Retail Observer

RETAILOBSERVER.COM JUNE 2020 48 L et's play a game. Solve this puzzle: CATEGORY: WHAT ARE YOU DOING? ANSWER: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _. To help you solve the puzzle, you automatically get: R, S, T, L, N, E. _ _ R _ _ N _ _ R _ _ _ _ _ E. Next, I'll give you the three most popular consonants and a vowel: C, M, D, A. _ _ R _ _ N _ _ R _ M _ _ M E. Got it? Not yet? I'll reveal the answer at the end of this article. Clue: it's one of the most popular activities in the last 90 days. Since mid-March, most of the U.S. has been under national emergency orders to stay home, go out only if we must, and social-distance during essential supply runs. With very few exceptions, we've spent a disproportionate amount of time with our families, and it's had a significant impact on our lives. It has meant home-cooked meals almost exclusively. Streaming movies and games. Home schooling. Family game nights. Daily exercise and walks. Doing home projects we've been putting off. The list goes on. Toilet paper and disinfectant wipes, soap, foods with a long shelf life, and meats have flown off the shelves. Liquor store purchases are up 55%. In March, freezers were sold out in days, and replenishment is just starting. Household appliance usage has gone up and will surely fuel a need for replacement. Outdoor living products have been impacted. Consumables for outdoor cooking have skyrocketed: fuels like wood pellets are up 132% as reported by a leading grill manufacturer. Spices and rubs are way up. April reported a 94% increase of grill usage month-over-month. The Hearth and Patio Association's surveys show the normally most popular holidays to grill are: Fourth of July (76%), Labor and Memorial Days (62%), Super Bowl (28%) and Thanksgiving (14%). What happened on Easter 2020? One manufacturer reported that on Easter Sunday (4/13/20) they saw the highest-recorded "cooks" of all time. How do they know? Because their products are Wi-Fi enabled and they extrapolated the data based on app usage. One vendor's online survey showed that four out of 10 purchases were accelerated due to the crisis. In March and April, manufacturers I spoke with reported increased overall sales of grills, accessories and consumables from 20% to 80% over prior weeks. What do these historical usage figures mean for the future of selling in the Outdoor category? With usage rising, of course, it means more product failures. Just like appliances, grills are purchased about 60% of the time under duress (when something goes wrong). With 85% of the U.S. population owning at least one grill, future sales will continue to rise once we've fully re-opened the economy and gotten back to the new norm. In addition to the replacement business, consumers' desire to have more than one grill continues to accelerate. The pellet grill market is on fire (pun intended). While Traeger definitely leads the market, they're followed by Louisiana Grills and brands like Broil King, Weber, and others that have launched new pellet platforms in the last year. Cooking and smoking on other fuel types (charcoal or lump charcoal), inclusive of brands like Big Green Egg, Kamado Joe, Oklahoma Joe's and Masterbuilt, is also in high demand. The other major learning from the last 90 days has been the selling process. Online grill sales have had reported increases of 40% to 146%. Having a simple product catalog and pricing is NOT enough. The consumer path to purchase already included pre-shopping 90% of the time on the Internet. Now the experience needs to include product reviews, a shopping cart, and chat and virtual shopping capabilities. Assembling products and offering free same-day pickup or curbside delivery has helped lots of retailers stay successful. Highlighting the fact that the products have been disinfected to ease concerns of contagion has been important. I believe the future is bright for outdoor living products in general, and specifically for grills, fire pits and other products that add to the personalized ambience of the home. Some of you may have missed the selling opportunities of the last 90 days, but there's still time to be part of this category. Make sure you're market relevant using these ideas: • Stock multiple brands; I suggest four at a minimum. • Cover every fuel type: gas, charcoal, pellet. • Dedicated display space should be a minimum of 800 sq. ft. • Live and/or virtually recorded demonstrations and cooking classes can drive engagement and interest. • Have at least one passionate outdoor grilling Sales Associate at each location. • Leverage your community involvement. • Lean on your Group, your manufacturer partners and your peers. Back to Wheel of Fortune, your spin at the big wheel in Outdoor can still be a winner. What's the answer to, "What are you doing?" Isn't it obvious? It's WORKING FROM HOME. "WHAT ARE YOU DOING?" (QUARANTINE EDITION) John Laing Outdoor Trends John Laing—Director of Business Development, Nationwide Marketing Group RO

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