Fireworks sales is a billion-dollar booming business
Mike Downs recently struck a deer with his vehicle.
And his automobile insurance premium went up.
So in the spirit of the founding fathers, the Brownsville resident met the challenge head on. He took a two-week vacation from his job driving a truck and opened a pop-up fireworks shop in a tent in the parking lot of the Uniontown Mall.
“I always liked fireworks,” said Downs, who has been selling products from Ohio-based Phantom Fireworks 12 hours a day since July 23. Downs, who sells more than 100 different items that vary in price from $1.29 to $200, expects to be busy up through the holiday.
“Business has been pretty good,” said Downs, who gets help at the stand from his sister, Heather Metts of Fairchance and their mother, Linda Downs of Uniontown.
“Gets me out of the apartment,” Linda Downs said.
Raymond and Cheryl Lorkowski of Washington Township have been selling TNT-branded fireworks at Rostraver Square by Walmart in Rostraver Township for four years. Raymond said it was their daughter who got them to try it.
“It’s extra money,” said Raymond, who works as a carpenter and pipe painter the rest of the year.
“We might get a new garage door,” Cheryl said.
“We sold out the last two years,” said Raymond, who keeps 20 percent of his sales.
The sale of fireworks, even in Pennsylvania which allows only the sale of consumer fireworks, is a booming business.
Last year 268.4 million pounds of fireworks were consumed in the U.S., according to the American Pyrotechnics Association, a Bethesda, Md. trade association. Out of that total, 243.9 million pounds were purchased and used by consumers, while 245 million pounds were used for fireworks displays.
The sale of display fireworks generated $345 million in revenue in 2016, while revenue from consumer sales came to $825 million, the association said.
Julie Heckman, executive director of American Pyrotechnics, said because July 4 falls on a Tuesday, the sale of fireworks is expected to be brisk again this year.
“Retail sales at these (tent) stands are very popular and they have been around forever,” she said.
Also, Heckman said a number of states have relaxed their fireworks laws which has led to a decline in injuries.
Pennsylvania permits the sale of ground and hand-held sparkling devices to individuals, according to the APA. Ohio allows the consumers to buy 1.4G fireworks (class C) consumer fireworks at 50 licensed sales locations. Internet sales and direct shipment to a consumer is prohibited. Plus, all fireworks acquired by a consumer must be transported out of state within 48 hours. The discharge of fireworks in Ohio by an individual is against the law.
West Virginia is more lenient in what a consumer can or cannot buy. As of June 1, it is now legal to buy sky and bottle rockets, missile-type rockets, helicopter and aerial spinners, Roman candles, multi-aerial mine and shell devices, aerial shell kits, reloadables and firecrackers, the West Virginia Fire Marshal’s office said.
And in Maryland, meanwhile, sellers of fireworks need a permit. They are allowed to sell sparklers that don’t contain chlorates or perchlorates. The sale of ground-based sparking devices that are non-aerial and don’t explode are permitted as well. Maryland also requires all retailers to submit products for testing and approval to the state Fire Marshal prior to sale.
Robert Schiffbauer, a South Union Township supervisor, said he is planning to take his grandson, Bohdi, who will be visiting from Denver, to buy fireworks.
“Whatever he wants,” Schiffbauer said.
Downs said it is grandparents, like Schiffbauer, who are his most frequent customers.
“We tend to get busy around 2 p.m.,” Downs said. “Our average sale is $25.”
Rob Dunn, an economics professor at Washington & Jefferson College, said fireworks stands, as well as other temporary businesses centered around Halloween and Christmas, have been around for years.
“The major benefits are that the sellers are able to keep costs lower by not committing to a long-term lease agreement,” Dunn said. “They can limit worries about carrying excess inventory. Both of these things considerably increase their flexibility. In addition, with something like the fireworks tents they are able to locate in spots that already attract consumers — like a Wal-Mart parking lot — so visibility is high.”
“I think it can really be viewed as an innovation in retail that seems to have much more room to grow. …with a relatively low cost of failure.”