Pet Age Staff //November 16, 2016//
Nearly 80 million households in the U.S. have a pet, representing 60 percent of the entire population, and a large portion of consumer spending. In response, Acosta—a leading full-service sales and marketing agency in the consumer packaged goods (CPG) industry — released new research focused on the growing pet industry on November 10. The Hot Topic Report, “The Pet Parenting Boom,” is the first full insights report from the company solely dedicated to this nearly $30 billion industry.
“The pet category is an important one, as its total sales surpass popular categories, such as dairy and candy,” said Colin Stewart, Acosta’s senior vice president. “Fortunately for brands and retailers, the two largest generations—Baby Boomers and Millennials—also represent the two biggest age groups for pet ownership, which means we can expect continued growth in this category, especially since Millennials are just now entering their prime spending years.”
Acosta’s “The Pet Parenting Boom” also explores the category as not just an economic trend, but also a cultural one, providing insight on the following:
Who are pet parents?
A deep emotional connection between consumers and their domestic animals has helped steer the idea that pet owners are more like parents.
What are pet parents buying?
When it comes to spending for pet owners, the well-being of their animals plays an important role, but so does their own definition of necessities. Boomers consider toys and treats nonessentials, while Millennials—who are more likely to splurge on pet fashion—label them as necessities.
Where are they shopping?
As pet families continue to grow, so does the retail pet channel. Nearly half of pet owners will remain loyal to their preferred brand of pet food, regardless of coupons or deals, but they do take advantage of digital tools such as retailer websites or apps to search for sales.
“Pet owners shop for their animals much in the same way they shop for themselves,” Stewart said. “Retailers can apply key best practices in grocery to the retail pet channel as well, including appealing to Millennials, emphasizing health and wellness, and improving convenience to increase shopper loyalty.”
“The Pet Parenting Boom” was compiled using research conducted by Acosta, as well as the company’s experience working with the nation’s largest CPG manufacturers and retailers. To access additional pet parenting insights, download the full Hot Topic Report by visiting www.acosta.com/hottopicreports.