Extra treats: As the number of pets increases, so will demand for industry products

The Pet Food Production industry is dominated by brands like Purina and Cesar, which are produced by Nestle and Mars, respectively. The industry produces a staple product for individuals that have cats and dogs; however, wet pet food is more expensive and can be easily substituted for cheaper dry pet food. When disposable income is higher, consumers often spend more money on their pets and purchase more of this product. Major players compete on price, quality, ingredients and nutrients...purchase to read more.

Industry Statistics & Market Size
Revenue
$27bn
Annual Growth 11-16
3.5%
Forecast Growth 16-21
Profit
Employment
19,273
Businesses
685

Industry Threats & Opportunities

  • The growing prevalence of pet parents will continue to prove beneficial for the industry
  • Pet ownership has served as an alternative to outright parenthood for some couples
  • Industry revenue growth is anticipated to outpace industry export gains over the next five years
  • Industry Report - Industry Investment Chapter

    The Pet Food Production industry has a high level of capital intensity. Like most manufacturing industries, investments into automation machinery have failed to completely offset the cost of human labor. Human inputs remain necessary for tasks like quality control and visual inspection. In particular, research and development of new pet foods promising specific enhancements for animals (e.g. foods targeted by age or animal size) as well as foods boasting all-natural and organic ingredients require highly skilled engineers and chemists. Nevertheless, automation machinery is costly, which contributes to high capital intensity. In 2016, for every dollar spent on labor the industry is expected to spend $0.48 on capital investments...purchase to read more.

    Additional Insights for the Pet Food Production Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Pet Food Production Industry are

  • Effective quality control
  • Access to high-quality inputs
  • Production of premium goods and services
  • IBISWorld analysts also discuss how external factors such as Per capita disposable income and Number of pets (cats and dogs) in the Pet Food Production industry impact industry performance..

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    What's in this report

    What is the Pet Food Production Industry?

    This industry primarily manufactures dog and cat food. Common ingredients include grains, oilseed mill products and meat products. This industry concentrates on dry and semi-moist dog and cat foods in cans or packaged otherwise. Feed for farm livestock is not included.

    Industry Products
  • Dry dog food
  • Dry cat food
  • Wet dog food
  • Wet cat food
  • Dog treats
  • Cat treats
  • Natural and organic pet food and treats
  • Industry Activities
  • Producing dry dog food
  • Producing dry cat food
  • Producing natural and organic pet foods
  • Producing wet cat food
  • Producing dog treats
  • Producing wet dog food
  • Producing other dog and cat foods
  • Producing cat treats
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Per capita disposable income
  • Number of pets (cats and dogs)
  • Demand from grocery wholesaling
  • Demand from pet stores
  • Agricultural price index

  • Current Performance
  • Downstream demand
  • Pet parents
  • Profit and participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Pet population growth accelerates
  • Profit and participation
  • Table: Pet Food Production Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Pet Food Production Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Grocery Wholesaling
  • Supermarkets & Grocery Stores
  • Convenience Stores
  • Pet Stores
  • Consumers

  • Key Selling Industries
  • Corn Farming
  • Meat, Beef & Poultry Processing
  • Seafood Preparation
  • Soybean Farming
  • Vegetable Farming

  • Products & Services
  • Natural and organic pet food and treats
  • Dry dog food
  • Dry cat food
  • Dog treats
  • Wet cat food
  • Wet dog food
  • Cat treats
  • Chart: Pet Food Production Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Wholesalers
  • Pet stores
  • Supermarkets and grocery stores
  • Online pet food retailers and online sales
  • Exports
  • Chart: Major Market Segmentation for the Pet Food Production Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Pet Food Production

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Pet Food Production Industry

  • Industry Globalization
    Nestle SA, Mars Inc., The JM Smucker Company, Colgate-Palmolive Company,
  • Table: Nestle SA - financial performance
  • Table: Mars Inc. - financial performance
  • Table: The JM Smucker Company - financial performance
  • Table: Colgate-Palmolive Company - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Pet Food Production Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Pet Food Production Industry
    Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Exports (2007-2021)
  • Imports (2007-2021)
  • Wages (2007-2021)
  • Demand from pet stores (2007-2021)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Biofuel
  • An alternative energy source derived from organic matter, corn in particular.
  • Kibble
  • The most popular variety of dog food, typically produced by drying a mixture of animal protein, plant protein and carbohydrates.
  • Pet Parents
  • Pet owners who are enthusiastic about their pets and treat them as members of their family.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Pet Food Production can be used to help you understand the industry’s market size, growth potential and major companies. Five-year forecasts provide insight into the industry’s prospects, so you can make decisions with confidence. This information is perfectly suited to informing your business plans, pitch books, benchmarking and SWOT analysis.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Pet Food Production:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Pet Food Production market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Pet Food Production, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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