Is A Pet-Based Business A Good Idea Now?

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(Newswire.net — January 21, 2014) Brisbane, QUEENSLAND — 

 

In an economy still recovering from the Global Financial Crisis, many pet-based business owners are wondering if their industry is a good idea.  According to Mark Moxom, author of Predictions for the Pet Business 2014 and Pet Business Success, the answer is ‘yes, it has never looked better’.

 

As one of the few industries virtually unaffected by the GFC, the pet industry has gone from strength to strength over the past few years.  In the US alone last year, the pet industry reported 3.5% growth (approximately $560 million), with over 14,000 businesses turning over $16 billion dollars.  These figures are expected to continue growing, with an estimated increase of 4.5% ($640 million) predicted in the coming financial year.  This profit is split into three categories: food 51%, non-food supplies such as toys and bedding 32%, and services 11%.  Whilst big name companies such as PetSmart and PetCo take up 40% and 20% of the market respectively, independent companies are also growing, currently accounting for 40% of the market.

 

Currently, there is one main consumer group responsible for this trend. This group, referred to by Moxom at http://PetBusinessSuccess.com as the ‘Empty Nesters’, are the 35-55 year olds without children at home, who use their canine and feline companions as surrogate offspring.  Currently dominating the industry with 30% of total sales, these parents of pampered pooches are willing to spend their disposable income on their pets, ensuring them the highest quality of life and sparking numerous trends and niche market opportunities.  Some outlined by Mark in his Predictions for the Pet Business 2014 video series and book include:

 

  1. Humanizing pets – once sharing photos of their children on social media, pet owners are now doing the same for their animals.  One popular new trend is making Instagram accounts impersonating their pets.  Usually named with the pet’s name and breed, these social media accounts not only provide a bragging platform for sharing their furry family members, but also allow communication between other fans of the breed, thus creating a supportive and informative community to share and promote.
  2. Push to natural and organic products – like the human fight against obesity and a healthier lifestyle, the same principle is being applied to the pet food industry, allowing niche products being developed for a number of dietary requirements.  These have included aging pets, neutered pets, gluten free and even vegan pet food lines being developed, enabling a number of growth opportunities for the pet industry.

 

Mark Moxom’s articles can be found at http://petbizprofits.com and he currently has two published Pet Business Marketing books. Mark is releasing a series of podcasts shortly about maximizing business outcomes in the pet business.

 

PetBiz Profits

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