Pet Product Retailing UK pet product market trends Karen Pickwick - - PowerPoint PPT Presentation

Pet Product Retailing

Karen Pickwick Editor Pet Business World

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UK pet product market trends

The leading magazine and website for the UK pet trade

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Website and Forum

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Increased economic pressures

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Analysis of the vet market by the Fort Dodge Index shows:

• falling client numbers,
• fewer client visits
• lower average transaction values.

UK pet population

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There are more than 125 million pets in the UK, including:

• 100 million fish (indoor and outdoor)
• 10.5 million dogs
• 10.3 million cats
• 7.5 million reptiles (including chelonia)
• 2.3 million small mammals (including rabbits, guinea pigs

and hamsters)

• 1.6 million birds (including aviary, poultry and pigeons)
• 2.7 million others (including horses and ponies)

UK pet ownership

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About half of all UK households

• wn pets, including:
• 8 million households with dogs (that’s 31%)
• 6.7 million households with cats (26%)
• 0.4 million households with fish (14%)

Why do people have pets?

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• 60% of single people in the UK bought a pet

for companionship.

• Only 5% who had a pet for security reasons.
• 21% of pet owners wanted a pet since

childhood

• 39% of London’s pet owners bought their pet

for companionship – despite having 7.5 million

neighbours across the city!

Where do people buy their dogs?

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• Rescue centre: 32%
• Friend/acquaintance: 25%
• Recommended breeder: 16%
• Private ad: 16%
• Internet: 8%
• Pet shop: 7%

Classified ad

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FREE PUPPIES. Half Cocker Spaniel, half sneaky neighbour’s dog.

Classified ad

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FREE YORKSHIRE TERRIER. Hateful little bastard. Bites!

T

• p dogs
• 1. Labrador
• 2. Border Collie
• 3. Jack Russell Terrier
• 4. Yorkshire Terrier
• 5. German Shepherd
• 6. Bischon Frise
• 7. Rottweiler/Dalmation
• 8. Cocker Spaniel/Shiatzu
• 9. Labradoodle/Golden Retriever
• 10. Greyhound (incorporating Whippets)/Chihuahua

Financial health

“Pets are an essential part of the social, cultural and economic fabric of our country” ProPets 2011

• Pet owners spend an average £87 million a week on pet

care (including veterinary)

• That’s nearly £4.7 billion pa in tax.
• Owning pets saves the NHS £1.4bn a year.
• With just these two examples, the economic value of

pet ownership to the Exchequer exceeds £3.1bn a year

– that’s equivalent to nearly 1p on the basic rate of income tax!

UK market value

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The UK pet market is currently worth just over £3bn

Prepared food

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Estimates suggest that as many as half of all dogs and about 75% of cats are still fed non-manufactured food

UK dog food market

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T

• tal UK dog food market is worth £1.05bn
• Wet food:

£325m (no growth on 2009)

• Dry complete:

£483m (+2% on 2009)

• Mixers:

£26m (-3%)

• Treats:

£223m (+4%)

UK cat food market

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Cat food has seen growth in value of 1% to £905 million.

• Wet single-serve:

£480m (+1%)

• Wet multi-serve:

£150m (-5%)

• Dry complete:

£232m (+4%)

Where Cat food is bought

Leading brands

The T

• p 11 global dog and cat food brands (2006-2010)

in descending order:

1. Pedigree 2. Whiskas 3. Friskies 4. Iams 5. Hill’s Science 6. Dog Chow 7. Royal Canin 8. Purina One 9. Hill’s Prescription Diet

• 10. Beneful
• 11. Eukanuba.

Global market share

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Share of the 2010 global pet care market (retail value)

• Mars

18%

• Nestle

18%

• Colgate-Palmolive

4%

• Procter and Gamble

4%

• Private label

11%

• Del Monte Foods

3%

• Others

42%.

Raw/BARF diets

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Natural/Organic

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Growth in natural and

• rganic ranges

mirrors trends in human foods

Age, size and breed specific diets

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Health benefits

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The environment

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A brand’s “green” credentials are becoming increasingly important to customers

Packaging

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There is great emphasis on convenience in packaging, from resealable bags to peel and serve

Small animal market

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Small furries are BIG business – UK market worth £66m

Accessories for small animals

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Accessories for small furries are becoming ever more elaborate

Pet accessories

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The pet accessories market is worth £285m

Reptile market

The trade sells more than 20 million crickets and a million locusts as livefoods EVERY WEEK

Wild bird market

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Wild bird food and accessories are worth £250m – and growing

The fluffy bits near the end..

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Our retail columnist Newshound

The opportunity

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Despite a static pet population, the market is growing in value due to innovation by the

• industry. As vets, you are uniquely placed to

grab a share of this success thanks to your professional expertise.