Pet Product Marketing During the Coronavirus
Find out how the coronavirus pandemic has impacted pet product sales, and how your pet product marketing can take advantage of opportunities. In the past, marketers thought of pet product marketing as reliably recession-resistant. According to Pet Food Industry, an industry journal, that proved true both after 911 and during the Great Recession of 2008. In contrast, industry forecasters do expect to see at least a temporary drop in some pet product sales during the coronavirus crisis. Of course, pet owners still need to feed and care for Fluffy and Fido. Because of this, not all kinds of products will suffer, and the market should rebound by next year. In fact, some brands have continued to do quite well during the crisis. Take a minute to understand the state of the current market and how a pet product marketing agency or retailer can appeal to customers. Challenges to pet product marketing during the coronavirus These are some recent recent forecast for U.S. retail sales for pet product marketing and sales that Pet Food Industry published: Post-pandemic forecasts assume a 17 percent drop in U.S. retail sales of pet products for 2020 to 2021. Before the pandemic, those same forecasts predicted a five percent increase. If true, these declines will translate into about $18 billion less revenue in 2020 than in 2019. The forecasts do predict that the market will begin to recover in 2021. This rebound underscores the strength of the market for pet food and other pet products in the United States. Pet product marketing opportunities during the coronavirus crisis While forecasters expect pet product marketing to struggle during the next year, some kinds of products may not suffer as much. For example: Industry analysts believe non-medical pet services, vet services, and non-food pet supplies will have the largest drops. On the other hand, these same forecasters expect non-discretionary product sales to maintain modest growth. Non-discretionary products include such necessary items as pet food and cat litter. Even with these need-to-have items, expect to see consumers looking for value by turning more to sales and in some cases, store brands. Pet ownership may actually increase during COVID-19 Packaged Facts provides industry research for several industries, including pet products. Their research director, David Sprinkle, believes that U.S. pet ownership might even increase during this crisis. He said that happened during the Great Recession of 2007 to 2008. It’s even more likely to happen now because pets can provide comfort and companionship during these times of social isolation measures. As more people have switched to remote work, they may also feel they have more time to care for a pet. Surges expected for eCommerce pet product sales Even before the current crisis, eCommerce sales of pet products had begun to grow at a steady pace. As with other packaged goods, the online part of the market has continued to climb during the outbreak. Consumers may feel reluctant to leave their homes to shop as much and might even have trouble finding their favorite brands reliably stocked in stores. In addition, once pet owners find an eCommerce retailer who offers competitive prices, they often decide that ordering pet products online provides them with convenience and affordability. In any case, Packaged Facts expects the online share of the market to reach 24 percent in 2020 and over 26 percent by 2021. Maintaining and growing sales during the coronavirus pandemic A pet product agency can take some comfort in the potential growth in pet ownership and a strong demand for such essential pet supplies as food and cat litter. While other niches may slump somewhat, they won’t completely drop off and are expected to resume growing again by next year. Based on these insights for the current state of the industry, businesses can take some steps to position their own pet business better. For instance, good tactics might include offering competitive prices for essential pet products to attract and keep customers. Those same customers are still likely to consider some discretionary pet purchases. Maintaining or creating pet products brand loyalty At least when it comes to pet food, most owners tend to remain pretty loyal to certain brands. If their pet appears to like a certain kind of food and that food keeps them healthy, their owners will generally keep buying it. As most pet owners know, switching brands can take a period of adjustment, so that’s something most people would rather avoid. A survey from Civic Science found that even during the pandemic, just about three-quarters of pet owners had more concerns about pet food quality than price. As an interesting note to help develop buyer personas, women, people who cook a lot for themselves, and older people appear most concerned about quality. Dog owners seemed somewhat more concerned than cat owners. People who value quality the most will tend to turn to online retailers; however, people who also value patronizing locally owned businesses also tend to care a lot about quality. This also suggests that locally owned business could have a good chance to grow their business with online ordering options. To dig a little deeper, the survey also asked these pet owners some specific questions about their buying behavior: Brand vs. price: Where 40 percent said brand mattered more than price, only 14 percent said price mattered more. To be fair, almost half of the survey respondents said that they considered price and brand just about equally important. Unsurprisingly, typical consumers would rather save money but not at the expense of quality. Sources: About 55 percent of the respondents said they bought their pet food at the store. Of these, 43 percent shopped at either a grocery or discount store and 28 percent purchased from a local or chain pet store. Online sales from Amazon and other online retailers captured about 29 percent of sales. In conclusion, pet owners do tend do demonstrate brand loyalty. On the other hand, most of these consumers would prefer to find a good deal
Not a Pet, But a Family Member: The Evolution of Pet Marketing
