Get more info on this report!U.S. Pet Market Outlook 2010-2011: Tapping into Post-Recession P...
humane, etc.) appeals and cause marketing; the shift toward non-traditional mediaincluding social networking; and recent a...
Figure 1-1: “Consider My Pet(s) Part of the Family,” 2009 (percent of Pet,     Dog/Cat, Dog and Cat Owners) Product Premiu...
Pet Services Industry “Corporatization” ContinuesVCA Antech, PetSmart/Banfield and Petco Continue as Leading MarketConsoli...
Illustration 2-6: Humane Society’s Humane Choice Organic Pet FoodTable 2-5: Percent of Pet Owners Who Purchased Natural/Or...
At-Home Pet Services Predicted to SoarPet SittingMobile GroomingIllustration 2-13: Petco Mobile Grooming VanMobile Veterin...
Table 2-11: Selected Media & Marketing Psychographics: Adults Overall vs. Pet      Owners by Type of Pet, 2009 (percent an...
Figure 3-3: Share of U.S. Pet Product Sales: Walmart vs. PetSmart/Petco and     Other, 2005 vs. 2009 (percent)     Table 3...
Table 4-2: Change in Pet Market Consumer Base: Household Income $60K orMore vs. Household Income Under $60K, 2005 vs. 2009...
Table 4-9: Change in Pet Market Consumer Base: White Non- Hispanics vs.       Minorities, 2005 vs. 2009 (number and percen...
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U.S. Pet Market Outlook 2010-2011: Tapping into Post-Recession Pet Parent Spending

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U.S. Pet Market Outlook 2010-2011: Tapping into Post-Recession Pet Parent Spending

  1. 1.    Get more info on this report!U.S. Pet Market Outlook 2010-2011: Tapping into Post-Recession Pet ParentSpendingMarch 1, 2010As the U.S. economy moves out of recession and into recovery, the purse strings ofmany pet parents will loosen, but shoppers will continue to demand greater value in thepet products and services they purchase as well as from the channels they shop. U.S.Pet Market Outlook 2010-2011: Tapping into Post-Recession Pet Parent Spendingprovides essential insights into the U.S. pet market overall as well as each of its fourcore categories: veterinary services, pet food, non-food pet supplies, and non-medicalpet services (grooming, boarding, training, etc.). Benefiting from many current trendsand “future factors,” the market will rise from $53 billion in 2009 to over $70 billion in2014, the report forecasts, with strong demand for products and services that bothenhance pet health and pamper lifting many boats as pent-up pet parent demandbegins to kick in during 2010.Continuing the market tracking and forecasting of the previous edition of PackagedFacts’ annual report (see U.S. Pet Market Outlook 2009-2010: Surviving and Thriving inChallenging Economic Times, the 2010-2011 edition projects sales, market growthdrivers, and competitive and marketing opportunities. In a new focus discussion, itdetails retail channel trends including the increasingly aggressive competitivedifferentiation between pet specialty and mass-market suppliers and retailers, cross-channel shopping vs. shopper loyalty, and the growing role of non-traditional channelsincluding Internet. The report also includes expanded discussions of the market’scompetitive structure and of new product and media trends, with analysis andillustrations of numerous products and advertising campaigns.Additional chapters detail the market’s ongoing strong prospects, including ahuman/animal bond that is stronger than ever as a result of the recession; analysis ofthe competitive situation including opportunities for cross-pollination across product andservice segments; and consumer demographic and mindset trends representingchanges, challenges and calls to action in meeting the needs of today’s moredemanding pet parent population. Other trends examined include what the report calls“a broad-base societal shift toward greater acceptance of ‘pets as family’,” an increasedfocus on the human/animal health connection; “bang for the buck” value appealsbalancing price, function and indulgence; “ethical” (organic/natural, sustainable,
