pulse report pet q3 2013

8/13/2019 Pulse Report Pet Q3 2013

1/20

PULSE REPORT

IRI Pulse Report Pet

Welcome to the Pulse Q3 2013 edition for pet. We hope you find it

useful. Please do not hesitate to contact us if you have any questionsor comments at E.!ar"etin#$IRI%orld%ide.com.

Q3 2013

IRI%orld%ide.eu


2/20

PULSE REPORT

&'out the Report

2

(his pet report is one of ten super cate#ory reports desi#ned to sho% hi#h)level comparison

and analysis for retail mar"ets across ma*or countries in Europe.

(his report contains data #athered from around Europe. (his mar"et %as split into the

follo%in# cate#ories+ do# food, cat food, other pet food and pet accessories.

(he report hi#hli#hts "ey metrics such as total sales fi#ures, mar"et trends, cate#ory

shares, %inners and losers for Europe and for individual countries.

(he data has 'een sourced from IRI retail data'ases and Eurostat, the statistical 'ranch of

administration for the European -ommission.

(he countries included in the report are+ rance, /ermany, Italy, the etherlands, pain

and the nited in#dom ..4.

(he mar"et channels used for each country in this report are as follo%s+

Country Channels used

5ypermar"ets, supermar"ets, dru# stores and impulse outlets

E5ypermar"ets, supermar"ets, hard discounters, and dru# stores,includin# the -anary Islands

6E 5ypermar"ets, supermar"ets, hard discounters and dru# stores

7 5ypermar"ets, supermar"ets, hard discounters and dru# stores

I(5ypermar"ets, supermar"ets, small self service, hard discounters anddru# stores

R 5ypermar"ets and supermar"ets

or analytical purposes, the data sourced from availa'le retail data'ases has 'een

consolidated to provide consistent results. 5o%ever, for some countries it has not 'een

possi'le to source data pertainin# to certain cate#ories. When this occurred, it has 'een

documented in the 8notes9 section found at the end of the report.


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PULSE REPORT

:n the Radar

3

ECONOMIC FIURES INFLUENCIN CONSUMER !E"#$IOR

ource+ Eurostat, eptem'er 2013

The pet macro-category was not hit very hard by theeconomic recession. Its value growth across Europe inQ3 2013 stayed positive, but is definitely slowing downat +2.0%, which is slightly lower than the growth of Q22013 (+2.1%). The pet macro-category, generallyspeaking, does not grow like it used to in the past, but itstrend is still better, or at least in line with, the trend ofFMGC products.Value growth is driven by an increase in prices more sothan by an increase in volumes. Price inflation and more

premium sectors in small sizes matter to this valuegrowth.Different tendencies coexist. Smaller premium productsgrow together with convenience products by privatelabels in most countries.

POPUL#TION INMILLIONS

UNEMPLO%MENT&'(

#$ER#E 12MONT"S

INFL#TIONR#TES )P IN MILLIONS &*(

;an.2012

;an.2013

ep.2013

&vera#e2012

ep.2013

&vera#e2012 2012

2013Estimate4

Fran+e ,-.3 ,-., 11.1 10.2 /1.2 /2.- 2 032 2 2 0- 3-

erany 0.3 0.- -.2 -.- /1. /2.4 2 ,44 200 2 ,4 4

Italy -.3 -., 12.- 10. /1. /3.- 1 -,- 1, 1 -, 3

Netherlands 1,. 1,. .0 -.3 /3.1 /2. ,00 ,3 ,04 4-

S5a6n 4,. 4,. 2,., 2-.0 /2.3 /2.3 1 04 -2- 1 0-1 0,

Un6ted76n8do

,3.4 ,3. .- . /2. /3. 1 01 001 1 -4 20


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PULSE REPORT

-2 -30 -- --, -3- --

131 134 142 141 142144,

3 0 111200

22 30, 31, 302 2

311

-0 -21-4 -2, 4

-21

4 4-3-

-1, 40

-04

0

-00

1 000

1 -00

2 000

2 -00

019:u6l.912 019o+t.912 309d;+.912 319ars913 309:u6n913 29se5t.913

M6ll6ons

Per6od End6n8

Fran+e

erany

Italy

Netherlands

S5a6n

U.7.

