Pet Supplies in the U.S.

Table of Contents

Chapter 1: Executive Summary

• Scope and Methodology
  • Market Definition
  • Exclusions
  • Four IRI-Tracked Product Categories
  • Report Methodology
  • Figure 1-1: U.S. Retail Sales of Pet Supplies, 2002-2011 (in millions of dollars)
• The Market
  • Retail Sales Near $10 Billion in 2006
  • IRI-Tracked Sales Rebound in 2006
  • Share of Mass-Market Sales by Product Type
  • Share of Pet Store Sales by Animal Type
  • Mass Merchandisers Take the Helm
  • Market Drivers
• Competitive Overview
  • A Cast of Thousands
  • Mergers & Acquisitions Continue Apace
  • Nestlé Purina Leads in IRI-Tracked Sales
  • Figure 1-2: Top Marketers of Pet Supplies by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • The Private-Label Factor
• Marketing and Retail Trends
  • Cross-Category Expansion
  • National Consumer Advertising Expenditures
  • New Product Surge Continues
  • Retail Trends
• The Consumer
  • Over Half of Households Own Pets
  • Figure 1-3: Pet Ownership Rates by Type: 2006 (U.S. households)
• Looking Ahead
  • Trends and Opportunities

Chapter 2: The Market

• Introduction
  • Market Definition
  • Exclusions
  • Four IRI-Tracked Product Categories
  • Trade Associations and Shows
  • Regulatory Agencies and Trends
  • Pet Animal Welfare Statute Update
• Market Size and Growth
  • Retail Sales Near $10 Billion in 2006
  • Table 2-1: U.S. Retail Sales of Pet Supplies, 2002-2006 (in millions of dollars) IRI-Tracked Sales Rebound in 2006
  • Table 2-2: IRI-Tracked Sales of Pet Supplies, 2002-2006 (in millions of dollars)
  • Table 2-3: Dollar Change in IRI-Tracked Sales of Pet Supplies by Category, 2002-2006 (in millions of dollars) IRI-Tracked Sales of Cat Litter Recover
  • Table 2-4: IRI-Tracked Sales of Cat Litter, 2002-2006 (in millions of dollars) Other Dog/Cat Supply Sales Surge
  • Table 2-5: IRI-Tracked Sales of Other Dog/Cat Supplies, 2002-2006 (in millions of dollars) Dog Chews Slow Down
  • Table 2-6: IRI-Tracked Sales of Dog Chews, 2002-2006 (in millions of dollars) Non-Dog/Cat Supplies Continue to Decline
  • Table 2-7: IRI-Tracked Sales of Non-Dog/Cat Supplies, 2002-2006 (in millions of dollars)
• Market Composition
  • Share of IRI-Tracked Sales by Product Type
  • Table 2-8: Share of IRI-Tracked Sales of Pet Supplies by Product Category: 2002 vs. 2006 (percent)
  • Independent Pet Stores: Share of Sales by Animal Type
  • Table 2-9: Share of Independent Pet Store Pet Supply Sales by Animal Type: 2005 vs. 2006 (percent)
  • Dog Products: Share of Sales by Category
  • Table 2-10: Share of Independent Pet Store Sales of Dog Products by Category: 2005 vs. 2006 (percent)
  • Cat Products: Share of Sales by Product Category
  • Table 2-11: Share of Independent Pet Store Sales of Cat Products by Category: 2005 vs. 2006 (percent)
  • Fish Products: Share of Sales by Product Category
  • Table 2-12: Share of Independent Pet Store Sales of Fish Products by Category: 2005 vs. 2006 (percent)
  • Bird Products: Share of Sales by Product Category
  • Table 2-13: Share of Independent Pet Store Sales of Bird Products by Category: 2005 vs. 2006 (percent)
  • Small Mammal Products: Share of Sales by Product Category
  • Herptile Products: Share of Sales by Product Category
  • Non-Food Supply Share of Natural Pet Product Sales
  • Figure 2-1: Share of U.S. Retail Sales of Natural Pet Products by Category: 2000, 2005, and 2010 (percent)
  • Sales by Retail Channel: Mass Merchandisers Take the Helm
  • Table 2-14: Share of Pet Supply Sales by Retailer Type: 2002, 2004, and 2006 (percent)
  • Household Purchasing Patterns
  • Figure 2-2: Pet Product Purchasing Rates: By Type of Pet and Retail Channel, 2006 (U.S. pet-owning households)
  • Quarterly Sales Trends Indicate Growing Seasonality
  • Figure 2-3: Share of IRI-Tracked Sales of Other Dog/Cat Supplies by Quarter: 2006 (percent)
  • Figure 2-4: Share of IRI-Tracked Sales of Dog Chews by Quarter: 2006 (percent)
  • Figure 2-5: Share of IRI-Tracked Sales of Cat Litter by Quarter: 2006 (percent)
  • Figure 2-6: Share of IRI-Tracked Sales of Non-Dog/Cat Supplies by Quarter: 2006 (percent)
• Factors to Market Growth
  • Scaling Up the Market
  • Figure 2-7: Share of U.S Non-Food Pet Supplies Expenditures by Income Bracket: 1995, 2000, and 2005 (percent)
  • New Products Surging, Especially Value-Added
  • Table 2-15: Number of New Pet Supplies Lines and SKUs: 2002-2006 (number and percent)
  • The Marketing Thrust
  • Pet Humanization and Pampering
  • Table 2-16: Human/Pet Relationship and Well-Being, 2006 (percent)
  • Impact of Pet Food Recall
  • Ongoing Retail Expansion
  • Pet Population Trends
  • Table 2-17: Trended Pet Ownership as a Percent of U.S. Household Population: 1998-2006 (percent)
  • Table 2-18: Number of U.S Households That Own a Pet: 1998-2006 (in millions)
  • The Aging Pet Population
  • The Boomer Factor
  • Table 2-19: Pet Ownership Indices: By Adult Age Bracket, 2006 (U.S. households)
  • Figure 2-8: Share of U.S. Population Growth for Selected Age Brackets, 2005-2015 (percent)
• Projected Market Growth
  • Sales to Near $15 Billion by 2011
  • Table 2-20: Projected U.S. Retail Sales of Pet Supplies, 2006-2011 (in millions of dollars)

Chapter 3: Competitive Overview

• The Marketers
  • A Cast of Thousands
  • Multi-Category Market Leaders
  • Central Garden & Pet
  • Hartz Mountain Corp.
  • Rolf C. Hagen
  • Spectrum Brands
  • Second-Tier Multi-Category Marketers
  • Natural Product Specialists
  • Category Leaders
  • Cat Litter
  • Flea/Tick-Control Products
  • HBC (Grooming, Supplements, Oral Care)
  • Clean-Up/Odor-Control Products
  • Rawhides/Dog Chews
  • Toys
  • Training/Containment Products
  • Shelter, Crates, Carriers, Furniture
  • Non-Dog/Cat Supplies
  • Mergers & Acquisitions Continue Apace
  • Central Garden & Pet Buys Farnam
  • Bamboo Buys Fat Cat
  • Doskocil Buys Aspen, Stylette
  • Other Marketer Acquisitions
  • Retailers Petco and PetSmart Also Shake it Up
  • The Private-Label Factor
  • Table 3-1: IRI-Tracked Sales of Private-Label Pet Supplies by Category: 2002 vs. 2006 (in millions of dollars)
  • Impact of Retailer Consolidation
  • Table 3-2: U.S. Market for Pet Supplies: Selected Marketers and Leading Brands, 2007
• Marketer and Brand Shares
  • Methodology
  • Nestlé Purina Leads in IRI-Tracked Sales
  • Figure 3-1: Top Marketers of Pet Supplies by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • Cat Litter: Leading Marketers Maintain Share
  • The Natural Niche
  • Figure 3-2: Top Natural Cat Litter Brands by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • Other Dog/Cat Supplies: Category Leader Hartz Suffers Major Loss
  • Figure 3-3: Top Marketers of Other Dog/Cat Supplies by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • Dog Chews: No. 1 Hartz Posts Big Losses
  • Figure 3-4: Top Marketers of Dog Chews by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • Non-Dog/Cat Supplies: Central Garden & Pet Coming on Strong
  • Figure 3-5: Top Marketers of Non-Dog/Cat Supplies by Share of IRI-Tracked Sales: 2002 vs. 2006 (percent)
  • Brand Rankings in the Pet Specialty Channel
  • Table 3-3: Marketer Sales and Shares of U.S. Mass-Market Sales of Pet Supplies by Category: 2002 vs. 2006 (in millions of dollars)
  • Table 3-4: Marketer and Brand Shares of IRI-Tracked Sales of Cat Litter: 2005 vs. 2006 (percent)
  • Table 3-5: Cat Litter Marketers by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-6: Cat Litter Brands by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-7: Marketer and Brand Shares of IRI-Tracked Sales of Other Dog/Cat Supplies: 2005 vs. 2006 (percent)
  • Table 3-8: Marketers of Other Dog/Cat Supplies by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-9: Top Brands of Other Dog/Cat Supplies by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-10: Marketer and Brand Shares of IRI-Tracked Sales of Dog Chews: 2005 vs. 2006 (percent)
  • Table 3-11: Marketers of Dog Chews by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-12: Brands of Dog Chews by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-13: Marketer and Brand Shares of IRI-Tracked Sales of Non-Dog/Cat Supplies: 2005 vs. 2006 (percent)
  • Table 3-14: Marketers of Non-Dog/Cat Supplies by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-15: Brands of Non-Dog/Cat Supplies by Dollar Change in IRI-Tracked Sales: 2002 vs. 2006 (in millions of dollars)
  • Table 3-16: Specialty Pet Retailer Brand Leaders in Key Pet Supply Categories, 2004 vs. 2006

Chapter 4: Marketing and Retail Trends

• Marketing Trends
  • Cross-Category Expansion
  • Mass to Specialty Cross-Over, and Vice Versa
  • Channel Exclusivity
  • Human Product Mega-Marketers
  • Licensing: Humanization and Kids Are Key Market Drivers
  • Figure 4-1: Share of U.S. Pet-Owning Households with Child Under 18 in Household: By Type of Pet, 2006 (percent)
  • Professional Endorsement and “Pro-Branding”
• Advertising Trends
  • Methodology
  • National Consumer Advertising Expenditures
  • Figure 4-2: Share of Pet Market Consumer Advertising Expenditures by Company Type: 2005 vs. 2006 (percent)
  • Pet Retailers Spend Nearly $200 Million
  • Figure 4-3: Share of Pet Retailer Consumer Advertising Expenditures by Retailer: 2005 vs. 2006 (percent)
  • Retail Product Marketers Spend $59 Million
  • Figure 4-4: Share of Pet Retail Product Consumer Advertising Expenditures by Marketer: 2005 vs. 2006 (percent)
  • Veterinary Product Marketers Also Spend $59 Million
  • Pet Specialty Brands Rely Mainly on Promotions, Trade Advertising
  • Celebrity PR: Global Pet Products Goes to the Emmys
  • Professional PR: Kong Strikes a Chord Among Police Trainers
  • Advertising Media
  • Advertising Positioning
  • Consumer Promotions
  • Trade Advertising and Promotions
  • Professional Tie-Ins
• New Product Trends
  • New Product Surge Continues
  • Table 4-1: Number of New Pet Supply Product Lines and SKUs, 1996-2006
  • Table 4-2: Pet Supply Product Selling Points by Package Tags, 2002-2006
  • Common Denominators in New Product Development
  • Product Humanization and Pet Pampering
  • Functional/Value-Added
  • Natural
  • Oral Care
  • Convenience Products
  • Travel Pets
  • Gifting
  • Table 4-3: Pets and Gifts/Birthdays/Holidays: 2007 (percent, dollar, and number)
  • Luxury and Premium Products
  • Trends In Key Categories
  • Cat Litter
  • Flea/Tick Products
  • Chews and Toys
  • Spa/Grooming Products
  • Supplements
  • Clean-Up/Odor-Control Products
  • Training Products, Carriers, and Shelter
  • Non-Dog/Cat Supplies
• Retail Trends
  • Overview
  • The PetSmart/Petco Dynamic Duo
  • Table 4-4: Revenues of PetSmart and Petco, 1998-2006 (in millions of dollars)
  • Company Profile: PetSmart
  • Company Profile: Petco
  • Other Top-Ranked Pet Specialty Chains
  • Independents: Disappointed But Optimistic
  • The Mass-Market Contingent
  • Wal-Mart Makes Pet Department a Priority
  • Target
  • Supermarkets Working to Protect Sales
  • Natural Food Stores
  • Leading E-tailers of Pet Supplies
  • PetMed Express
  • Drs. Foster & Smith
  • Table 4-5: Selected E-tailers of Pet Supplies, 2006

Chapter 5: The Consumer

• Pet Ownership Overview
  • The Simmons Survey System
  • Over Half of Households Own Pets
  • Figure 5-1: Pet Ownership Rates by Type: 2006 (U.S. households)
  • Jury' s Out on Aging Boomers
  • Female Skew for Smaller Pets
  • Whites Are the Prime Pet Keepers
  • Pet Owners Are Disproportionately Upscale
  • Number of Pets Correlates to Household Size
  • Dog Owners Skew to Southwest
  • Boomers More Likely to Own Cats
  • Patterns for Other Pets
  • Table 5-1: Total Number of Pet Owning-Households by Type and Number of Pets: 2006 (U.S. households)
  • Table 5-2: Percent of Total Pet Owning-Households by Type and Number of Pets: 2006 (U.S. households)
  • Table 5-3: Demographics for Pet Ownership, 2006 (U.S. households)
  • Table 5-4: Ownership Indices by Type of Pet: By Adult Age Bracket, 2006 (U.S. households)
  • Table 5-5: Ownership Indices by Type of Pet: By Gender, 2006 (U.S. households)
  • Table 5-6: Ownership Indices by Type of Pet: By Race/Ethnicity, 2006 (U.S. households)
  • Table 5-7: Ownership Indices by Type of Pet: By Household Income Bracket, 2006 (U.S. households)
  • Table 5-8: Ownership Indices by Type of Pet: By Household Size, 2006 (U.S. households)
  • Table 5-9: Demographics for Keeping Pet Dogs, 2006 (U.S. households)
  • Table 5-10: Demographics for Keeping Pet Cats, 2006 (U.S. households)
  • Table 5-11: Demographics for Keeping Pet Fish, 2006 (U.S. households)
  • Table 5-12: Demographics for Keeping Pet Birds, 2006 (U.S. households)
  • Table 5-13: Demographics for Keeping Pet Reptiles, 2006 (U.S. households)
  • Table 5-14: Demographics for Keeping Pet Rabbits or Hamsters, 2006 (U.S. households)
  • Table 5-15: Demographics for Keeping Other Pets, 2006 (U.S. households)
• Overview of Pet Product Purchasers by Outlet Type
  • 45% Are Supermarket Shoppers
  • Figure 5-2: Pet Food and Supply Purchasing Rates: By Type of Pet and Retail Channel, 2006 (U.S. pet-owning households)
  • Variations by Age Bracket
  • Asians Are Disproportionately Likely to Shop Pet Stores
  • Wealthy Skew for Online, Pet Store Shoppers
  • Table 5-16: Pet Food and Supply Purchasing Rates: By Type of Pet and Retail Channel, 2006 (U.S. households and pet-owning households)
  • Table 5-17: Pet Food and Supply Purchasing Indices by Retail Channel: By Adult Age Bracket, 2006 (U.S. pet-owning households)
  • Table 5-18: Pet Food and Supply Purchasing Indices by Retail Channel: By Gender, 2006 (U.S. pet-owning households)
  • Table 5-19: Pet Food and Supply Purchasing Indices by Retail Channel: By Race/Ethnicity, 2006 (U.S. pet-owning households)
  • Table 5-20: Pet Food and Supply Purchasing Indices by Retail Channel: By Household Income Bracket, 2006 (U.S. pet-owning households)
  • Table 5-21: Pet Food and Supply Purchasing Indices by Retail Channel: By Household Size, 2006 (U.S. pet-owning households)
