As the pet food and animal health retail sector experiences unprecedented growth and increasing competition, staying ahead of the curve is crucial for companies aiming to stand out. Claire Obertin, Market Research Associate with Cleveland Research, brings a wealth of knowledge to this challenge, utilizing consumer survey insights and industry forecasts to foster strong business practices and enhance retailer relationships.
In her upcoming educational session at Petfood Forum on April 30 in Kansas City, Obertin will delve into the significance of understanding the current state of the pet retail industry and how insights gleaned from consumer surveys and forecasts can help companies implement best practices for sustainable growth.
“At Cleveland Research, we collaborate directly with top brands in the pet and animal health space, identifying trends and aggregating insights,” says Obertin. “Our consumer panel of 1,200 pet parents allows us to spot key inflections in shopping behaviors within the category.”
Obertin emphasizes the importance of recognizing where a company fits into the evolving pet retail landscape and how this awareness, backed by consumer survey insights and industry forecasts, can lead to the implementation of best practices and improvements in retailer relationships.
Two notable trends identified by Obertin are the strength of mass merchandisers, particularly Walmart, and the rising prominence of eCommerce platforms like Amazon and Chewy. Consumers, seeking value-oriented retailers for pet food purchases, are expected to continue favoring these channels throughout 2024 and 2025.
According to Obertin, pet food brands need to develop omnichannel strategies, engaging with consumers both in-store and online, addressing concerns such as food quality, health, nutrition, and overall value.
Additionally, she highlights the trend of consumers budgeting their pet food purchases, opting for smaller pack sizes while remaining brand loyal. Interestingly, the fresh/frozen/raw food segment shows relative inelasticity, with strong growth projections for premium consumers in 2024.
To succeed in the fast-paced pet food industry, Obertin suggests three best practices:
Invest with winners: Be prepared for ongoing investment requests even as sales growth slows. Large accounts are looking to capitalize on momentum for incremental funding in 2024.
Promotions: Expect an intensified promotional environment in 2024. Brands should be able to justify their approach, whether returning to a high/low promotional cadence or opting for everyday low pricing (EDLP) investments.
Articulate value: Pet owners across channels seek value, necessitating a clear communication of a brand’s value statement for both hardgoods and consumables.
Obertin looks forward to sharing these insights at Petfood Forum, contributing to the industry’s knowledge base and providing key takeaways for 2024.