  2. 2. humane, etc.) appeals and cause marketing; the shift toward non-traditional mediaincluding social networking; and recent and possible mergers, acquisitions and spin-offs.Table of ContentsChapter 1: Market Performance Introduction Scope of Report Report Methodology Market Performance Impact of Economic Recession and Recovery Table 1-1: U.S. Pet Market Retail Sales by Category: 2009- 2011 (in billions of dollars and percent change over previous year) Signs of Economic Recovery Market Climate Favorable to Mass Retailers, Brands Table 1-2: IRI-Tracked Sales of Pet Products: Total and by Food and Non-Food Category and Segment, 2009 vs. 2008 (in millions of dollars, units and pounds) Strong Market Underpinnings Bode Well for Rebound Table 1-3: Level of Pet Owner Agreement with Statement: “I Am Spending Less on Pet Products Because of the Economy,” February 2010 Table 1-4: Percent of Pet Owners Who Anticipate Spending Less on Pet Food/Supplies or Pet Services in Next 12 Months, February 2009 Table 1-5: Pet Owner Patterns: By Change in Financial Situation Compared With 12 Months Ago, 2009 (percent of U.S. pet-owning households) Table 1-6: Pet Owner Population: By Change in Financial Situation Compared With 12 Months Ago, 2009 (number of U.S. pet-owning households in millions) Table 1-7: Pet Owner Indexes: By Change in Financial Situation Compared With 12 Months Ago, 2009 (U.S. petowning households) Human/Animal Bond Strengthens During Recession
  3. 3. Figure 1-1: “Consider My Pet(s) Part of the Family,” 2009 (percent of Pet, Dog/Cat, Dog and Cat Owners) Product Premiumization and Premium Demographics Table 1-8: Change in Pet Market Consumer Base by Purchase of Selected Premium Pet Products: Flea/Tick Care, Treats, Heartworm Control Products, Scoopable Litter, 2005 vs. 2009 (number and percent of U.S. dog- or cat-owning households) Pet Insurance: The Right Place at the Right Time Impact of Pet Aging, Overweight Table 1-9: Percentage and Number of Overweight and Obese Dogs and Cats: 2007 vs. 2008 Pet Market Momentum Table 1-10: Number of New Pet Product Introductions: Reports and SKUs, 2005- 2009 (percent) Future Factors A Societal Shift Illustration 1-1: Electrolux Appliance TV Commercial—”Pet Birthday Party” Illustration 1-2: Kenmore Washer TV Commercial with Dog Illustration 1-3: Screen Shot of Glenn Close and Pet from Hit TV Series Damages Additional Human Company Cross-Over Human-Animal Correlation an Untapped Goldmine Market Forecast: A $72 Billion+ Market by 2014 Table 1-11: Projected U.S. Retail Sales of Pet Products and Services, 2009-2014 (in millions of dollars) Table 1-12: U.S. Pet Market Compound Annual Growth Rates by Category: 2005-2009 vs. 2009-2014 (percent) Table 1-13: Percentage Share of U.S. Pet Market Retail Sales by Category: 2005, 2009 and 2014Chapter 2: Marketing Trends Competitive Overview Overview
  4. 4. Pet Services Industry “Corporatization” ContinuesVCA Antech, PetSmart/Banfield and Petco Continue as Leading MarketConsolidatorsFigure 2-1: PetSmart and Petco: Share of Pet Grooming, Boarding and TrainingSales: 2000, 2004, 2008 and 2012 (percent)The Independent Pet Specialty Services PushFranchising Altering Pet Services TerrainPet Products Market Structure and Competitive ShiftsM&A Activity Continues During RecessionTable 2-1: Timeline of U.S. Pet Product Market Mergers, Acquisitions and Sales:2001-2009Marketing TrendsPet Parent Priorities Post-RecessionFigure 2-2: Important Factors in Product Selection: Percentage of ShoppersRating Factor as “Important” or “Very Important”Illustration 2-1: TV Spot for Multiple Purina Cat Food LinesIllustration 2-2: Internet Banners for Petco’s 2010 President’s Day SaleWellness Is Primary Theme in New Product IntroductionsTable 2-2: Top 25 Marketing Claims by Number of New Pet Product Reports:2005, 2007 and 2009 (number and percentage of all product launches)Wellness Plus “Human-Style”Table 2-3: Selected Health & Medical Psychographics: Adults Overall vs. PetOwners by Type of Pet, 2009 (percent and index)Illustration 2-3: TV Spot for Purina Fancy Feast AppetizersIllustration 2-4: Print Ad for Mars Cesar Sunrise “Breakfast Food”The Senior, Weight Management, and Special Needs ThrustTable 2-4: U.S. Retail Sales of Senior, Weight Management, and Special NeedsPet Products: 2004, 2008 and 2013 (in millions of dollars)Illustration 2-5: Print Ad for Kong Senior Toys and TreatsThe Natural and Organic Thrust
