Behind the Scenes of Ski Areas: What It Takes to Run a Mountain
ChatGPT: 16:9 horizontal image that visually illustrates the transformation of a ski area from blueprint to reality.
Freakonomics: Ski Areas- The Economics of Everyday Things
In Episode 87 of The Economics of Everyday Things, host Zachary Crockett unpacks the high-stakes business of running ski areas with the help of insiders Rob Goodell (Loveland Ski Area, CO) and Andrew Gast (Mt. Ashland, OR). While skiers and snowboarders enjoy powder days and chairlift rides, operators manage a complex mix of weather dependency, seasonal labor, snowmaking, avalanche control, and escalating insurance and infrastructure costs.
Key takeaways include:
Economic Impact: Recreational snow sports generate nearly $60 billion annually in the U.S.
Independents vs. Conglomerates: Over 70% of U.S. ski areas are independent, but face fierce competition from mega-pass giants like Vail (Epic) and Alterra (Ikon).
Revenue Streams: Lift tickets and season passes drive most revenue, while food, rentals, and ski school play supporting roles.
Labor & Housing: Seasonal staffing is a major challenge due to high housing costs in mountain towns. Loveland has invested in employee housing to ease the burden.
Snow & Safety: From snowcats to avalanche mitigation, ski patrol and grooming crews work through the night to prepare the mountain each day.
Risk Management: Liability and property insurance are significant expenses, especially with fire risks and chairlift operations.
Off-Season Innovation: Mountains like Mt. Ashland diversify with summer programs and even ax-throwing to stay sustainable.
Despite tight margins, both operators affirm the same truth: the passion for snow keeps guests—and their communities—coming back year after year.
And as always: