APPA: 50% more households have pets

A survey by the American Pet Products Association (APPA) shows 79.7 million pet-owning households, representing a 50% gain over the past two decades.

Noteworthy findings from the 2015-2016 National Pet Owners Survey include an increase in the number of new and younger pet owners. The study found that more than 10% of pet owners are new pet owners, which equates to almost 8 million new pet owners within the past year, the majority of which are Gen Y and Gen X. The survey also reports that the average length of pet ownership is shorter for some pet types than in previous studies, which is suggestive of new owners entering the marketplace.
“This is really exciting as the industry as a whole has been trying to engage Gen Y in pet ownership the way generations before them did,” said Bob Vetere, APPA president and CEO. “These numbers demonstrate huge potential for the industry to grow with up-and-coming, new pet owners.”

Generational differences
According to the survey, this generation tends to pamper and spend more on their pets than their parents and grandparents. A Gen Y dog or cat owner spends more to purchase their pet; takes them to the vet more often; buys more toys, gifts and care items; and utilizes more services than Gen X, Baby Boomers and Builders.
“This generation also likes high-tech gadgets like pet cams and electronic health monitoring collars, and convenience products to take their pets with them or care for them while they’re gone,” said Vetere. “This opens the door for innovation in products and services as well.”
One inevitable fact to come out of this year’s survey is that the historically largest population of pet owners, Baby Boomers (comprising 37% of pet owners), may be nearing the point where they are no longer able or willing to care for a pet. This may partially explain a slight decrease in overall pet ownership over the past two years.
“We knew this was coming as the generation that started the humanization and pampering of pets is aging,” said Vetere. “But, what’s important to note is that this is only one number over 20 years and is by no means indicative of a trend. In fact, the growing incidence of pet owners among the younger generations is so encouraging, we are extremely optimistic about the future of pet ownership and the industry that stands to serve those pets and their owners.”

Social media, businesses play a role
New data from the 2015-16 survey reveals a growing prevalence of online and social media networks used to find pets and pet products with websites, product review sites and Facebook pages leading the charge. But emerging channels including blogs, YouTube, Pinterest and Instagram are gaining growth as well.
The Survey also shows that more places of business are catering to pets. Eight percent of current pet owners report that their workplace allows pets. Twenty-eight percent of dog owners have been to a pet-friendly hotel and 9% have dined at a pet-friendly restaurant.

Economy no longer a factor
What no longer seems to be a factor on pet spending is the state of the economy. According to the survey, more pet owners, 74%, report they are not influenced by the economy when it comes to their pets. Furthermore, fewer pet owners report spending less money on their pet or that they did not get a pet or had to give up their pet due to economic factors. With regard to spending money on their pets, many owners report increased or consistent spending across all pet types.

Pets good for our health
Another relatively new finding from this survey along with research conducted by the Human Animal Bond Research Initiative (HABRI), supported in part by APPA, finds that not only do more pet owners believe pets are good for our health, so do doctors. Along with 64% of pet owners in the National Pet Owners Survey saying the health benefits of pets are important to them, according to a survey of 1,000 family doctors and general practitioners, 97% of doctors polled believe in the health benefits of pet ownership and 60% would recommend a pet to improve overall health.
“The body of science validating that pets are good for us is growing with strong research in numerous areas of health,” said Vetere. “Studies now exist that show pets can help improve our cardiovascular health, improve immunity in young children and assist with therapy for autistic children and people suffering from PTSD. Our desire to take better care of our pets and the joys and benefits they provide are continuing to work together to grow pet ownership and keep this great industry strong.”

'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.

Research and Markets offers new global pet care market report

Despite economic uncertainty, the global pet care market continues to grow in 2012, with retail values approaching US$94 billion, according to Research and Markets' latest report, "Pet Care Forecast Revisit 2012: How Resilient Is the Global Market?"
The report, by Euromonitor International, projects sales will continue to grow between 2012 and 2017, thanks to the humanization of pets and strength in emerging markets, although retail value prospects were downgraded from previous Euromonitor forecasts.
This report, available for purchase online, examines the socioeconomic challenges facing global pet care and how they can be overcome. The report provides insight into the development of the market, and highlights buzz topics, as well as emerging geographies, categories and trends. It also identifies leading and emerging companies and brands, and offers strategic analysis of key factors influencing the market, including background information on pet population, pet ownership by household and prepared gap ratio. 

Polish market for dog, cat food worth more than PLN1 billion (US$2.15 billion) in 2011

Reports estimate the value of Poland's petfood market for cat and dog food products surpassed PLN1 billion (US$3.15 billion) in 2011, an increase of 7% year-on-year, which has one petfood manufacturer looking to capture a largest market share.
Currently, petfood manufacturers Mars and Nestle are the largest in the Polish market.
But, Polish food company Mispol may be looking to invest, according to president Petras Jasinskas, who expects Poland's petfood market will grow by an additional 10% in 2012. The company has not yet disclosed the amount it plans to invest. 

