Abstract
The healthy growth of the U.S. pet products market has attracted the attention of many types of retailers that have not traditionally emphasized pet products, even as the above average performance of some of these same retail sectors has caused pet marketers to begin developing new lines specifically for these stores. As a result, sales of pet products in many non-traditional retail sectors are outpacing the market as a whole, and this trend is expected to continue through the end of the decade, opening up new opportunities for marketers and retailers both inside and outside the usual pet product realm.
Also driving the pet product push into non-traditional outlets is the relentless consolidation of the traditional pet channel, the shift toward premium products, and the consumer trend toward leisure shopping for fun as opposed to time-strapped household shopping by necessity. Spearheading the new pet product influx are gift/luxury products, value-priced items, convenience-oriented products, private-label and licensed fare, and human-style goods and cross-over brands. Big Lots, for example, recently created a new section to ensure peak efficiency and consistency in its pet department, dollar stores are growing in number and pet product range, wholesale clubs are building on their strong association with pet food, department stores are focusing on high-end fare, Sears is jumping in with new store formats, sporting goods stores are targeting underserved markets, and retailers of all stripes (including traditional pet retailers) are tapping into the Internet and catalogs like never before.
This groundbreaking report from Packaged Facts examines non-traditional pet product retailers in nine classifications: wholesale clubs, dollar/value stores, convenience stores, department stores, home furnishing/housewares stores, off-price clothing/housewares stores, home improvement/hardware/garden stores, sporting goods stores, and Internet/catalog. Via custom cross-tabulations of Simmons Market Research Bureau data, the report examines the demographics and shopping patterns of U.S. households who patronize each one of these channels, comparing pet owners with non-pet owners. For each retail classification, the report also provides an overview and examines product, marketing, and in-store trends in product selection, display, merchandising, and promotion.
Packaged Facts' Pet Products and Services Collection
Packaged Facts is the leading source of market intelligence for pet products and services. No other market research publisher offers the breadth and depth of coverage in this lucrative, fast-growing industry. Other titles include The U.S. Market for Pet Food, The U.S. Pet Insurance Market, Market Trends: Pet Supplements and Nutraceuticals, Market Trends: Natural, Organic and Eco-Friendly Pet Products, and The U.S. Market for Pet Services.
Report Methodology
The information contained in this report was obtained from both primary and secondary research. Primary research entailed attendance at industry trade shows; informal interviews with members of the trade; and an on-site examination of the retail milieu, including mass-market outlets, pet specialty shops, and veterinary clinics. Secondary research included extensive Internet canvassing and research- and data-gathering from relevant trade, business, and government sources; company reports including annual reports, 10Ks, and other financial releases from public companies; company profiles in trade and consumer publications; and other reports by Packaged Facts, which has been reporting on pet-related markets for nearly two decades.
Our market size estimates are based on Information Resources, Inc. (IRI) data for tracked mass-market retailers (supermarkets, drugstores, and mass merchandisers other than Wal-Mart), independent pet store sales-tracking surveys, reported revenues of marketers and retailers, and figures appearing in the trade press. Information on new product introductions is derived from reports in the trade press and online, as well as detailed Productscan data from Marketing Intelligence Service, Ltd., Naples, New York. Our analysis of consumer demographics derives primarily from the Simmons Market Research Bureau (New York, New York) spring 2005 consumer survey, which is based on approximately 28,000 respondents
What You'll Get in this Report
Pet Products in Non-Traditional Outlets offers unique perspective on this burgeoning market. No other market research report provides the analysis and trends coverage that this report offers. Plus, you'll benefit from extensive data, presented in easy-to-read and practical charts, tables and graphs.
Table of Contents
- Chapter 1: Introduction
- Scope & Methodology
- Market Definition
- Note on Terminology
- Report Methodology
- Market Trends
- Why Non-Traditional? Why Now?
- Pet Products: Good Sales, Great PR
- Consolidation of Traditional Big-Box Retailers
- Premium, Luxury Products Well-Suited for Cross-Over
- Multifaceted Humanization Trend Favors Also Favors Expansion
- Gifting: Going, Going, Strong
- Table 1-1: Pets and Gifts/Birthdays/Holidays: 2002, 2003, and 2004 (percent) Above Average Performance in Some Non-Traditional Sectors
- A New Breed of Shoppers?
- The Shifting Pet Product Market Pie
- Table 1-2: U.S. Retail Sales of Pet Supplies Through Non-Traditional Channels, 2001-2005 (in millions of dollars)
- Table 1-3: Non-Traditional Retail Share of Total Pet Product Sales: Food, Non-Food, Total, 2001-2005 (percent)
- Pet Product
- Figure 1-1: Share of U.S. Retail Sales of Pet Supplies (Food and Non-Food) Through Non-Traditional Channels by Outlet Type, 2005 (percent)
- Looking Ahead: What's Next?
