Outdoor Barbecue - US - May 2007

SCOPE AND THEMES
What you need to know
Definition
Abbreviations and terms
Abbreviations
Terms
EXECUTIVE SUMMARY
Key points
State of the market
Larger trends in lifestyle grow spending on barbecue
Innovation is key
Age, income and household size impact grill ownership
Gas remains king, but charcoal interest grows
Fractured manufacturing environment
Big chains grow influence
Patterns of ownership and use
Man’s domain no more
More exotic foods and tastes create opportunity
Future opportunities
MARKET DRIVERS
Outdoor living spaces increase
Year round grilling boosts the market
Innovation grows convenience and price point
Grillers become more adventurous and health conscious
Some age groups benefit market while ethic influences negatively affect sales
Increase in peak age demographic for grill ownership
Figure 1: Population aged 18 or older, by age, 2002-12
Hispanic Americans
Household income affects patterns of grill ownership
Figure 2: Distribution of households, by income, 1999 and 2005
Housing and interest rate trends
Housing sales and homeownership growth slows
Seasonality and weather
MARKET SIZE AND TRENDS
Market size
Figure 3: Total U.S. retail sales of outdoor grills, barbecues and accessories, at current and constant prices, 2001-06
Market trends
More burners, different burners
Innovative accessories
Renaissance in charcoal
Portability continues to increase
The rise of outdoor kitchens
MARKET SEGMENTATION
Overview
Figure 4: Sales of outdoor barbecues and accessories, by segment, 2004 and 2006
Gas grills
Figure 5: Total U.S. retail sales of outdoor gas grills, barbecues and accessories, at current and constant prices, 2001-06
Barbecue accessories
Figure 6: Total U.S. retail sales of barbecue accessories, at current and constant prices, 2001-06
Charcoal grills
Figure 7: Total U.S. retail sales of outdoor charcoal grills, at current and constant prices, 2001-06
Electric grills
Figure 8: Total U.S. retail sales of outdoor electric grills, at current and constant prices, 2001-06
SUPPLY STRUCTURE
Figure 9: Manufacturer sales* of outdoor barbecue products, 2004 and 2006
 COMPANIES AND BRANDS
W.C. Bradley (Char-Broil)
Weber-Stephen Products Co.
The Coleman Co. (subsidiary of Jarden)
Private label manufacturers
High-end and niche manufacturers
ADVERTISING AND PROMOTION
W.C. Bradley
Weber-Stephen Products Co.
Coleman Co.
RETAIL DISTRIBUTION
Introduction
Figure 10: U.S. retail sales of outdoor barbecue products, by channel, 2004 and 2006
 HOME CENTERS
Home Depot
Lowe’s
 MASS MERCHANDISERS AND DEPARTMENT STORES
Wal-Mart
Target
Sears
 DRUG STORES AND SUPERMARKETS
THE CONSUMER – GRILL OWNERSHIP AND USAGE
Introduction
Summary of grill ownership and usage
Grill ownership
Where grills are purchased
Most frequent grillers
Foods cooked on the grill
Ownership of outdoor grills
Figure 11: Grill ownership, by region of residence, January-October 2006
Figure 12: Grill ownership, by race/ethnicity, January-October 2006
Figure 13: Ownership of grills, by highest level of ownership cohorts, January-October 2006
Figure 14: Grill ownership and type of grill owned, by marital status, March 2007
Figure 15: Grill ownership and type of grill owned, March 2007
Figure 16: Grill ownership and type of grill owned, by age, March 2007
Figure 17: Grill ownership and type of grill owned, by household income, March 2007
Retail channel of most recent grill purchase
Figure 18: Retail channel of most recent grill purchase, March 2007
Figure 19: Retail channel of most recent grill purchase, by household income, March 2007
When grill was last used and propensity to grill year round
Figure 20: Grill last used and propensity to grill year round, March 2007
Figure 21: Grill last used and propensity to grill year round, by household income, March 2007
Figure 22: Grill last used and propensity to grill year round, by race/ethnicity, March 2007
Figure 23: Grill last used and propensity to grill year round, by number of people in household, March 2007
Uses for grill
Figure 24: Uses for grill, March 2007
Figure 25: Uses for grill, by age, March 2007
Figure 26: Uses for grill, by household income, March 2007
Figure 27: Uses for grill, by race/ethnicity, March 2007
Figure 28: Uses for grill, by presence of children under age 18 in household, March 2007
Foods grilled
Figure 29: Foods grilled, July 2005 and March 2007
Figure 30: Foods grilled, by household income, March 2007
THE CONSUMER – GRILLING ATTITUDES AND OPINIONS
Summary of consumer grilling attitudes and opinions
Reasons for not owning a grill
Attitudes/opinions regarding outdoor grilling
Figure 31: Attitudes/opinions regarding outdoor grilling, by gender, March 2007
Figure 32: Attitudes/opinions regarding outdoor grilling, by marital status, March 2007
Experimentation with grill foods
Figure 33: Experimentation with grill foods, March 2007
Figure 34: Experimentation with grill foods, by age, March 2007
Reasons for not owning a grill
Figure 35: Reasons for not owning a grill, March 2007
Figure 36: Reasons for not owning a grill, by region of residence, March 2007
FUTURE AND FORECAST
 FUTURE TRENDS
Use of cheaper 400 series stainless steel will result in shorter replacement cycles
Continued innovation ahead
Patterns of grill ownership and usage offer challenges and opportunity
Rising interest rates: income through re-financing slows
 MARKET FORECAST
Outdoor grills, barbecues, and accessories
Figure 37: Forecast of total U.S. sales of outdoor grills, barbecues, and accessories, at current and constant prices, 2006-11
Outdoor gas grills
Figure 38: Forecast of U.S. sales of outdoor gas grills, at current and constant prices, 2006-11
Barbecue accessories
Figure 39: Forecast of U.S. sales of barbecue accessories, at current and constant prices, 2006-11
Outdoor charcoal grills
Figure 40: Forecast of U.S. sales of outdoor charcoal grills, at current and constant prices, 2006-11
Outdoor electric grills
Figure 41: Forecast of U.S. sales of outdoor electric grills, at current and constant prices, 2006-11
Forecast factors
APPENDIX: TRADE ASSOCIATIONS