Natural pet products to exceed US$7 billion in 2014

Natural pet products are expected to exceed US$7 billion in 2014, and premiumization has been a primary driving force behind it, according to a Packaged Facts report.
The report, "Natural, Organic, and Eco-friendly Pet Products in the US, 5th Edition," says that natural petfood will account for US$6.6 billion in sales by the end of 2014, and natural pet care products will make up the remainder. Premium foods are doing better right now than other petfood segments, boosting the natural products category. Margins on superpremium petfoods can reach 40%, compared with 30% for premium brands and 20% or less for standard brands. As more of these higher-end foods take on the "natural" claim, sales will continue to rise for that segment, according to Packaged Facts.
On the other side of the coin, offering just a natural claim isn't enough for consumers anymore, and consumers are willing to spend more for additional health and wellness benefits. According to Packaged Facts’ April/May 2014 survey results, 64% of pet owners believe that high-quality petfoods are effective for preventive health care, and 68% are willing to spend extra money to ensure the wellness of their pets. Sixty-two percent of pet owners check product labels on the petfoods they buy, and 42% are concerned about their pet having food intolerances or allergies, according to the survey.

'Pet Food in the US, 10th Edition' report available from Packaged Facts

Packaged Facts' Pet Food in the US, 10th Edition (July 2013) report identifies strategic directions for current and prospective marketers, focusing on the future of high-growth product segments and petfood market drivers.
The report covers products for many companion animals, with separate chapters for dog food, cat food and other petfood (birds, small animals, fish and reptiles).
It provides a market overview covering cross-market trends and opportunities through 2017, including: the impact of the recession and economic recovery; recent and expected mergers and acquisitions; private-label inroads; advertising and promotional trends, including social media and cause marketing; the trend of natural and organic foods; specialty diet products; weight maintenance and senior foods; the re-visioning of wet/canned foods; and novel ingredients such as glucosamine, omega fatty acids, antioxidants and probiotics. The report estimates 2012 US retail sales at US$20 billion and projects steady growth through 2017.

Packaged Facts Report finds tough economic times have not hindered US pet industry

Even through tough economic times, the US pet industry continues to move forward, according to market research firm Packaged Facts in its new pet market report on US dog and cat owners.
According to a Packaged Facts survey of nearly 2,000 pet owners, three main factors are driving the US pet market: the burgeoning pet parenting phenomenon, the increase in pet ownership by the family-oriented and demographically potent Hispanic population, and the prevalence of pet ownership among affluent Americans. 

Pet product retail, consumer trends report released by Packaged Facts

Packaged Facts released a new report, Pet Product Retail Channel and Consumer Shopping Trends, which says pet product retailers and marketers should re-evaluate strategic options to keep up with the increasingly competitive pet product marketplace.
The report suggests options for remaining competitive in the market, including: competing on price; incorporating premium or natural products into offerings; improving merchandising, marketing and promotions; promoting pet treats; and becoming "destination information" sources.  According to the report, three long-term factors have greatly increased competition: the expansion of big-box pet specialty chains; the growth of mass merchandisers and supercenters; and the rise of the Internet. In the short term, budget constraints have changed the way consumers buy and what they buy, proving they are willing to switch channels and brands to make ends meet or satisfy shifting priorities.
The full report may be purchased online from Packaged Facts. 

Packaged Facts: US pet market outlook strong for 2011-2012

A report released by Packaged Facts on the US pet market found that despite slow growth due to the recession in 2010, sales of petfood and pet products are expected to increase at a faster rate in 2011 and 2012.
The report, “U.S. Pet Market Outlook 2011-2012,”  looks at US pet market retail sales and trends overall and in four core categories: veterinary services, petfood, non-food pet supplies and non-medical pet services. It found that sales of all pet products and services rose 4.3% in 2010 to US$55.07 billion. Sales of veterinary services increased the most in 2010, to US$19.69 billion. Non-medical pet services experienced the second largest growth increase at 5%, to reach US$6.11 billion. Sales of petfood increased 2.8% to US$18.35 billion and sales of pet supplies increased 2% to US$10.92 billion, according to the report.
Despite a recession, Packaged Facts' report says that the US pet market remains healthy, attributing this strength to factors such as the human-animal bond, an aging pet population and big-spending baby boomers. Packaged Facts expects the annual sales rate to recover to approximately 5% in 2011 and to nearly 6% in 2012, reaching US$61.4 billion. 
“The market bulwark will continue to be the most health-oriented category, veterinary services,” said David Lummis, the report's author. “As the population of senior pets continues to rise and market participants continue to adapt human-style technologies and medications and develop new pet-specific ones, the veterinary category will experience a 9% compound annual growth rate, which is much higher than other segments. As a result of its faster growth, veterinary services will continue to grow as a share of the total pet market.”
Packaged Facts' pet market outlook report can be purchased online.

US petfood sales up to US$18.4 billion in 2010, according to report

According to the report "Pet Food in the US, 9th Edition," released by Packaged Facts, US retail sales of petfood reached US$18.4 billion in 2010, up 2.8% over 2009 sales, but the growth was the slowest the market has seen since 1999.
Mass-market outlets led in petfood sales: dog food, the largest petfood category, grew 1.5% in 2010 to reach $3.7 billion, according to the report. However, pound volume was down 1% at 3.7 billion pounds. Biscuits and treats grew nearly 8% over 2009, and the smallest segment, frozen/refrigerated dog food, jumped 10%. Mass-market sales of cat food declined 0.2% in 2010 to US$2.4 billion, but cat treats performed well, and the frozen/refrigerated segment rose from virtually nothing in 2009 to US$600,000 in 2010, according to the report.
Looking ahead to the next five years, the Packaged Facts report indicated that petfood sales returning to their pre-recession annual growth rate of 5% to 6% is unlikely, but a gradual improvement is possible. For 2011 to 2015, the report gave an annual growth rate of 3.5%, with US retail pet food sales reaching US$21.8 billion in 2015.

Packaged Facts releases US pet supplies report

Packaged Facts announced the release of its Pet Supplies and Pet Care Products: The U.S. Market and a Global Perspective report.
The report, which covers non-food pet supplies of all types and for all companion animal types, examines trends in flea/tick care products, cat litter, toys, rawhide chews, bedding, grooming products, supplements, clean-up products and many other product segments.

Senior, weight management pet products expected to increase

The aging pet population and the epidemic of overweight/obese pets are two emergent trends in the health product segment of the US pet market, according to the report "Senior, Weight Management and Special Needs Pet Products in the U.S." from market research publisher Packaged Facts.
The US$4 billion market for senior, weight management and special needs pet products is expected to increase 55% over 2008 sales to almost $7 billion in 2013.
“In light of the humanization and premiumization trends, it's a market segment that will only broaden in the years to come,” said Tatjana Meerman, publisher of Packaged Facts.