  • Table 5-22: Demographics for Purchasing of Pet Food and Supplies at Supermarkets, 2006 (U.S. pet-owning households)
  • Table 5-23: Demographics for Purchasing of Pet Food and Supplies at Pet Stores, 2006 (U.S. pet-owning households)
  • Table 5-24: Demographics for Purchasing of Pet Food and Supplies at Discount Stores, 2006 (U.S. pet-owning households)
  • Table 5-25: Demographics for Purchasing of Pet Food and Online, 2006 (U.S. pet-owning households)
• Overview of Pet Supply Purchasers by Product Type
  • 72% Purchase Pet Flea/Tick Care Products
  • Figure 5-3: Overview of Household Purchasing Rates for Pet Supplies by Type, 2006 (U.S. households)
  • Table 5-26: Total Number of Households Purchasing Pet Supplies by Type, 2006 (U.S. households)
  • Table 5-27: Household Usage Rates for Pet Supplies by Type of Pet Owned, 2006 (U.S. households)
• Consumer Focus: Flea- and Tick-Care Products
  • Southeast, Southwest Are Prime Regions
  • Less Affluent Choose Treatment Over Prevention
  • Older Demographic Favors Sergeants
  • Minorities, Larger Households as Top Consumers
  • Table 5-28: Purchasing Indices for Flea/Tick Care Products: By Adult Age Bracket, 2006 (U.S. dog- or cat-owning households)
  • Table 5-29: Purchasing Indices for Flea/Tick Care Products: By Gender, 2006 (U.S. dog- or cat-owning households)
  • Table 5-30: Purchasing Indices for Flea/Tick Care Products: By Race/Ethnicity, 2006 (U.S. dog- or cat-owning households)
  • Table 5-31: Purchasing Indices for Flea/Tick Care Products: By Household Income Bracket, 2006 (U.S. dog- or cat-owning households)
  • Table 5-32: Purchasing Indices for Flea/Tick Care Products: By Household Size, 2006 (U.S. dog- or cat-owning households)
  • Table 5-33: Demographics for Purchasing Flea/Tick Care Products, 2006 (U.S. dog or cat-owning households)
  • Table 5-34: Demographics for Purchasing Flea/Tick Care Products for Preventative Use, 2006 (U.S. dog or cat-owning households)
  • Table 5-35: Demographics for Purchasing Flea/Tick Care Products for Treatment Use, 2006 (U.S. dog or cat-owning households)
• Consumer Focus: Heartworm Control Products
  • Distinct Draws by Income and Type of Pet
  • Larger, Hispanic Households Are Key Buyers of Cat Treatments
  • Table 5-36: Purchasing Indices for Heartworm Control Products: By Adult Age Bracket, 2006 (U.S. dog- or cat-owning households)
  • Table 5-37: Purchasing Indices for Heartworm Control Products: By Gender, 2006 (U.S. dog- or cat-owning households)
  • Table 5-38: Purchasing Indices for Heartworm Control Products: By Race/Ethnicity, 2006 (U.S. dog- or cat-owning households)
  • Table 5-39: Purchasing Indices for Heartworm Control Products: By Household Income Bracket, 2006 (U.S. dog- or cat-owning households)
  • Table 5-40: Purchasing Indices for Heartworm Control Products: By Household Size, 2006 (U.S. dog- or cat-owning households)