  5. 5. Illustration 2-6: Humane Society’s Humane Choice Organic Pet FoodTable 2-5: Percent of Pet Owners Who Purchased Natural/Organic Pet Productsin Last 3 Months: Dog Owners vs. Cat Owners, February 2009 (percent of U.S.dog or cat owners)Table 2-6: Percent of Pet Owners Who Would Buy More Natural/Organic PetProducts If They Were More Available or More Affordable, 2009 (percent of U.S.dog or cat owners)Specialty and Functional Food FormulasFigure 2-3: Percent of Pet Owners Who Purchased Specialty Formula Dog or CatFood in Last 3 Months: Dog Owners vs. Cat Owners, February 2009 (U.S. dog orcat owners)Illustration 2-7: Iams Premium Protection Functional Pet Food LineIllustration 2-8: Pedigree+ Functional Pet Food LinePet Supplements and Nutraceutical TreatsIllustration 2-9: Dogswell Shape Up Brand Extension from Treats to FoodIllustration 2-10: Print Ad for Nestlé Purina’ FortiFlora Probiotic SupplementIllustration 2-11: Print Ad for Merrick’s Elements Vision, Joints & BreathSupplementPet MedicationsFocus on Product SafetyCelebrity KickCause-Related MarketingIllustration 2-12: TV Spot for PetSmart Charities “Second Chance for LoveAdoption” Valentine’s Day Weekend EventGood for the Planet, Good PR: Pet Marketers Embracing Sustainable InitiativesTable 2-7: Selected “Green” Shopping Psychographics: Adults Overall vs. PetOwners by Type of Pet, 2009 (percent and index)Multiservice = Convenience = Value in Pet ServicesFigure 2-4: Types of Services Pet Care Facilities Have Added in Past 5 Years,2009 (percent)Luxury Services Expected to Rebound
  6. 6. At-Home Pet Services Predicted to SoarPet SittingMobile GroomingIllustration 2-13: Petco Mobile Grooming VanMobile Veterinary CareVeterinary SpecializationGeriatric CareSpecialized Care for Overweight PetsHospice CareCanine RehabilitationHolistic/Alternative CareBereavement ServicesMedia TrendsPet Market Advertising ExpendituresTable 2-8: Media Breakout of U.S. Advertising Expenditures on Pet Products,2004-2008 (percent)Human/Animal Bond More Important Than EverIllustration 2-14: TV Spot for Multiple Purina Cat Food LinesValue-Focused AdvertisingIllustration 2-15: TV Spot for Walmart Pet BrandsIllustration 2-16: TV Spot for PetSmart’s 20% Off Sale and BrandsNon-Traditional Media and Internet AdvertisingTable 2-9a: Level of Pet Owner Agreement with Statement: “I Use the Internet toHelp Find and Choose Pet Products,” February 2010 (percent)Table 2-9b: Level of Pet Owner Agreement with Statement: “I Buy Pet ProductsOnline,” February 2010 (percent)Table 2-10: Selected Internet-Related Psychographics: Adults Overall vs. PetOwners by Type of Pet, 2009 (percent and index)
  7. 7. Table 2-11: Selected Media & Marketing Psychographics: Adults Overall vs. Pet Owners by Type of Pet, 2009 (percent and index) Social Networking Becoming a Pet Market Craze Pet Retailers Also Turning to Blogs, Social Networking, Mobile CommerceChapter 3: Retail Channel Trends Shopper Deal-Seeking, Retailer Promotions in Full Force Figure 3-1: Deal-Seeking Behavior: Percentage of Shoppers Participating in Activity, 2008 vs. 2009 Table 3-1: Level of Pet Owner Agreement with Statement: “I Shop for Pet Products at a Variety of Stores to Find the Best Prices, Special Offers and Sales,” February 2010 (number and percent of pet owners) Economic Concerns Intensify Cross-Channel Competition Table 3-2: Pet Product Purchasing Patterns Among Dog or Cat Owners by Retail Channel: By Change in Financial Situation Compared With 12 Months Ago, 2009 (percent of U.S. dog- or cat-owning households) Table 3-3: Pet Product Purchasing Indexes Among Dog or Cat Owners by Retail Channel: By Change in Financial Situation Compared With 12 Months Ago, 2009 (U.S. dog- or catowning households) Pet Superstores vs. Discount Stores Independents and Supermarkets Continue to Slide Table 3-4: Pet Product Purchasing Patterns Among Dog or Cat Owners: By Retail Channel, 2007-2009 (percent and millions of number of U.S. dog- or cat- owning households) Channel Loyalty Trends Table 3-5: Retail Channel Loyalty in Pet Product Purchasing Among Dog or Cat Owners, 2007-2009 (percent and in millions of number of U.S. dog- or cat- owning households) Table 3-6: Overview of Retail Channel Loyalty in Pet Product Purchasing Among Dog or Cat Owners, 2004 vs. 2009 (percent and in millions of number of U.S. dog- or cat-owning households) Figure 3-2: Percent of Pet Product Customers Who Shop Across Channels: By Major Retail Sector, 2004 vs. 2009 (U.S. dog- or cat-owning households) Walmart Strengthens Pet Market Push
