A History of YETI and Its Impact on the Cooler Market

In 2006, brothers Roy and Ryan Seiders, avid outdoorsmen from Dripping Springs, Texas, founded YETI Coolers in their father’s garage. Raised in a family that valued outdoor adventures—hunting, fishing, and exploring, the Seiders were no strangers to entrepreneurial spirit. Their father, Roger Seiders, had transitioned from a high school industrial arts teacher to an entrepreneur by inventing a fishing rod sealant called Flex Coat, a business still thriving decades later. This would later set the stage for YETI’s inception.

YETI Coverage on AllOutdoor

The Seiders’ frustration with existing coolers sparked the idea for YETI. At the time, most coolers were flimsy, with handles that broke, latches that snapped, and lids that caved under pressure. These cheap, mass-produced ice chests, often retailing for $20-$30, failed to meet the demands of serious anglers like the Seiders, who needed durable gear to withstand the Texas heat and rugged outdoor conditions. Roy, who customized fishing boats, often faced the challenge of finding a cooler sturdy enough to serve as a casting platform without collapsing. When trade shows revealed no such product, the brothers decided to build their own.

Partnering with a factory in the Philippines, the Seiders developed the Tundra, a rotomolded, foam-insulated hard cooler designed for near-indestructibility and superior ice retention. Launched in 2008, the Tundra could keep ice solid for days, even in sweltering conditions, and was certified bear-resistant by the Interagency Grizzly Bear Committee. Priced at $250-$300—ten times the cost of competitors—the Tundra targeted niche markets like high-end hunters, fishermen, and outdoor enthusiasts while triggering many others because of the price.

Building a Brand

YETI’s early success hinged on its innovative marketing strategy, crafted with the help of advertising expert Walt Larsen. Larsen, who approached the Seiders at a trade show, helped position YETI as an aspirational brand. The tagline “Wildly Stronger, Keep Ice Longer” encapsulated the product’s promise, while brand ambassadors—professional hunters, fishermen, and outdoor guides—provided credibility through testimonials and product use. YETI’s focus on small, specialty retailers like tackle shops and sporting goods stores, rather than big-box chains like Walmart, allowed for higher margins and fostered enthusiastic advocacy from shop owners.

Social media amplified YETI’s reach. The hashtag #BuiltForTheWild, introduced years later, encouraged customers to share their outdoor adventures, generating over 322,000 posts by 2022. This user-generated content transformed YETI into a lifestyle brand, appealing not just to hardcore outdoorsmen but also to suburbanites, soccer moms, and college students. Limited-edition colors, like the Nordic Collection or Harvest Red, created urgency and exclusivity, further fueling demand.

By 2011, YETI’s revenue reached $29 million, soaring to $147 million by 2014 and $468.9 million by 2016. In 2012, private equity firm Cortec Group acquired a two-thirds stake for $67 million, enabling expansion into new product lines like the Hopper soft-sided coolers (2014) and Rambler drinkware (2014). YETI went public in 2018, with a market cap now exceeding $3.5 billion and annual revenue of $1.6 billion as of 2024.

Impact on the Cooler Market: The Better

YETI revolutionized the cooler market by elevating a mundane commodity into a premium, high-performance product. Before YETI, coolers were largely interchangeable, designed for low cost rather than durability or functionality. YETI’s Tundra introduced rotomolding—a manufacturing technique previously used in kayaks—to create coolers that could withstand extreme abuse while maintaining ice for days. Features like freezer-quality gaskets, bear-resistant certification, and padlock compatibility set a new standard for performance.

This innovation spurred competitors to up their game. Brands like Igloo (Yukon, 2011), Coleman (Esky, 2014), and Cabela’s introduced their own rotomolded coolers, while newer players like RTIC and Orca emerged, offering similar durability at lower prices. YETI’s success also expanded the market, attracting consumers who previously saw coolers as disposable. By 2016, YETI’s sales growth—$470 million compared to $148 million in 2015—demonstrated the untapped potential of premium outdoor gear.

YETI’s focus on storytelling and community-building created a loyal fanbase, with 95% of customers recommending the brand via word-of-mouth or social media. This loyalty, combined with YETI’s expansion into drinkware (now 58% of revenue), bags, and accessories, turned it into a lifestyle brand synonymous with rugged authenticity. The Rambler tumbler, praised as “the best mug ever made” by Outside magazine, exemplifies YETI’s ability to innovate beyond coolers.

Impact on the Cooler Market: The Worse

Despite its innovations, YETI’s influence has drawbacks. The brand’s high price points—coolers ranging from $250 to $1,300 and tumblers at $35—have made premium coolers a status symbol, potentially alienating budget-conscious consumers. Critics argue that YETI’s marketing, which emphasizes aspirational lifestyles, encourages conspicuous consumption, with some buyers purchasing YETI products more for social clout than practical need. As YETI CEO Matt Reintjes noted, only a small fraction of users push the products to their limits, suggesting many buy into the brand’s image rather than its utility.

YETI’s success also invited copycats, leading to legal battles. The company has sued competitors like RTIC, alleging intentional design imitation, while RTIC countersued, claiming YETI was stifling competition. These disputes highlight the tension between innovation and market saturation, as competitors offer near-identical products at half the price, potentially diluting YETI’s brand value.

Moreover, YETI’s durability poses a business challenge: products built to last reduce repeat purchases. While this durability earns customer trust, it limits revenue from replacements, pushing YETI to diversify into drinkware and accessories. This shift, while financially successful, risks diluting the brand’s core identity as a cooler company.

A Lasting Legacy?

YETI’s impact on the cooler market is undeniable. By prioritizing quality, durability, and storytelling, the Seiders brothers transformed a low-status commodity into a coveted lifestyle product, forcing competitors to innovate and expanding the market to new demographics. However, the brand’s high prices, legal battles, and reliance on aspirational marketing have sparked criticism and challenges.

As YETI continues to grow—opening flagship stores like its 6,000-square-foot New York City location in 2024 and donating over 25,000 products to healthcare workers during the pandemic—it remains a benchmark for outdoor gear. Whether for better or worse, YETI has redefined coolers, proving that even the most utilitarian products can inspire passion and loyalty when built with purpose.

Patrik Orcutt

Patrik is a freelance photographer who has been lucky enough to see a lot of the world and document his travels with his camera. He has worked for the U.S. government as a Public Affairs Officer documenting Multi-National Special Forces Training around the World. He is currently working on becoming a Blackhawk Pilot for the Army while being an avid gear junky and outdoor enthusiast.