Posted: July 18, 2012, 6:30 p.m. EDT
A newly released report by the market research firm Packaged Facts found that total U.S. retail sales of non-food pet supplies hit $11.1 billion in 2011, an increase of 2 percent from 2010.
Though down from a 5 percent increase in 2007, growth in the pet supplies segment is forecast to continue rising through the rest of 2012 and beyond, Packaged Facts reported.
The report, “Pet Supplies and Pet Care Products in the U.S.,” forecasts an uptick in business as the economy improves and pent-up consumer demand is released.
The human-animal bond helps drive demand for more expensive premium products, Packaged Facts stated. Add the presence of upper-income households willing to spend freely on pet supplies, plus growing numbers of dogs and cats, and there is a lot to get excited about, the company noted.
Close partnerships with retailers are more essential than ever for a product marketer hoping to thrive in the U.S. pet supplies market, said David Sprinkle, publisher of Packaged Facts.
Some of these relationships are so close, he said, that the brands they sell could become private labels. The best example is PetSmart’s “exclusive brand” strategy, which includes affinity arrangements with brands and marketers including Martha Stewart, Kong, GNC, Toys “R” Us, and Bret Michaels.
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