  8. 8. Figure 3-3: Share of U.S. Pet Product Sales: Walmart vs. PetSmart/Petco and Other, 2005 vs. 2009 (percent) Table 3-7a: Level of Pet Owner Agreement with Statement: “When I Want to Buy Specialty Brand Pet Products, I Usually Shop in Pet Superstores or Pet Stores”, February 2010 (percent of pet owners) Table 3-7b: Level of Pet Owner Agreement with Statement: “I Usually Shop for Pet Products in Pet Superstores or Pet Stores Because They Carry the Specialty Brands I Like,” February 2010 (percent of pet owners) Down Economy Gives Store Brands a Boost Table 3-8: IRI-Tracked Private-Label Sales of Pet Products: Total and by Food and Non-Food Category and Segment, 2009 vs. 2008 (in millions of dollars) Table 3-9: Private-Label Share of IRI-Tracked Sales of Pet Products: Total and by Food and Non-Food Category and Segment, 2009 vs. 2008 (percent) PetSmart and Petco Continue to Shape Pet Market Landscape Table 3-10: PetSmart and Petco Sales and Number of Stores: 2001-2009 (cumulative, in units and millions of dollars) Martha Stewart Line to Debut as PetSmart Exclusive in Mid 2010 Petco Launches “Unleashed” Store Format, Staff Training Program, and Consumer Educational Campaign Illustration 3-1: Petco Pet Food Label Evaluation Tips Retailer Exclusivity Illustration 3-2: Humane Choice Organic Pet Food Retail Display Independent Pet Stores: An Evolving Breed Non-Traditional Channels, Internet Going Strong Illustration 3-3: Orvis Dog Bed Selector Website BannerChapter 4: Pet Ownership Trends Number of Dog and Cat Households Trending Upward Figure 4-1: Household Penetration Rates for Selected Dog- or Cat-Owning Classifications: 2003 vs. 2009 (percent of U.S. dog- or cat-owning households) Table 4-1: Change in Pet Market Consumer Base: Number of Dog or Cat Owners, 2005 vs. 2009 (U.S. dog- or cat-owning households) Higher-Income Households Playing a Growing Role
  9. 9. Table 4-2: Change in Pet Market Consumer Base: Household Income $60K orMore vs. Household Income Under $60K, 2005 vs. 2009 (U.S. dog- or cat-owning households)Figure 4-2: Share of Total U.S. Pet Market Expenditures: $70K+ vs. Under $70KIncome Households, 1998-2008 (percent)Figure 4-3: $70K+ Household Share of U.S. Pet Market Expenditures: ByCategory, 1998 vs. 2008 (percent)Figure 4-4: Average Household Spending on Pet Products and Services by$70K+ Households, 1998 vs. 2008 (in dollars) 17 Million “Premium Pet”HouseholdsThe Boomer FactorFigure 4-5: Dog or Cat Ownership Rates by Age Bracket: 2003 vs. 2009 (percentof U.S. households)Table 4-3a: Household Penetration Rates for Selected Pet- OwningClassifications by Generational Cohort: Gen Y Adults vs. Gen X Adults, 2009(percent and number)Table 4-3b: Household Penetration Rates for Selected Pet- OwningClassifications by Generational Cohort: Boomers vs. Seniors, 2009 (percent andnumber)Table 4-4: Indexes for Selected Pet-Owning Classifications: By GenerationalCohort, 2009 (U.S. households)Table 4-5: Number and Share of Total U.S. Population Growth for Selected AgeBrackets: 2010, 2015 and 2020 (in thousands of number and percent)Role of Gen Ys and Gen XersNo-Kid Pet Household CloutTable 4-6: Change in Pet Market Consumer Base: Households with Kids vs.Households Without Kids, 2005 vs. 2009 (U.S. dog- or cat-owning households)Table 4-7: Childless Dog or Cat Owners by Household Composition: Dog/CatOwnership Rates and Share of Total Dog/Cat Owners: 2003, 2006 and 2009(percent)Pet Ownership Trends by Minority GroupTable 4-8: Dog and Cat Ownership Trends by Race/Ethnicity, 2005-2009(percent and number of U.S. dog- or cat-owning households)
  10. 10. Table 4-9: Change in Pet Market Consumer Base: White Non- Hispanics vs. Minorities, 2005 vs. 2009 (number and percent of U.S. dog- or cat-owning households)Available immediately for Online Download athttp://www.marketresearch.com/product/display.asp?productid= 2553713   US: 800.298.5699UK +44.207.256.3920Intl: +1.240.747.3093Fax: 240.747.3004 

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