Weber Grill accessories go on sale at a home improvement store on July 23, 2021 in Palatine Island.
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Forget about a spatula or tweezers – the most necessary accessory for your next barbecue grill could be your phone.
Some of the largest manufacturers of grills and outdoor kitchen appliances, such as Weber and Traeger, are making large investments in technology, with an emphasis on connected devices that try to make the grill easier and more enjoyable for everyone’s cooks. skill levels.
The digital drive aims to take advantage of multiple trend lines hitting the grid industry at the same time.
Barbecue and grilling at home caused a massive surge in the midst of the pandemic, as more people stayed home and cooked instead of eating out. According to NPD, they were sold between March and May in the United States worth more than $ 1.8 billion, smokers, grill accessories, fuel and stoves and accessories.
Scratching more is leading some consumers to look beyond basic charcoal or propane grills to more advanced products such as smokers, pizza ovens and ironing boards. There has also been an influx of new grills into the home, as people have wanted to spend more time outside or have moved away from cities where space for the grill may have been limited.
Subsequently, companies such as Weber and Traeger have tried to drive grid innovations to reach the top and bottom of the market.
One of Weber’s most recent technological developments has been the Weber Connect Grilling Hub, which was selected as the best connected household product at the Consumer Electronics Show 2020. The wireless hub has temperature probes that introduce you to everything you cook. on the grill, connecting this data to a phone app that provides step-by-step instructions and notifications of things like when to turn the meat or when it’s done.
“Think it’s Waze to navigate your grilled cook,” Weber CEO Chris Scherzinger told CNBC’s “Squawk on the Street” earlier this month. “It’s a cloud-based technology platform with cooking algorithms based on Weber’s 70 years of grill experience – it goes to your phone, guides your grill cook, controls the grill, and gets perfect results every time. It basically transforms, kind of a game-changing grid experience. “
Scherzinger also hinted at other ways to integrate technology into Weber’s grids, such as controlling the propane tank. A new grid line that is expected to be unveiled later this year will actively measure how much fuel is left in the tank, sending an alert when it is going down and you can even order a refill automatically.
“You can have a whole new business model for Weber that leads subscriptions, consumer engagement between grilled experiences, all sorts of new ways to take that category,” he said.
The Weber Connect hub sells for $ 130 and is also included in the company’s smart grids line, which ranges from $ 849 to $ 1,349. Weber said he plans to add Connect features to his charcoal grills and smokers in the future.
The introduction of new grid tools will also help Weber further diversify its revenue streams. The company reported revenue of $ 963.3 million during the six months ended March 31, up 62% year-over-year. However, sales of its grills, which range from $ 40 to more than $ 1,000 and include gas, charcoal, electricity, pellets and smokers, accounted for 74% of its revenue in 2020.
Acquisitions that fuel the expansion of technology
Weber’s technology drive increased with its acquisition in January 2021 of the smart device and technology company in June, after having previously led the start-up’s C-Series funding round and collaborate on products. Weber had also acquired iGrill in 2016, a company that manufactured connected thermometers.
“We believe that the connected capabilities that our technology-enabled products offer will enable a closer relationship with our consumers and open up a new generation of enthusiasts who will join our global Weber loyal community,” the company in its S-1 presentation.
While Traeger cites the “connection to fire two million years ago” as inspiration for the creation of its wood pellet grid, the company is heavily in favor of new technology.
“Our investment in innovation around digital experience and content is as great, if not greater, than our investment in innovation in the enduring market,” said Jeremy Andrus, CEO of Traeger. “The grill is the vehicle, but the real difference is the digital experience: the digital experience is what inspires someone to cook.”
Traeger has a proprietary technology called WiFIRE that allows grillers to control and control their grill through the company’s app, an Apple Watch or with voice control via Amazon Alexa or Google Home. You can also choose recipes through the Traeger app and use the “Do It Now” feature, which will run the recipe cooking cycle on the connected grill.
“This semi-automated cooking experience eliminates the uncertainty of making a new dish and delights Traeger owners,” the company said in its S-1 presentation.
Going deeper into its audience has been key for Traeger, as Andrus said the data suggests that 80% of Traeger owners have recommended the brand on average to six more people. In 2020, Traeger had revenues of $ 545.8 million, compared to $ 363.3 million in 2019. During the first three months of 2021, it had revenues of $ 235.6 million, 107% more than the previous year. In total, the company says it sold 2 million grills in the U.S. between 2016 and 2020.
Traeger has also made acquisitions to boost its technology. In July, the company acquired Apption Labs for $ 100 million, which designs and manufactures hardware and software for small kitchen appliances, such as the MEATER wireless smart thermometer, which allows users to control the temperature of the entire kitchen. that cook and guide them through cooking cycle using an app.
“Cooking is a hobby that the more you create, the more positive feedback you get, the more you will be motivated to cook more,” Andrus said. “We’ve always had cookbooks, but we’re doing it digitally.”