Petfood Industry - March 2020 - 45

www.PetfoodIndustry.com | 45

supermarket or discount store pet product customer
base. Discount stores, moreover, are doing the
better job of keeping their pet product customers
in-house.

But two key developments, both intertwined with
e-commerce, help explain this outcome. 
First, mass retailers now feature very premiumized pet foods, including on-trend mass-market
brands such as Rachael Ray Nutrish, Mars' CRAVE,
Walmart's Pure Balance, channel-straddling Freshpet
and formerly specialty channel-only Blue Buffalo and
Nutro. The shift of pet food purchasing and sales
growth to the internet, which is no respecter of the
specialty vs. mass-market divide, undercuts the motivation of specialty brands to maintain that distribution
distinction.
Secondly, while e-commerce has clearly grown
the overall market and not merely cannibalized sales,
there has nonetheless been an element of robbing pet
stores to pay Paul. Simmons data show that, at the
brick-and-mortar level, pet superstores have taken
the most direct hit from e-commerce, based on the
number and percentage of their customer base who
also buy pet products online.
„	 The share of overall dog- or cat-owning households
that shop for pet products both at PetSmart/Petco
and online rose from 6.3% in 2014 to 13.5% as of
2019, thereby growing to account for a third (33%)
of PetSmart/Petco customers (see Table 1).
„	 The share of overall dog- or cat-owning households
that shop for pet products at either supermarkets
plus also online, or at discount stores plus also
online, has also grown, but not as sharply: these
customers account for a fifth (19-20%) of current

E-commerce effects on pet food
brands
Moreover, pet product e-commerce is not only
recasting pet food sales patterns across channels,
but also impacting which types and brands of pet
foods are now in the catbird seat on brick-and-mortar

For more on Packaged Facts'
new "U.S. Pet Market Outlook
2020-2021"
https://bit.ly/2RYslJ9
shelves. In one version of everything old being new
again, it's not "natural" pet foods but science- and
vet-positioned brands such as Pro Plan (Purina), Royal
Canin (Mars) and Hill's Science Diet (Colgate-Palmolive) that are in the sales growth spotlight, as pet
specialty retailers reset their product mix to re-differentiate from the mass market, often (and not always
lovingly) at the expense of specialty brands that have
crossed over to the mass side.
This trend dovetails with the ever-deepening "omnimarket" relationship between pet product kingpins

SELECTED RETAIL, E-TAIL CHANNEL SHOPPING PATTERNS FOR PET PRODUCTS
(% OVERALL DOG/CAT PRODUCT SHOPPERS)
2009

2014

2019
% of brick
and mortar
channel
Households pet product
(x 1,000)
shoppers

%

Households
(x 1,000)

%

Households
(x 1,000)

%

Online

6.6

3,745

8.6

5,369

23.9

15,482

--

PetSmart/Petco + online

5.0

2,808

6.3

3,913

13.5

8,726

32

Supermarkets + online

2.5

1,396

3.8

2,367

8.7

5,631

20

Discount stores + online

3.2

1,835

2.8

1,713

4.0

2,568

19

Source: MRI-Simmons Simmons National Consumer Surveys summer 2009, summer 2014 and Summer 2019; Packaged Facts. This material is used with permission; all rights reserved.

Table 1: Omnimarket purchasing patterns for pet products continue to grow in popularity as more pet owners look to
both online and offline buying options for their needs.
Industry March 2020

2003PETmarket.indd 45

2/26/2020 3:00:47 PM


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Petfood Industry - March 2020

Table of Contents for the Digital Edition of Petfood Industry - March 2020

Petfood Industry - March 2020
Contents
US pet food market update: winners and losers
Speaking of…
News and Calendar
Heed Foods focuses on dog gut health to differentiate
Premium pet foods’ mass market retail success stories
Latin America pet food update: Growth in Mexico, online
Petfood Forum tackles market forces, sustainability, CBD
The future of US pet food labeling
Apple cider vinegar: Natural ingredient for pet foods?
2020 pet product sales growth hindsight
New Products
Marketplace
Advertiser’s Index
Petfood Industry - March 2020 - CT1
Petfood Industry - March 2020 - CT2
Petfood Industry - March 2020 - Petfood Industry - March 2020
Petfood Industry - March 2020 - Cover2
Petfood Industry - March 2020 - 1
Petfood Industry - March 2020 - Contents
Petfood Industry - March 2020 - 3
Petfood Industry - March 2020 - US pet food market update: winners and losers
Petfood Industry - March 2020 - 5
Petfood Industry - March 2020 - Speaking of…
Petfood Industry - March 2020 - 7
Petfood Industry - March 2020 - News and Calendar
Petfood Industry - March 2020 - 9
Petfood Industry - March 2020 - Heed Foods focuses on dog gut health to differentiate
Petfood Industry - March 2020 - CT3
Petfood Industry - March 2020 - CT4
Petfood Industry - March 2020 - 11
Petfood Industry - March 2020 - 12
Petfood Industry - March 2020 - 13
Petfood Industry - March 2020 - 14
Petfood Industry - March 2020 - 15
Petfood Industry - March 2020 - Premium pet foods’ mass market retail success stories
Petfood Industry - March 2020 - 17
Petfood Industry - March 2020 - 18
Petfood Industry - March 2020 - 19
Petfood Industry - March 2020 - 20
Petfood Industry - March 2020 - 21
Petfood Industry - March 2020 - 22
Petfood Industry - March 2020 - 23
Petfood Industry - March 2020 - Latin America pet food update: Growth in Mexico, online
Petfood Industry - March 2020 - 25
Petfood Industry - March 2020 - 26
Petfood Industry - March 2020 - 27
Petfood Industry - March 2020 - 28
Petfood Industry - March 2020 - 29
Petfood Industry - March 2020 - 30
Petfood Industry - March 2020 - 31
Petfood Industry - March 2020 - 32
Petfood Industry - March 2020 - 33
Petfood Industry - March 2020 - Petfood Forum tackles market forces, sustainability, CBD
Petfood Industry - March 2020 - 35
Petfood Industry - March 2020 - The future of US pet food labeling
Petfood Industry - March 2020 - 37
Petfood Industry - March 2020 - 38
Petfood Industry - March 2020 - 39
Petfood Industry - March 2020 - Apple cider vinegar: Natural ingredient for pet foods?
Petfood Industry - March 2020 - 41
Petfood Industry - March 2020 - 42
Petfood Industry - March 2020 - 43
Petfood Industry - March 2020 - 2020 pet product sales growth hindsight
Petfood Industry - March 2020 - 45
Petfood Industry - March 2020 - 46
Petfood Industry - March 2020 - 47
Petfood Industry - March 2020 - New Products
Petfood Industry - March 2020 - 49
Petfood Industry - March 2020 - 50
Petfood Industry - March 2020 - 51
Petfood Industry - March 2020 - 52
Petfood Industry - March 2020 - 53
Petfood Industry - March 2020 - Marketplace
Petfood Industry - March 2020 - 55
Petfood Industry - March 2020 - Advertiser’s Index
Petfood Industry - March 2020 - Cover3
Petfood Industry - March 2020 - Cover4
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