Free 'Pets and Vets' report reviews 2011 retail pet sector

The Wall Street Transcript published a free report, "Pets and Vets," offering a review of the 2011 retail pet sector and an analysis of successful pet retailers like PetSmart.
This pet market report contains expert industry commentary and in-depth interviews with public company CEOs, equity analysts and money managers about petfood trends, growth in pet retail, veterinary care and more.  According to Peter Keith, senior research analyst for hardline retail and consumer products and a vice president at Piper Jaffray & Co., companies with specific sales and margin drivers and pricing power, such as PetSmart, will be able to grow business, regardless of the economic environment. The trend of consumers trading up to premium petfoods means they are buying more expensive, higher-margin petfood products, which is favorable to PetSmart. Inflationary trends also contribute to PetSmart's success, driving some sales and extra EPS growth in 2011 and 2012. 

Human Animal Bond Research Initiative Foundation adds new members

The Human Animal Bond Research Initiative Foundation, Petco and Pfizer Animal Health added 12 companies and organizations to HABRI's steering committee, as well as three organizations as HABRI's association supporters.
HABRI steering committee companies and organizations include the American Humane Association; American Veterinary Medical Association; Central Garden and Pet; Hartz; Hill’s Pet Nutrition; Morris Animal Foundation; Natural Balance; PetSmart; Radio Systems Corporation; Segrest Farms, funded by Allen Levey; Sergeants; and WellPet.
Organizations at the association supporter level include the Pet Industry Distributors Association , Pet Care Trust and Pet Industry Joint Advisory Council.
“We are pleased that these companies, organizations and industry leaders recognize the importance of HABRI’s efforts and have joined us to support research, education, advocacy and a national commitment to the positive impact of the human-animal bond,” Bob Vetere, HABRI president, said. “Together with their support we are poised to help others come to understand what we already know, that the human-animal bond has the power to improve health and enhance the quality of life for humans.”

APPA releases 2010 Pet Industry Spending Figures, 2011 Pet Owners Survey

The American Pet Products Association  released its 2010 Pet Industry Spending Figures, which showed growth of 6.2% from 2009 to US$48.35 billion in 2010.
Petfood spending increased 6.8% to US$18.76 billion in 2010 while pet supplies and over-the-counter medications grew by 5.1% to US$10.94 billion in 2010, APPA found. Health care-related pet spending showed the greatest growth within the pet industry, according to APPA figures, with a spending increase of 8.1% to $13.01 billion in 2010.
APPA forecast growth of 5.1% through 2011, with spending expected to exceed US$50 billion.  The overall spending data includes petfood, supplies, veterinary care, live animal purchases as well as services such as grooming, boarding and pet sitting.
AAPA also released the 2011-2012 National Pet Owners Survey, examining the demographics, buying habits and other traits of US owners of dogs, cats, fish, birds, horses, reptiles and other small animals. The survey found that the number of US households that own a pet increased by 2.1% to an all-time high of 72.9 million. About four out of 10 pet-owning households are multiple pet owners.
APPA 's pet owner survey found the following breakdown of pets owned in the US: 78 million dogs, 86.4 million cats, 151.1 million freshwater fish, 8.61 million saltwater fish, 16.2 million birds, 16 million small animals, 13 million reptiles and 7.9 million horses. For the first time, the survey asked respondents if the economy influenced their pet ownership. The majority of pet owners reported that the economy had not affected their decision to own a pet, but 18% of non-pet owners said their decision not to purchase a pet was because of the economy.
The 2010 Pet Industry Spending Figures and 2011-2012 National Pet Owners Survey were released at Global Pet Expo in Orlando, Florida, USA, on March 17.

Cat returns to shelters increased 16% in November

Owner returns of cats to animal shelters in November increased 16% year over year, while adoption prices for cats over 1 year of age decreased by 11%, according to the PetPoint November Report. The two primary reasons for the spike in returns were owners moving and unanticipated allergic reactions.
Conversely, surrenders of cats to shelters in November decreased by 5% year over year and adoptions increased 3%. The definition of a surrender is when an owner relinquishes ownership of their pet to an animal shelter, while a return is when a pet previously adopted from an animal shelter is returned.
The November report aggregates data from nearly 873 animal welfare organizations and data on 119,266 intakes and 122,094 outcomes for dogs and cats which entered or left animal welfare organizations during the month. The aggregated data used to develop the report comes via PetPoint the most widely used animal management application in animal welfare.
For the November report, which used data from only those organizations that were using PetPoint in November 2009 and November 2010, the following can be summarized:
- Returns of cats increased by 16%.
- Adoption prices declined 11% for cats older than one year, but increased by 2% for dogs older than one year.
- Adoption prices increased for cats and dogs less than one year by 4% and 5% respectively.
- Owner surrender of cats and dogs decreased by 5%.
- Adoptions of cats increased by 3%, while adoptions of dogs remained flat for November.
- Euthanasia of cats and dogs declined by 3% and 9%, respectively.
- Seizures of cats increased by 42%; however, this was caused by events at 4 of the larger animal welfare organizations using PetPoint.
Interested organizations can subscribe to receive more detailed reports including regional and state data for a monthly fee. The full report can be seen by visiting http://www.petpoint.com/petpoint-report-12- 20-2010.asp. PetPoint reports are issued on the third Monday of each month.

