threat to REI's premium specialist positioning.
• Moosejaw: Moosejaw is an online outdoor and active apparel retailer owned by Walmart, offering a multi-brand assortment that competes directly with REI.com. Moosejaw's value-driven positioning and Walmart's logistical scale create pricing and delivery advantages versus REI's direct-to-consumer channel.

Broad incumbents

• Dick's Sporting Goods (Public Lands): Dick's Sporting Goods launched Public Lands as a specialty outdoor retail concept directly modeled on REI's category leadership. As a large public sporting goods retailer with significant buying power, Dick's and Public Lands compete head-to-head with REI in-store and online while also leveraging Dick's broader sports assortment.
• Sierra (TJX Companies): Sierra is the off-price outdoor and activewear retail banner of TJX Companies, selling closeout and previous-season merchandise at deep discounts. Sierra competes with REI's Outlet channel and increasingly with REI's core assortment, leveraging TJX's massive buying power to source closeouts from many of the same brands REI sells at full price.

Emerging players

• Cotopaxi: Cotopaxi is a venture-backed outdoor brand and retailer with a strong sustainability and mission-driven brand identity that closely mirrors REI's cooperative ethos. Cotopaxi competes with REI in outdoor apparel, packs, and gear while building a direct-to-consumer and wholesale presence in REI's own stores.

Regional players

• MEC (Mountain Equipment Company): MEC is a Canadian consumer cooperative operating in the same outdoor gear and apparel category as REI. Its member-owned structure parallels REI's governance model, but its geographic focus on Canada limits direct competition while making it a structural analogue for the cooperative retail model.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/REI
• YouTubeyoutube.com/user/reifindout
• Facebookfacebook.com/rei
• Instagraminstagram.com/rei
• TikToktiktok.com/@rei
• Pinterestpinterest.com/reicoop
• LinkedInlinkedin.com/company/rei

Revenue estimate

Valuation estimate

Number of profiles

Profiles18 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A1 record

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Recreational Equipment (REI)