Other Pets

Trends in the Pet Food Industry

EuroMonitor has recently released a new edition of Pet Care Industry Information.

EuroMonitor has recently released a new edition of pet care industry data that provides latest insights on the dog and cat food industry performance in 2018 and key prospects through 2023. The major takeaways from the report are the trends in competition, the growth in cat ownership, continuing strong online sales growth and premiumization.

Pet food industry Competition

Pet food is a fairly concentrated industry. The top five companies account for more than 40% of global sales. This is striking and different from other Consumer Packaged Goods (CPG) industries. However, recently global manufacturers have been under significant pressure from new and local players.

Blue Buffalo has shown a continuous success story with a 138% growth in the last 5 years. This shows that pet owners are willing to spend more on their pet’s nutrition.

Rachel Ray has also achieved great success, and it was one of the fastest growing brands in 2017. Both these brands have been recent targets of M&A.

The developing markets also saw a rise in competition with local players stepping up their credentials by using their knowledge of local consumers and leveraging synergies with rising competition.

Cat Ownership

Recent developments in the industry have seen the rise of popularity of cats in markets all over, largely overtaking dogs’ popularity. The rise in popularity can be attributed to cats’ playful and relatively more independent nature, making them the preferred companions for fast paced, urbanised young owners.

This has also led to a rise in sales of cat treats and cat foods. The category has seen high levels of premiumisation with more nutrient rich, alternative protein and functional diets coming to the markets.

Global premium cat food sales are expected to grow by 4% in 2018 with absolute growth sales expected to reach USD 2 billion in the next 5 years. Mid-price cat food is also expected to post good growth.

Strong Online Sales Trajectory

Online retail sales has been gaining significant traction across developed and developing markets. Particularly in the United States where growth rates have been phenomenal. There has been a lot of action in the industry as Pet Smart acquired Chewy (a pure play retailer). Target and Walmart have pushed omni-channel sales and Amazon is stepping up as well.

Key motivators behind the shift to e-commerce can be attributed to price points, convenience and product selection.

Premiumisation

Premiumization has helped define and generate growth in the industry for many years, but the ways it has done so have been changing over time.

New, locally and sustainably sourced ingredients are playing an important role in adapting to consumers’ demands. The rise in healthy living lifestyles of the owners has percolated to the way they interact with their pets, especially the way they feed them.

Globally, premium dog and cat food products have experienced strong growth with 25% growth in value over the last five years and has an expected 4% CAGR for the next 5 years, according to Euromonitor International’s latest estimates.

The Changing Trends of Pet Toys

Before the digital and social media reigned over our collective consciousness, having pets and spending time with them were a personal concept. To many of us, may be, it still is, but for many more pet owners, things now need to be ‘shareable’.

Pet toys have not been able to escape the trend. Earlier, a wicker ball for your cat, tennis ball for your dog would have been perfect. Not so anymore.

As technology becomes more and more prominent in our lives, there are two main driving forces affecting the landscape of pet toys – photogenicity and interactivity.

PHOTOGENICITY

Is it instagrammable? The pet industry was not so fashionable a decade ago. But pet owners are getting increasingly conscious of how their pets appear in photos. They are concerned about how the dog’s collar compliments their outfits, but they are also being drawn to toys that appear good on camera.

This aspect of pet toys is becoming increasingly significant, as social media continues to grow and the younger generation starts to dominate the market.

‘Stark Raving Cat’, a US based company, offers a range of such toys. They offer catnip joints, which look like, well regular joints. Your cat posing with a catnip joint is very instagrammable!

INTERACTIVITY

Spending quality time with your pets can lead to a stronger connection with them, and that is beneficial for the health of everyone involved. Interactive toys make the pet’s playtime more fulfilling and augment the bond between the pet owner and the pet. Interactive toys are ones thatlead to a collaboration of playtime between both pet and pet owner.

Industry experts have pointed out towards a growing demand from pet owners for fun and innovative toys for their pets. As technology comes more into play in the industry, pet toys involving automation and efficiency without completely eliminating the human interaction are expected to dominate the space.

OTHER TRENDS

Outside of photgenicity and interactive features of pet toys, few other trends are driving demand.

  • Eco-Friendly

As global warming and climate change become a regular part of the human discourse, products that keep both environmental and user safety in mind are preferred. So conscious pet owners opt for toys that are made from materials that are sustainably produced and in ways that do not deplete the ecosystem. ‘Made from recycled materials’ or ‘reclaimed from waste products’ are tags that are now being preferred.

  • Affordable

Affordability remains a major driving force in buyer decision making. Affordable does not exactly mean cheap. It is subjective, as to each person, affordability could be at different price points. Premium products have their own niche; however, in general the average pet owner can spend only so much on a pet toy.

  • Durability

Durability and reliability continue to be a key concern for pet owners. They wish for toys that are not only entertaining and interactive but also that are physically durable, as they are more economical and generally more environment friendly.

So while technology driven factors are the leading trends in the industry, the traditional factors of affordability and durability continue to drive pet owners decision making. In the end, we are all here to make our pets happy & healthy and form strong bonds with our pawed companions.

Factors Driving Trends in the Pet Care Industry

Factors Driving Trends in the Pet Care Industry

The changing dynamics of the pet care industry and factors driving them.

How we chose to spend time with, interact with and care for our pets has seen a whirlwind of change in the recent past. The growth in the pet care industry has been strong and it is expected to expand stably in the future. Here are some factors that are shaping the trends in the industry.

  1. Humanization of Pets

Pets are now a part of the family and less & less people are buying pets for functional usages such as guard dogs. A poll conducted by Fortune states that more than 75% of the people surveyed consider ‘pets as a beloved member of the family’.

The closeness of the relationship means a demand for ‘human grade’ products for the pets. The industry has already obliged. The Casper dog mattresses are one such product.

