Pet Food and Pet Care, even in the early stages of the COVID-19 emergency, were identified as non-deferrable activities and saw an increase in spending. The panic triggered by the health emergency and the stockpile effect prompted pet owners to make substantial purchases, even far exceeding the actual physiological needs of their pets. The Pet Food market has generated a sales growth curve with a trend very similar to that of other sectors-such as, for example, retail and FMCG.
The positive trend of the Italian pet food market continued in 2021, growing in 2020 compared to the previous year in both value (+4.2%) and volume (+2%), for a total turnover exceeding 2 billion euros.
This trend reflects another trend that was confirmed during the pandemic and seems to remain so in 2021: during the succession of lockdowns, the sense of loneliness has greatly increased, and this has prompted an increasing number of people to welcome “companion” animals into their homes, which have taken on an increasingly important role within families. In fact, according to the Assalco (National Association of Enterprises for the Feeding and Care of Companion Animals) – Zoomark Report, more than sixty million animals live in Italy today, including dogs, cats, small mammals, birds, fish and turtles.
Italy is seeing an aging population on the one hand, and an uncertain future for younger people on the other: these two trends affect the decrease in births on the one hand, and the increase in animal family entries on the other.
In fact, we no longer speak of pet owners, but of “parents,” who, as such, take care of their four-legged friends as if they were children, extending habits and lifestyles belonging to the family to them as well. Martha Stewart, a U.S. entrepreneur and master of the American lifestyle, together with various experts has compiled a list of pet-related trends that are making their way across the United States. Here are some that are also of interest to Italy:
- Growth in demand for more natural and high-quality foods;
- Increased demand for “fresh” food in addition to “dry,” cooked or frozen food;
- more purchases of pet-friendly household cleaning products, which are, that is, not harmful to one’s pet’s health and are appropriate to the hygienic and sanitary needs of those living in contact with an animal;
- Increase in veterinary insurance.
Sales channels for pet food and pet care
The sales growth curve in the Pet Food sector has also seen a similar trend to that of the LCC in terms of channel preference: decline for hypermarkets (due to movement restrictions imposed during the lockdown) and growth for supermarkets and neighborhood stores.
Complementing that of the large-scale retail trade, the offerings of specialty stores have also proved necessary, as these establishments market specific foods with particular nutritional purposes and veterinary drugs, intended primarily for companion animals with health problems (heart disease, hepatopathy, urinary system problems, etc…), as well as hygiene products and specific pesticides for disinfecting animals and the home environment.
Already starting from the first week of emergence, as in other sectors (one among all: pharmaceuticals-as well as large-scale retail, as noted earlier) and in parallel with the massive waves of purchases in physical stores, FMCG related to pet food and pet care saw a boom in online sales, with an increase of around +100% over the previous year in the first six weeks alone.
The e-commerce channel has grown increasingly popular, mainly because it has made it possible to maintain spacing, avoid long lines outside stores, and overcome distances that were not allowed to be traveled during the first lockdown, thus proving to be the safest mode of purchase.
As for dog and cat food, in March alone last year, online sales in the sector by generalist operators (such as Amazon and large-scale retail chains) grew by 220 percent compared to the same month in 2019, managing to reach the level of sales equal to 25 percent of total sales in 2019 in one month.
Pet supplies and hygiene products
According to data from IRI, a leader in market research and big data management, the pet care and daily pet management accessories sector is also growing, which in 2020, in the large-scale retail channel alone, saw an increase in value of 2.3 percent and in volume of 6.7 percent recording a total value of 72.8 million euros. In addition to food, the best-selling pet items were: hygiene products (mats, sanitary towels, wipes, shampoos, brushes, deodorants and other beauty products), toys, leashes, kennels, bowls, aviaries, aquariums, turtle tanks and miscellaneous utensils.
The hygiene products segment, in particular, remains the most significant, growing 14.7 percent year-on-year and accounting for just under 33 million euros. The pet toys segment is also significant, accounting for a total turnover of around 6 million euros (+1.7 percent compared to 2019).
Separately surveyed were cat litters, which saw value growth of 3.1 percent in 2020 over the previous year, with sales of more than 76 million euros in the retail channel alone.