- Table 1-4: Projected U.S. Retail Sales of Pet Supplies Through Non-Traditional Channels, 2005-2010 (in millions of dollars)
- Consumer Trends
- Household Purchasing of Pet Supplies by Outlet Type
- Figure 1-2: Pet Supply Purchasing by Channel, 2005 (U.S. dog- or cat-owning households)
- Figure 1-3: Pet Supply Purchasing by Sole Channel, 2005 (U.S. dog- or cat-owning households)
- Demographics of Pet Supply Purchasers: By Shopping in Non-Traditional vs. Traditional Pet Product Retailers
- Shopping Attitudes: Pet Households vs. Non-Pet Households
- The Pet Household Tilt Toward Non-Traditional Outlets: By Channel Type
- Table 1-5: Demographics of Pet Supply Purchasers by Channel: "Other Outlets," 2005 (U.S. dog- or cat-owning households)
- Table 1-6: Demographics of Pet Supply Purchasers by Channel: Online, 2005 (U.S. dog- or cat-owning households)
- Table 1-7: Demographics of Pet Supply Purchasers: Traditional Outlets (Pet Stores, Supermarkets, or Discount Stores), 2005 (U.S. dog- or cat-owning households)
- Table 1-8: Overview of Selected Shopping-Related Attitudes and Opinions: Pet Households vs. Non-Pet Households, 2005 (U.S. households)
- Table 1-9: Statistical Overview for Non-Traditional Retail Channels for Pet Supplies: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 2: Wholesale Clubs
- Retail Sector Overview
- Pet Department Trends
- Pet Products Online
- Consumer Trends
- Wholesale Club Shopper Overview
- Pet Households Who Shop in Wholesale Clubs
- Figure 2-1: Number of U.S. Pet Households Who Shop in Wholesale Clubs, 2005
- Table 2-1: Statistical Overview of U.S. Households Who Shop in Wholesale Clubs: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 2-2: Wholesale Club Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 3: Dollar/Value Stores
- Retail Sector Overview
- Pet Department Trends
- Big Lots Bulking Up in Pet Supplies
- Pet Households Who Shop in Dollar Stores
- Figure 3-1: Number of U.S. Pet Households Who Shop in Dollar/Value Stores, 2005
- Table 3-1: Statistical Overview of U.S. Households Who Shop in Dollar/Value Stores: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 3-2: Dollar Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 3-3: Big Lots Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 4: Convenience Stores
- Retail Sector Overview
- Pet Department Trends
- Pet Households Who Shop in Convenience Stores
- Figure 4-1: Number of U.S. Pet Households Who Shop in Convenience Stores, 2005
- Table 4-1: Statistical Overview of U.S. Households Who Shop in Convenience Stores: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 4-2: Convenience Store Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 5: Department Stores, Home Furnishings Stores, and Off-Price Stores
- The Driving Trends: Products Premiumization and Gifting
- Department Store Sector Overview
- Buying and Selling
- Pet Department Trends
- The Boutique Approach
- Private-Labeling
- The Off-Mall Thrust
- On the Web
- Top Home Furnishing/Housewares Stores Behind the Pet Times
- Pet Households Who Shop in Department Stores, Home Furnishing/Housewares Stores, and Off-Pricers
- Figure 5-1: Percentage of U.S. Households Who Shop in Department Stores and Off-Price Clothing/Housewares Stores: Overall vs. Pet Supply Purchasers, 2005
- Table 5-1: Statistical Overview of U.S. Households Who Shop in Department Stores and Off-Price Clothing/Housewares Stores: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-2: Sears/J.C. Penney Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-3: Kohl's Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-4: Home Furnishing/Housewares Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-5: Mid-Tier Department Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-6: Upscale Department Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 5-7: Off-Price Clothing/Housewares Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 6: Home Improvement/Hardware/Garden Stores and Sporting Goods
Stores
- A Male Demographic
- Home Improvement Stores and Hardware Stores
- Mergers and Acquisitions Bringing Garden Products and Pet Supplies Closer Together
- Pet Product Trends In-Store and Online
- Pet Households Who Shop in Home Improvement Stores
- Figure 6-1: Number of U.S. Pet Households Who Shop in Home Improvement/Hardware/Garden Stores, 2005 (U.S. households)
- Sporting Goods Stores
- Figure 6-2: Number of U.S. Pet Households Who Shop in Sporting Goods
Stores, 2005 (U.S. households)
- Pet Product Trends In-Store and Online
- Pet Households Who Shop in Sporting Goods Stores
- Table 6-1: Statistical Overview of U.S. Households Who Shop in Home Improvement/Hardware/ Garden Stores and Sporting Goods Stores: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 6-2: Home Improvement/Hardware/Garden Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 6-3: Sporting Goods Store Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Chapter 7: Internet and Catalog Shopping
- Steady Gains in Online Shopping by U.S. Consumers
- Positive Signs for Pet Supplies
- The Online Players
- Third-Party E-tailers
- PetMed Express
- PETSMART.com
- PETCO.com
- Walmart.com
- Smaller Retailers Emphasizing Online Ordering, Delivery
- Non-Traditional E-tailers
- Marketers Selling Directly Online
- The Online Shopper for Pet Supplies
- Figure 7-1: Percentage of U.S. Households Who Shop by Internet or Catalog: Overall vs. Pet Supply Purchasers, 2005
- Catalog/Mail-Order
- Drs. Foster & Smith
- The Catalog Shopper for Pet Supplies
- Table 7-1: Use/Influence of Internet: U.S. Adults Overall vs. Dog and Cat Owners, 2005 (percent)
- Table 7-2: Selected E-tailers of Pet Supplies, 2005
- Table 7-3: Demographics of Pet Supply Purchasers by Channel: Online, 2005 (U.S. dog- or cat-owning households)
- Table 7-4: Statistical Overview of Households Who Shop by Internet or Catalog: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 7-5: Internet Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
- Table 7-6: Catalog Shopper Demographics: Overall vs. Pet Supply Purchasers, 2005 (U.S. households)
