Industry Analysis & Industry Trends
For those with pets, pet food becomes indispensable in maintaining a animal's well-being. This factor kept revenue for dry pet food producers from falling drastically over the past five years. Revenue declines were the result of consumers refraining from purchasing new pets, causing a decline in the number of dogs and cats as pets in the United States. Over the next five years, consumers are expected to return to purchasing pets and pet food. In addition, wholesale bypass will allow dry pet food producers to sell products at lower prices directly to consumers, boosting demand for the industry.... purchase to read more
Industry Report - Industry Analysis Chapter
Over the past five years, the industry has faced some challenges relating to the recession. While sales of dry dog and cat food performed better than their wet counterparts, poor pet sales in 2008 and 2009 decreased the sale of dry dog and cat food in 2009 and is expected to continue into 2012. As a result, industry revenue is expected to decline at an average annual 1.9% per year to $9.8 billion in 2012.
Weak consumer spending and demand
Consumer sentiment and disposable income drive purchases of industry products, although at a delayed rate. When consumers feel good about the economy and have high disposable incomes, they tend to make discretionary purchases more often, including on animals... purchase to read more