  1. Sustainability

The people’s inclination towards products that promote and advocate transparency and sustainability is palpable. The new generation of pet owners are ready to pay more for eco-friendly, sustainable and / or naturally sourced products.

4 Legger shampoo for dogs understands this very well and is not shy of advertising all such labels – ‘All Natural’, ‘Biodegradable’, ‘Vegan’, ‘Sustainable Ingredients’ and many more.

  1. Technology

Technology has taken over andhas become an integral part of our lives. Now it is doing the same for our pets. A whole gamut of tech-products for pets is on offer – activity trackers, innovative tech-based pet toys and remote feeders. A number of pet care startups have cropped up as well that offer everything from stay for your pets, a microbiome examination for your pet, walking services and whatnot.

  1. Premiumisation

Premiumisation is about elevating how we treat our pets. It is about creating the bridge between luxury and mass market. Premium products for pets are now driving strategies of growth for industry players. Age and breed segmentations have been key to achieving this.

Consumers are seeking out products that are niche. These include products that offer enhanced healthcare and dietary practice. Natural, organic and minimally processed are tags that command value in the pet food category. The pet owners dietary preferences are also observed to convert into demand for pet products which are gluten-free, grass-fed and cage-free protein sources.

However, price continues to be an important factor. People wish to feed their pets and care for them with good-quality products, but they would prefer if they could do it without spending too much.

  1. E-Commerce vs Brick & Mortar

While e-commerce has certainly overtook brick & mortar in certain areas of pet care, offline stores continue to dominate in veterinary care and pet grooming.

As an effect of the humanization aspect there has been a tendency to seek out newer and better services. This has led to a demand for speciality pet services like training, pet sitting and pet friendly travel, which is being captured by e-commerce.

Therefore, offline stores have realized that it is important to create experiences for the pets as well as pet owners.

Choosing a Pet – Seven Simple Steps

Choosing a Pet – Seven Simple Steps

The decision to adopt a pet is very important and should be thought out and discussed with everyone in the family.  Bringing any type of pet into the home is a major responsibility, one that can more often than not last for decades.  And, it is more than just about what type of pet you should get, although that is an important part of the decision as well.  When considering the newest possible family addition, there are a few things to keep in mind.

Plan Carefully

More often than not, the purchase of a pet is somewhat of an impulse buy.  However, in order to be the best owner to your new pet that you can be, you need to sit down and weigh you the pros and cons of actually taking on your newest family member.  Do your research on both species and breed to make sure that the pet in question is a good fit for you.  Make sure you understand what type of temperament your pet will exhibit.  You will need to know the level of care and attention needed, as every species and/or breed is different in this respect.  Finally, the average lifespan will indicate how long you can expect to have your pet and to meet its needs.

Factor In Your Families Lifestyle

This is one area that many families completely forget about, or simply ignore.  Where you live, and how much you are away from home are two very big factors to consider in choosing a pet.  Say,for instance, you decide to get a large dog.  Do you have a sizable fenced in yard, so that your new companion will have room to run and exercise?  Or maybe you are away from home a lot due to school activities or work.  In this case, your better choice may be a cat, as they are lower maintenance than say perhaps a dog.  Also, another area overlooked is that of when you decide to take a vacation.  So you have a reliable source to call upon to perhaps babysit your pet?  Cats can be pretty self-sufficient as long as they have water and food, but dogs are more in need of looking after on a day to day basis.

Think about cost

Like most things in the world today, there is also a cost to having a pet—any type of pet.  You are responsible for keeping their shots up to date, for feeding them, or providing them a bed, and for taking them to the vet should they become sick.  With dogs, there may be extra expenses for grooming, and if you decide to have them spayed or neutered there will be an expense for the surgery.  Make sure you understand that when you take on a pet that you are taking on the additional expenses required to the proper care of that pet.

Consider shelter adoption

Many people, when considering where to get their pet at, go straight to either a pet store or a breeder.  However, they are missing out on a chance to get a great companion by failing to check in with their local shelter.  Ever since I can remember, I have heard that shelter dogs make the best companions.  Why?  Because they have been where they have been, and seen what they have seen, and felt what they felt.  And in all that, they realize, on some level, just how lucky they are to have you as an owner.  They will be forever grateful for you pulling them out of the shelter, and giving them the love and attention that they need and crave.  Thusly, making them a most thankful companion who will remain loyal and loving all the rest of their lives.

Delegate responsibilities

When discussing the possible addition of a pet to the household, make sure that each member of the family understands what their delegated responsibility will be in helping care for your new pet.  Each member should be relied upon to do their duty so that all the work of caring for the new addition does not fall completely on one persons shoulders.  Delegate one individual for feeding, one for walking, and rotate for such things as bathing and brushing.  Get the whole family involved, and make it a fun task for everyone.

Think about training

If you are not lucky enough to adopt a pet that is already housebroken, then you will need to consider setting time aside through your day to work at getting your new addition trained.  Many find the best way to go is with pee pads.  Not only are they more convenient for you the owner, they allow your pet to have access for going more often, and be a source to catch possible accidents.  If your pet has problems in the areas of behavior, you may want to consider a professional trainer to help them to learn right from wrong.

Final steps

Finally, you will need to name your new pet.  This can be fun, but then again stressful at times.  Will you go with something simple?  Something traditional?  Or maybe something totally off the wall?  Whatever you name you chose, imagine yourself yelling it hundreds of times throughout your life.  Do you find you still like the name?  Then you may have a winner.

With just a little forethought and some weighing of options, the addition of a new pet to the family doesn’t have to be overly stressful.  Keep in mind that when you take on the responsibility that it will be for the pets entire life, and that you need to be the best owner you can be to your new companion and you should do just fine.