Increasing per capita disposable income will bolster demand for BBQ equipment.
New York, NY (PRWEB) September 20, 2014
The BBQ and Outdoor Cooking Stores industry has been rekindled over the past five years by rising new household formation and growth in per capita disposable income, which has revived discretionary purchases on outdoor cooking equipment such as barbecues (BBQs), smokers and related accessories.
“As the economy improves, consumers are more likely to purchase new equipment rather than use the equipment they already own or purchase secondhand items,” according to IBISWorld Industry Analyst Sally Lerman. Equipment that the industry sells is susceptible to wear and tear, so consumers are expected to finally make the industry purchases they delayed as the recovery takes hold. Consequently, IBISWorld estimates that industry revenue will increase at an average annual rate of 3.3% from 2009 to 2014. As meat consumption and per capita disposable income continue to increase in the near term, industry revenue is anticipated to grow 2.0% in 2014 to $4.8 billion.
Boosting the scope of the industry, more nonindustry retailers have added outdoor cooking equipment to their sales floors. As a result, the number of stores in the industry is expected to rise at an annual average rate of 0.9% to 11,638 locations in the five years to 2014. “This growth in the number of brick-and-mortar sales points, combined with increasing online availability, has increased competition in the industry,” says Lerman. Heightened competition, especially among low demand during the recession, forced stores to lower prices, which eroded industry profit.
During the next five years, increasing per capita disposable income is expected to bolster demand for BBQ and outdoor cooking equipment. Likewise, the increasing number of retirees is also projected to boost demand for such products. This share of the population is expanding rapidly as baby boomers turn 65, and these consumers have more money and time to spend on outdoor cooking equipment. As people move into their own homes, they are more likely to buy new outdoor cooking equipment for themselves instead of sharing with other households.
For more information, visit IBISWorld’s BBQ and Outdoor Cooking Stores in the US industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld industry Report Key Topics
This industry retails barbecue grills and related accessories. A limited number of retailers only sell barbeque equipment and, as a result, home improvement stores, department stores and supercenters sell the majority of industry goods. Stores that sell equipment exclusively online are excluded from the industry.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.