Colgate-Palmolive report analyzes pet industry, forecasts market trends

Research and Markets offers a new report, titled "Colgate-Palmolive Co in Pet Food and Pet Care Products - World." 
The report's company profile offers an analysis of Colgate-Palmolive's business and examines the performance of its subsidiary, Hill's Pet Nutrition, in the petfood and pet products industry. Company shares are broken down by region and sector, with an analysis of product developments, market and distribution strategies. The report also identifies challenges from competition in the pet industry and offers five-year forecasts of the market. The full report is available for purchase online.

Spending increasing in Latin America petfood, pet care market

Latin Americans are spending more money on products and services for their pets despite the poor economy, according to an online article from The Independent.
A July 15 report from Euromonitor International indicated that Latin American and Caribbean pet owners are spending more money than previously on pet care goods and services, such as petfood, toys, fashion accessories, health care and grooming. This trend spreading in Latin America is driven by Americans, who treat their pets like children, and the "pet parents" who believe that animals have equal or almost equal rights to people, according to the report.
Euromonitor statistics reported spending on petfood and pet care products increased dramatically across Argentina and Chile from 2004 through 2009. In Argentina, spending increased from US$0.2 billion in 2004 to US$0.6 billion in 2009, and in Chile spending increased from US$0.3 billion to US$0.5 billion in the same period.

New report released about petfood market in India

A new market report about the petfood market in India was released from companiesandmarkets.com.
It begins with a market overview, which says the market in India is currently worth about INR 876 million (US$18.8 million). The report also offers an analysis of key trends and factors affecting industry growth, such as increasing pet ownership, increasing consumer awareness and increasing promotional activities. The competition section provides an overview of the Indian competitive petfood market with profiles of major domestic and foreign players. The greatest challenge identified in the report is high import duties combined with frequent import bans.
The full report can be purchased online.

Pet owners in Singapore spoil ‘furkids’

No expense is spared when it comes to owners and their pets in Singapore, according to a report from the The Star.
The recent opening of pet holistic wellness center Petopia, which offers styling, spa sessions and daycare services, reflects the global humanization trend in the expanding Singapore pet industry.
Managing director of Petopia, Marcus Khoo, emphasized the trend by saying people refer to their animals as “furkids”.
In 2009, the Singapore petfood and pet care market was worth SG$186 million (US$131 million), up from SG$181 million (US$128 million) in 2008, according to the Pets Enterprises and Traders Association Singapore.

MBA student looking for petfood case study

I am an MBA student at Seton Hill University in Greensburg, PA, and I'm looking for a petfood company that I can use as a case study for my final project.
It involves a strategic look at the company including posting financials and an in depth look at business as a whole. It is presented in April to a panel of professors and peers.
If you are interested please contact me at shellyweaver@comcast.net.

Dog magazine releases its pet health tips

K9 Magazine recently released its 50 tips for keeping dogs healthy.
The list included recommendations for owners to feed dogs raw, fresh foods; avoid petfoods with by-products and preservatives; and give dogs a bone or non-chemical dog chew.

PetSafe set to fund behaviorist position

PetSafe, a manufacturer of pet safety and behavior products, will fund one of the few veterinary school behaviorist positions in the USA.
The newest Chair in Veterinary Behavior will work at the College of Veterinary Medicine at the University of Tennessee.
The position was formed to research and gain understanding of animal behaviors that may jeopardize a pet remaining in a home environment. The ultimate goal of an animal behaviorist is to help protect the bond between a human and companion animal.

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.

Package testing webinars now in multiple languages

Mocon Inc. is making its free educational webinars on package testing accessible to a larger global audience by offering online classes in Spanish, Chinese and English.
The company is also unveiling its International Series, which has been designed to provide information to packaging professionals in multiple countries.

Companies offer free processing webinar

K-Tron Process Group announced its collaboration with Hosokawa Micron Powder Systems to present a complimentary technical webinar, “Innovations in Continuous Processing,” that offers pharmaceutical and food processors the latest detailed process information about continuous mixing and loss in weight feeding.
The webinar, set to take place on February 10, 2010 at 2:00 p.m. (EST), will cover developments in continuous feeding and refill operations, with an emphasis on continuous blending for the ultimate in flexibility and processing of multiple ingredients.
For free registration, visit www.ktron.com/webinars.

New products, new strategies

Research & development conducted on the Internet for new petfood product launches is driving growth and ingenuity. Read the full article.

Australian petfood market overview available

Researchandmarkets.com has added the "Snapshots Australia Pet Food 2009" report to its Web site, Reuters reported.
The report includes year-end market size data for 2008, estimates for 2009, historical data for the past five years and a forecast for the next five. The data is available in graphical as well as tabular format. The report also covers wet cat, wet dog, dry dog, dry cat, chilled petfood, dog treats and bird food.
The topics covered include category definitions, market size by value and volume, market shares, forecasts, socio-economic data and sources for further research.