The Trends Driving the Pet Industry in 2020
We have seen a massive increase of pet parents in the marketplace today, with 70% of retail sales coming from purchasing pet food and treats, providing potential for the pet industry to evolve, based on this fast-changing industry. Recently, our SPINS pet experts walked through the key trends shaping the pet industry today on the webinar SPINS Pet Trends 2020, discussing the rise of natural products, how pet owners are customizing the pet diet, the importance of achieving sustainability, and why now is the time to enrich the neighborhood store experience.
Today’s Pet Owners Are Spending With a Purpose
Millennials especially are contributing to this new pet parent growth, adapting their own lifestyle to their shopping trips for their pets (or “fur babies”) as well. Sustainability, for example, is in high demand, with Gen Z and Millennials, who are willing to spend more for those products. As Kathryn Peters, Executive Vice President of Business Development for SPINS, says “Independent neighborhood pet stores are on the early cusp of strong commitment to exploring sustainability and help define what it will be going forward.” This puts the neighborhood pet industry one step ahead of a growing consumer trend and will allow them to differentiate from larger outlets, which also opens the door to effectively market to pet parents’ needs.
Now Is the Time to Enhance the Neighborhood Store Experience
In the last several months, pet retailers have been heavily affected by the challenges of ecommerce increasing as the pandemic caused shoppers to consolidate in-store trips. Rather than make several stops to get their groceries and pet supplies, many shoppers opted to order online or grab what they could at larger conventional outlets. In order to regain some ground, neighborhood pet stores should remind pet owners what they have to offer and how it benefits their pets.
Retailers need to bring together the in-store and digital experiences to attract shoppers and create customer loyalty. Take pet retailer Mud Bay, for example. As the stores continue to operate during this phase of the pandemic, the Mud Bay team has been focusing on taking the necessary steps to make sure all staff is comfortable and feels safe enough when they come to work. They know that only then can they provide that same welcoming experience to customers. Plus, with an influx of new pet parents (thanks to record adoption rates during lockdown) coming to stores in search of solutions and assistance, staff should be prepared to provide some education and a personable experience.
“The lifetime value of a customer in the pet industry is enormous, so it is well worth creating that environment and spending that 20 minutes really cementing your expertise and driving home that experience to create dollars for the next 5 years,”
-Al Puntillo, CMO, Mud Bay
These interactions provide a unique connection with shoppers and helps them see that they can rely on their neighborhood pet store to answer their questions in a way other outlets can’t.
Leverage Data to Succeed in the Pet Industry
As the pet industry continues to evolve and adapt to growing trends, SPINS wants to help retailers thrive—especially considering what an unusual year we’re experiencing. That’s why SPINS recently launched the Neighborhood Pet Channel. This new channel provides insights on the industry and puts a spotlight on these independent pet retailers, giving them a united voice.
“SPINS has the ability to bring retailers together that are looking to differentiate and bring brands together that are creating those differentiating products into a calming community,” says Amy Kerr, SPINS’ Client Development Director of Pet.
The SPINS Neighborhood Pet Channel has over 1,100 pet retailers, providing both brands and retailers a unique view into categories across stores and granularity to the data. With this data and these insights to dig into, you can understand what is driving growth and what’s hindering it.
This bridge between retailers and brands provides that opportunity to bring in those better-for-you products to market that pet parents are now looking for. As the pet industry continues growing and innovating, retailers and brands will both be able to stay differentiated and competitive. Contact us to find out how the new SPINS Neighborhood Pet Channel can help provide you the data and insights you need to grow.
SPINS Pet Trends Report 2020
In order to understand the natural pet market, SPINS set out to understand the new pet parent. This in-depth report covers our findings and what they mean to pet brands and retailers today.