Are there signs of maturity in the pellet industry? Has the wild child of the hearth industry finally grown up, settled down and become stable and (somewhat) predictable? 

The answers to those questions are Yes, No and Maybe; in short, no one really knows, but there are a number of hopeful signs.

In a year when the price of a barrel of oil dropped below $50, and heating oil in the Northeast (the hotbed of pellet stove and fuel sales) is at $2.40 a gallon, pellet stoves are still selling well. That’s contrary to what we learned over the past 31 years, or since the dawn of the pellet industry.

It has been common knowledge, and belief, that the sale of pellet stoves is inextricably tied to the price of fossil fuels, and in particular to the price of heating oil in the Northeast. When that cost went up, say by 25 cents a gallon, lines would form in specialty hearth shops. When it went down, sales would shrivel like a grape on the vine after the first frost. 

Apparently, that’s not the case this year, at least for some dealers with whom we spoke. 

Also of note is that consumers appear to be taking the longer view, and purchasing pellet stoves and inserts because they’re perceived as an intelligent option, regardless of the low price of fossil fuels. They’re apparently not thinking short term, and putting off a purchase for another year.

That’s mature thinking.

Another healthy sign is that both retailers and consumers have been purchasing pellets earlier this year, according to reports. That may be the single most important factor in providing a steady, reliable stream of pellets to consumers. When retailers and consumers wait until the last minute to purchase, shortages occur.

That’s a basic fact of doing business, and it applies to about every industry, including the hearth, patio furnishings, and barbecue industries. 

Retailers Sell What They Want to Sell

High up in the beautiful state of Vermont, Green Mountain Fireplaces (a Daughter & Pop store) offers consumers the choice of products from approximately 16 hearth manufacturers – all first-class companies, many of which have had floor space for years and years; the company was established in 1990.

Now, along comes Stûv, a Belgian company presently establishing a foothold in North America. In just an incredibly short time, according to Daughter Sarah Kelley, Stûv became Green Mountain’s number one seller. 

Is that because of your love of the product and its look, we asked? “Yes,” said Kelley, “I think Stûv is going to turn into a major player in the Vermont field of woodburning. Now that Stûv is coming out with gas products, I think they will become as big in gas.” 

In Green Mountain’s first 15 months with Stûv, they created nine displays and sold 29 units, and Stûv is not an inexpensive product. “We compare it to a masonry fireplace,” says Kelley, “that costs $30,000 to $40,000. If Stûv installs with a stone veneer, it’s $15,000 to $20,000. That’s about half of the masonry cost.” Multiplied by 29, that’s a nice chunk of business.