Differentiation

Yeti differentiates itself in a couple of ways.  They are only sold by Yeti registered retailers, which means they are not a mass market product.  Business owners and large companies have to apply to be a Yeti distributor.  This keeps their products from overflowing in the market and thus not having the higher appeal than if you had to seek them out.  Yeti had a great market strategy in only offering their products in outdoors/sporting stores in the beginning.  Any man heading hunting, fishing, or tailgating would always need a cooler.  And then offering the many different sizes and even bag coolers was genius.

They have also begun differentiating themselves with the accessories to the coolers.  The water proof pouches that can go in the coolers have added picnicking to the list of activities.  They offer smaller size bags that women find fashionable and easy to use.  And of course, why not have an attachment that has a bottle opener for beer so any tailgating experience is made easier. 

Yeti is still winning the market right now because of their ability to differentiate their products while still being the most expensive.  I am curious to see what they will offer next!