A PASSIONATE TEAM OF PET OWNERS
Here at Boxclever, we’re a team of pet lovers. Whether dogs, cats or something more weird and wonderful, it didn’t take a pandemic for us to appreciate what pet ownership can gift our lives. As passionate, experienced researchers, we often have the joy of working with brands that reflect our interests – and we’re delighted that Petcare is one of the industries we get to frequently work with.
Across our work we’ve gained insight into the key trends and shifts in this market and what brands and retailers need to do to drive impact in such a complex, emotive and increasingly competitive space. So, as it’s National Pet Day, we thought we’d focus this week’s blog on one of our favourite topics.
A GROWING MARKET IN SIZE AND SPEND
While the UK has long been a nation of pet lovers, the pandemic amplified levels of pet ownership, particularly in groups historically less inclined to take on the cost and responsibility of caring for an animal. According to the Pet Food manufacturers Association, (reported via BBC) “3.2 million households in the UK acquired a pet since the start of the pandemic, largely driven by Gen Z and Millennials”.
In total, Statista (reported via Hepper) estimates that the UK currently has c.34 million pets and in 2020 alone, pet owners spent nearly £8 billion on their pets and related products. A value double the 10 years prior.
With growing ownership and increasing spend, there has never been more opportunity for brands to innovate around Petcare
And bring new, fresh solutions to market that align with the ever-growing body of knowledge around pet health and needs.
And it is this focus on health, especially in the diet and pet food space that shows some of the most pronounced growth, not only from the leading brands who dominate this mature category, but from innovative disrupters who are newer to market.
EVOLVING TRENDS IN HUMAN CONSUMPTION ARE BEING REFLECTED IN PETCARE
Much like in the consumer market, evolving trends around health, wellness and personalisation has seen a wealth of new products and services come to market. With an increasing focus on ingredients, quality, supplemented foods and even specialised diet plans – the landscape for shopping pet food is increasingly complex and mirrors the ethics, values and preferences of pet owners.
And for those prioritising sustainability in their pet food purchasing, disruptor brand ‘Grub Club’ has you covered, offering ‘hypoallergenic insect-based dog food, perfect for sensitive tummies, itchy skin, and the planet’, good for pup and good for your values! But do brands like this really cut through in such a crowded category where shopping is highly habitual? How do newer brands resonate with shoppers?
Part of the challenge with this evolution in products and brand, comes an evolution in the language used; terminology such as ‘human grade’, ‘prescription diet line’, ‘therapeutic diets’ and ‘holistic pet food’ is increasingly present in communications- on pack and beyond. For shoppers whose traditional decision tree around pet food was likely to be comprised of factors as simple as age and then ‘wet or dry’, this shifting landscape creates a whole host of new opportunities for meeting their pet’s needs, but also new challenges for shoppers in making informed decisions at shelf.
Education, clear benefit communication and credible endorsements are key to disrupt ingrained shopper journeys if these newer offers are to stand out
SHOPPING JOURNEYS ARE ALSO SHIFTING, AS PREFERENCE FOR OMNI-CHANNEL SHOPPING FURTHER FRAGMENTS THE PETCARE SHOPPER LANDSCAPE.
We’ve spent many hours in the Petcare aisles of Britain’s leading retailers, exploring everything from navigation, findability, positioning, communication on pack, resonance, appeal… the list goes on. But when deepening our clients understanding of Petcare and specifically pet food, no longer is the physical store alone enough! As shoppers continue to turn online for a more convenient, value led and personalised shopping experience, pet food purchasing is also shifting online. According to Amazon strategists Venture Forge, in the last few years, Amazon’s sales of pet food have grown by 67% and their sales of wider pet supplies by 79%, with dog and cat food now generating £11.5m of revenue per month (£138m/year) on Amazon UK.
Taking this into account, brands and Petcare businesses need to not only understand shopper behaviour at shelf but also online, especially when engaging with an online marketplace like Amazon. And while usual heuristics like brand name may still steer shoppers towards leading brands, the innovation in the petfood market is creating an interesting new set of players.
With the likes of Tails.com, Butternutbox.com and Purepetfood.com coming to market, there are more ways to meet pet’s personal needs while also reflecting core shopper needs in this space with convenience, tailored pricing and discounting to drive value perceptions and encourage trial. And encouraging trial is the key lever here, in nudging shoppers to break out of their repeat behaviours and inspiring them to change.
NEW VOICES AND NEW PLATFORMS ARE CUTTING THROUGH AS EMERGING EXPERT SOURCES
It’s also time to think beyond Vets and classic marketing as the only channels through which these main messages can be communicated to pet owners. Like in other sectors, social channels such as TikTok are increasingly playing a role in creating content and nudging inspiration for Petcare, check out #PetsofTikTok to see more.
With content ranging from ‘improving kibble’, ‘preparing raw dog meals’ and ‘perfect good boy treats’ amassing millions of views on the platform, social strategists Made by Extreme claim that it’s not necessarily the brand giants of the pet market that are showing up well on this platform, “it’s actually the ones who are creating bespoke content for the conscious pet parent, delivering informative, educational content and heroes about why their brand and product solves a pet problem that will succeed in communicating their offer”.
With so many younger pet owners active on these platforms, it’s a one-to-watch space when understanding the path to purchase or opportunity spaces for Petcare brands
THIS IS AN EVER-GROWING SPACE, BRANDS AND RETAILERS MUST KEEP UP
With pet health and wellness so top of mind for owners and such an emotional but every changing category, its important to keep up to date with consumer and shopper attitudes and behaviours in this space. With macro factors like digital, social, and wellness trends driving evolution in Petcare, research at both a brand and retail level is key to ensure stand out amongst the noise. Here at Boxclever, we love working with Petcare brands and retail partners and would love the opportunity to help you unlock your next challenge in this space.
To know more about us and our experience contact Claire Boorman: claireboorman@boxcleverconsulting.com