APPA unveils national pet market opportunity study at Global Pet Expo

The American Pet Products Association (APPA) announced the official release of its newly expanded APPA National Pet Market Opportunity Study at the 2014 Global Pet Expo. The report focuses on previous pet owners and non-pet owners (individuals who have never owned a pet) and identifies new market opportunities as well as barriers to pet ownership. The study also explores comparisons between current, previous and non-pet owning households.

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One of the key findings in the survey found that there are 84.6 million US households that are current pet owners, 26.6 million US households are previous pet owners and 11.4 million households have never owned a pet.
In exploring behaviors between the three pet ownership types—current, previous and non-pet owners—there are some notable demographic differences, according to the report. Current pet owners tend to live in more rural areas, have young children at home and larger households. They report somewhat lower average household incomes, are younger and own their own single family home. Conversely, previous pet owners tend to live in mid-size markets, do not have young children at home and have the highest average household incomes. They are slightly older and live in a single-family home they own with one other person (typically their spouse). Finally, non-pet owners tend to be urban dwellers who more often live alone, rent their residence (which has a higher likelihood of being a building for three or more families) and are least likely to be married.
New to this year’s study was a look at ownership by generation. One-third of current pet owners are Baby Boomers, while another one-quarter each are Gen Y and Gen X. Only 10% of current pet owners are from the Builder generation. Previous pet owners are far more likely to be Baby Boomers (43%), followed by Gen X (21%) and Builders (20%). Gen Y makes up the smallest number of previous pet owners. The non-pet owners group is composed of one-third Baby Boomers and nearly one-third Gen X respondents. One-quarter are Gen Y and the remaining are Builders.
The report also includes the impact of current economic conditions on pet ownership, as well as the influence of TV shows/videos about pets. Media habits, leisure activities, Internet usage and care of free-roaming animals are just a few of the other topics explored, according to APPA.

Nestlé Q1 pet sales up, overall sales drop

Nestlé's first-quarter 2014 pet product sales increased to CHF2.74 billion (US$3.11 billion) even as the company's overall sales saw a 5.1% downturn (to CHF20.8 billion—US$23.62 billion). 

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The boost in pet product sales was fueled in North America above all by the market launch of Lightweight and Glade cat litter along with Waggin' Train. In Latin America, the Dog Chow and Pro Plan brands were the primary factors behind the company’s gain in market share, according to the company. In Europe, said Nestlé, the pet brands Felix and Purina One Dry Cat were the main contributors. 

Aller Petfood unveils new logo, website

The past year, Aller Petfood has undergone reorganization preparing the company for the future business development and growth. To mark the changes and the new path, Aller Petfood has introduced a new logo and a new website, www.aller-petfood.com.

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Aller Petfood is planning on reaching out to a broad geographical area. The plant in Denmark facilitates Europe but also countries beyond the European borders. Russia and the CIS countries are facilitated from the two plants in Russia. Since January 2014, Aller Petfood has also been able to supply customers in the Middle East and North African countries from its new production facility in Turkey.
In 2013, Aller Petfood Group (APG) started centralizing some of the vital functions within the company, ensuring that information and development in the organization is channeled to each single unit of the business. This includes nutritional knowledge and product development as well as finance and marketing, according to the company.

Petco planning new corporate headquarters in California

Petco has acquired property at 10850 Via Frontera in Rancho Bernardo, San Diego, Calif., USA, with plans to develop a new state-of-the-art, people- and pet-friendly corporate support center. The new location would bring together hundreds of employees currently spread across a number of separate locations in San Diego, creating a central facility to help support Petco’s 1,300+ stores, according to the company.

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At initial move in, the 300,000-square-foot facility will be home to more than 650 Petco partners who will relocate from existing support center facilities in the Miramar and Scripps Ranch areas. Interior construction and extensive remodeling of the existing site are anticipated to begin in the fall of 2014 and are currently slated to be complete in the fall of 2015. With the purchase and remodel of this facility, Petco said it hopes to invest substantially in creating an open and sustainable work environment focused on the long-term productivity, commitment and well-being of its employees and their pets.
Plans for the new site include:   

• An open, inviting environment with very few closed-door offices to foster a collaborative work environment;  
• Pet-friendly amenities, including pet play areas;
• Employee wellness facilities;
• Sustainable space highlighting progressive design features including work spaces positioned to take advantage of natural light and locally-sourced, earth-friendly building materials where possible. 
A groundbreaking event is expected to be held later in 2014 with employees expected to take occupancy in the third quarter of 2015.

Nestlé Purina PetCare highlighting cat obesity with pledge effort

Nestlé Purina PetCare is focusing attention on cat health, specifically obesity, with a new pledge effort.

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The Association for Pet Obesity Prevention estimates that 58% of owned cats in the US, or 50 million cats, are overweight, and less than 12% of cat owners are aware that their cats have a weight problem. Nestlé Purina is striving to get 100,000 cat owners to sign a pledge before May 2 promising to assess their cat's weight to determine if their cat is heavier than advised by vets. If 100,000 pledges are lodged, Nestlé Purina will donate US$50,000 to the Association for Pet Obesity Prevention.
The pledge is available on the company's website, www.catchow.com/whyweight. Those who sign the pledge will receive a free sample of Purina Cat Chow Healthy Weight, a low-calorie weight management cat food.

Minties dog dental treats now available at Walmart Canada

Minties dental treats for dogs has expanded its retail distribution to include Walmart stores across Canada and walmart.ca.

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Minties feature a triple-action formula that helps clean teeth, freshen breath and control plaque and tartar, according to VetIQ. The treats are also wheat-, soy-, corn- and gluten-free and are safe for dogs with allergies or specific dietary requirements. “We’re very excited to now offer Minties exclusively at Walmart Canada,” said Adelaide Sa, senior category manager for pets at Walmart Canada. “Our customers don’t have to compromise to keep their pets healthy. With Minties now available at Walmart, dog owners have access to nutritional and tasty treats for their dogs at prices they can afford.”
Minties are available in four sizes for tiny, small, medium and large dogs, with prices starting at CA$1.98 for trial size and CA$6.98 for a 170-gram bag.

Mars to buy P&G petfood brands for US$2.9 billion

Mars Inc. is set to purchase Procter & Gamble's petfood brands, including Iams, Eukanuba and Natura, for US$2.9 billion, according to reports. P&G is leaving the pet care market to focus more on its core brands, and the transaction will solidify Mars as the world's biggest petfood company.

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Mars did not take on P&G's European business, but it has an option to buy operations in remaining markets in Asia and Africa, said P&G spokesman Paul Fox. The company plans to actively pursue the sale of its European pet care business, he said. 
"The announced deal is not a surprise in view of P&G’s declining share," said Paula Flores, head of Euromonitor International's Pet Care division. "P&G is the fourth global player with a global value share 3.6%, down from 4.2% in 2008. Despite the good position in the premium segment of the North American dog and cat food market, where it accounts for 19% of value sales in 2012, this figure stood at 24% as recently as 2008. The company faced two voluntary recalls for its superpremium Natura, Iams and Eukanuba brand during 2013. Moreover P&G has a weak performance in most emerging markets."
 The deal is expected to be complete in the second half of the year.