Wednesday, May 20, 2009

Petfood manufacturers combat price increases

Manufacturers and distributors are in a difficult position as customers mistakenly blame them for intentionally increasing petfood prices when in reality production costs are going up, according to an article from The Greeley Tribune.
“People kept attacking us, but our markup is the same. We’re not increasing our prices — it’s the companies we buy from,” said Josh Saunders, of
Poudre Pet & Feed Supply.
Several brands, including
Nutro and Hill’s, have turned to cutting reward programs, downsizing packages, levying fuel surcharges, and/or increasing prices in the final product order to balance the increased production costs.

1 comment:

  1. This is true of many industry sectors. Consumers will either get smart and educate themsleves or simply accept the outcome. As long as the suppliers are not increasing margins all will be ok. Ask consumers how much milk use to cost 10 years ago? everything around us has increased.