Pets have graduated to full-fledged family members. Here’s what brands need to know to ensure their pet product marketing is keeping pace. Pets aren’t really pets anymore. Today, many people are more likely to regard themselves as “parents” rather than “owners” of their animals — and they want the very best for their children. Pet product marketing needs to reflect this cultural change — and brands that fail to adapt will soon fall out of favor with pet-crazed consumers. Trending towards humanization One stroll through a pet store or a dog park will tell you everything you need to know about how the treatment of pets in society has evolved. A generation or two ago, parents would often purchase or adopt a dog or a cat “for the children” and then provide the animal with the bare minimum level of care and attention. Today’s pets are comparatively lavished with attention, and there are a few reasons for this shift. First, millennials have delayed marriage and child-rearing longer than any previous generation, largely due to economic uncertainty. Pets serve as “proxy children” or “starter children” for many people in this segment. Second, the proliferation of social media has created a situation where everyone wants to document and share their lives – and pets play a major role in this. Open up Instagram, Facebook or any other social app, and you’ll be deluged with animal photos. Pet ownership numbers have also sharply increased, rising from 56% to 68% over the last three decades. As you might expect, younger people are overrepresented in pet ownership, accounting for 62% of all pet owning households. How the pet industry – and pet ownership – are evolving Changing cultural dynamics around pet ownership are reflected in larger trends inside the pet industry. Let’s take a closer look at a few of the most important trends, and how pet product marketing is adapting. Direct to consumer pet boxes Brands have used the DTC subscription box model to great effect, as it allows consumers to feel like they are receiving a gift in the mail each month and doesn’t require driving to a brick and mortar shop. This model has been especially successful in the pet sector; brands such as Bark have experienced fast growth by shipping curated boxes of dog treats and toys direct to consumer doorsteps. Elevated pet food The days of feeding pets undifferentiated food brands of questionable quality are over. Today, pet owners are buying pet food much in the same way they purchase human products — and pet food marketing should reflect this. Witness the recent craze over grain-free dog food, which mimics in some ways the “gluten-free” craze of the last few years. TV for dogs Pet parents are understandably worried about leaving their animals alone for extended periods of time. Dog TV — a new network that creates dog-centric television programming – purports to solve this problem. When you depart for work in the morning, you can position your dog in front of the TV screen, where he can watch hours of programming calibrated to his interest and level of understanding. Dating apps for dog lovers People have famously highlighted pet photos in their Tinder profiles for years, but Dig takes this to the next level. Dig is a dating app for dog lovers that helps set up canine-friendly dates. Unlike other dating apps, women outnumber men by a significant portion on Dig, which gives the app another interesting wrinkle. Finding the right pet care marketing agency Most pet product marketing agencies produce campaigns that are all bark with no bite. Bigeye is different – we’re a team of talented creatives, tech wizards and strategic thinkers, and we all have one thing in common: We love pets, and we’re great at producing high-level pet industry market research. Come visit our website, and we’ll be sure to show you a few tricks to help you catalyze your next pet product marketing campaign.
How to Best Market Your PetTech Product
Tech is changing virtually every consumer industry, and pet products are no exception. Here’s what you need to know about tech pet product marketing. Thanks to the power connected devices, AI, and wearable tech, we can customize and optimize our diet, our workout regimen, and even our sleep. The human quest for better living through optimization doesn’t stop at our own bodies, however: PetTech products are helping to do the same for our beloved animals. Powered by the right pet product marketing campaign that’s supported by sophisticated audience analysis, these devices are fast becoming essential equipment for pet lovers. Welcome to the PetTech era All of us want to live longer and stay healthier — and wearables are playing a key part in making that happen. Wearable medical devices allow us to collect critical health data that can be used diagnostically to help guide treatment decisions and foster better lifestyle choices. Pets, too, are benefitting from this shift. Today, a wide range of PetTech devices are available to consumers, including: Smart collars and other GPS tracking devices to ensure pets aren’t lost Smart pet doors with remote activation Smart crates that have soothing music playlists and sensor-activated fans for climate control Wearables that can sense food temperature, send out alerts for upcoming vet appointments, and even adjust indoor lighting for pet comfort Wearables that help reduce anxiety or control problematic-stress induced behavior (such as chronic barking) Smart balls that can be operated via remote control Medical diagnosis and treatment devices that use RFID hardware chips to track medical history, past vaccinations and treatments etc. The development of today’s PetTech devices couldn’t come at a better time. Pets in the U.S. are in the midst of an obesity epidemic. It’s estimated that 59% of cats and 54% of dogs are overweight or obese — a stunning figure that has risen sharply in recent years. Though we’ve elevated the status of pets inside our homes and have begun treating them like family, we’ve also overfed them to such a degree that 100 million U.S. pets are now overweight. PetTech devices can play an integral role in helping manage and prevent pet obesity and other serious health issues. In order to get these devices into consumer hands, however, it’s imperative for brands to have access to compelling pet product marketing. How to market PetTech products The numbers don’t lie: PetTech is booming. In 2008, there was a single venture capital deal for PetTech products. In 2018, VCs invested $579 million in 33 separate PetTech deals. Consumers, meanwhile, are spending nearly $500 million annually within this product category. So how should a brand ensure its pet product marketing is on point? By considering the following: Cover the marketing basics: Complete an audience analysis; exhibit at industry specific shows; focus on industry specific media; build a social strategy and brand identity, etc. Understand that today’s “pet parents” are seeking PetTech devices largely for one reason: They are deeply motivated to improve every aspect of their animal’s life. They view their pet as a family member and exhibit the same sense of responsibility toward their pet. Marketing messages should focus on how the product harnesses technology to make specific, measurable improvements in an animal’s life. Today, pet parents have a deeper emotional bond with their animals and respond to emotionally rich marketing. While technology itself may not be perceived as “soft and cuddly” or emotionally resonant, there’s no reason why marketing messages have to leave audiences cold. The humanization of pets has been great for animals — yet it has also placed expanded responsibilities on pet parents. Keeping a pet today requires much more work and attention. How does your PetTech product help ease this burden? Pet product marketing should consider both the emotional and practical elements of keeping a pet. Connecting with the right pet product marketing agency If you’re seeking great package design or branding to elevate your PetTech offering, BIGEYE is the right partner for you. Reach out to us today to learn more about what a creatively inspired marketing campaign can do for you.