  • Table 5-41: Demographics for Purchasing of Heartworm Control Products for Dogs, 2006 (U.S. dog-owning households)
  • Table 5-42: Demographics for Purchasing of Heartworm Control Products for Cats, 2006 (U.S. cat-owning households)
• Consumer Focus: Cat Litter
  • Indicators for Above-Average Use
  • Younger Pet Owners Purchase Crystals
  • Fresh Step, Scoop Away Attract Affluent Households
  • Table 5-43: Purchasing Indices for Cat Box Filler/Litter: By Adult Age Bracket, 2006 (U.S. cat-owning households)
  • Table 5-44: Purchasing Indices for Cat Box Filler/Litter: By Gender, 2006 (U.S. cat-owning households)
  • Table 5-45: Purchasing Indices for Cat Box Filler/Litter: By Race/Ethnicity, 2006 (U.S. cat-owning households)
  • Table 5-46: Purchasing Indices for Cat Box Filler/Litter: By Household Income Bracket, 2006 (U.S. cat-owning households)
  • Table 5-47: Purchasing Indices for Cat Box Filler/Litter: By Household Size, 2006 (U.S. cat-owning households)
  • Table 5-48: Demographics for Purchasing Cat Box Filler/Litter, 2006 (U.S. cat-owning households)
  • Table 5-49: Demographics for Purchasing Scoopable Cat Box Filler/Litter, 2006 (U.S. cat-owning households)
  • Table 5-50: Demographics for Purchasing Regular (Not Scoopable) Cat Box Filler/Litter, 2006 (U.S. cat-owning households)
  • Table 5-51: Demographics for Changing Cat Box Filler/Litter Two or More Times Weekly, 2006 (U.S. cat-owning households)
• Consumer Focus: Pet Food Supplements
  • Hispanics Post Index of 166
  • Table 5-52: Demographics for Purchasing Pet Food Supplements/Vitamins, 2006 (U.S. pet-owning households)
• Retail Channel Trends by Type of Pet Supply
  • Supermarkets Disproportionately Attract Cat Litter Customers
  • Scoopable Litter Purchasers Are Prone to Pet Stores
  • Clay Litter Users More Likely to Shop at Discount Stores
  • Supplement Users Over-Index as Online Shoppers
  • Table 5-53: Pet Supply Purchasing Rates by Retail Channel: By Pet Supply Type, 2006 (U.S. pet-owning households)
  • Table 5-54: Total Number of Pet Supply Purchasing Households by Retail Channel: By Pet Supply Type, 2006 (U.S. pet-owning households in thousands)
  • Table 5-55: Pet Supply Purchasing Indices by Retail Channel: By Pet Supply Type, 2006 (U.S. pet-owning households)

Chapter 6: Looking Ahead

• Trends and Opportunities
  • All Things Premium
  • Focus on Convenience and Travel Products
  • Riding the Natural Wave
  • Senior Pets to Become a Key Market Focus
  • Riding the Health Product Wave
  • Pet Accessories, Fashions Emerging as “Separate Market”
  • Brand Building: Essential
  • Premiumized Private Labels
  • Tapping into Non-Traditional Retail Channels
  • Internet Out Front
  • Ongoing Market Consolidation
  • Demographic Targeting
  • Figure 6-1: Share of U.S. Population Growth for Selected Racial/Ethnic Populations, 2005-2010 (percent)

Appendix: Addresses of Selected Marketers