/7:chan#e rate of?1.1@0 to the pound

/.4'

/2.'

/0.0'

TOT#L PET $#LUE S#LES FOR T"E L#ST SI= QU#RTERS

ource+ IRI retail data'asesA Period endin# 2B eptem'er 2013


5/20

PULSE REPORT

C 32D

E2C

3 1FD

31C

1.@ )[email protected]

-at.ood

6o#

.oo

d

Pet

&ccessorie

s

:therPe

t

.ood

M6ll6ons

(otal ? ales G ? vs. H&

B.@G

@0.1G

3F.DG

3.FG

-at ood 6o# ood Pet &ccessories :ther Pet ood

Europe

-

3 1FD

E2C

31C

C 32D

Euros6nM6ll6ons

C#TEOR% $#LUE S#LESIN T"E L#ST %E#R

C#TEOR% S"#RE OF $#LUEIN T"E L#ST %E#R

Europe includes+ rance, /ermany, Italy, etherlands, pain and the nited in#dom

TOP - C#TEORIES> E$OLUTION

alue sales ?4 and G chan#e vs. year a#o


7E% TREN)S

(he value of the European mar"et #re% 'y

2.0G across the si> countries in the year

endin# Q3 2013. (his is sli#htly %orse than

the #ro%th of the year endin# Q2 2013

2.1G4, so Europe continues to slo% do%n.

pain, the .. and rance are confirmed as

the top countries for #ro%th in the year

endin# Q3 2013.

-at food remains the core 'usiness and the

trendsetter of pet care, sho%in# the fastest

#ro%th after pet accessories. 6o# food is

also #ro%in#, 'ut at a much slo%er pace.

(he #ro%th of pet accessories is definitelypositive, %hilst other pet food stays

ne#ative.

(he mar"etplace continues to 'ecome more

competitive for 'randed products, due to

increased promotional activity and the

further #ro%th of private la'el.


6/20

PULSE REPORT

Europe

,

C#TEOR% 7E% F#CTS

(he main contri'utor to the #ro%th of pet care across Europe is cat food JBD.3 million ?4,

%hilst a smaller 'ut relevant contri'ution comes from do# food [email protected] million ?, %here the

driver is snac"s and treats4 and a visi'le contri'ution also comes from pet accessories.

(he do# snac"s and treats se#ment is 'ecomin# increasin#ly more important and si#nificantdue to its #ro%th in value and volume in all European countries.

Wet cat sin#le serve, and to a lesser e>tent dry cat food, is the driver for cat food and %here

'rands are investin# the most.

(he main point of innovation 'y ma*or 'rands is on premium tastes in small siKes or ne%

user friendly pac"a#es. o real ne% concepts or innovations entered the mar"et, unless %e

consider the #ro%in# importance of the Loral careM concept in snac"s and treats, %hich %as

introduced some years a#o.

Private la'el is #ro%in# across most of the mar"ets and represents a cheaper 'ut accepta'le

alternative offer compared to ma*or 'rands in the tou#h economic times %e9re livin# in.

Pet care appears to 'e an increasin#ly polarised cate#ory. Economy products are #ro%in#

private la'el4 as %ell as premium products in small siKes. (he shopper is not unique and the

shopper of do# food may 'ehave very differently from the shopper of cat food. o, a "ey

challen#e for manufacturers is to develop proper ad hoc actions in different cate#ories.

Europe includes+ rance, /ermany, Italy, etherlands, pain and the nited in#dom


TOP LOSERS> $#LUE S#LESC"#NE $S. %R. #O &*(

TOP ?INNERS> $#LUE S#LESC"#NE $S. %R. #O &*(

BD.3

[email protected]

2E.E

0 20 40 ,0 0 100 120

Cat Food

)o8 Food

Pet

#++essor6es

M6ll6ons

) C.B

9, 9- 94 93 92 91 0

Other PetFood

.

M6ll6ons


7/20

PULSE REPORT

rance

Euros@

6nM6ll6ons






1F.@G

CF.3G

30.BG

F.2G


F21

332

12@

B31

B31

332

F21

12@

1.1 [email protected]

-at.ood

6o#

.ood

Pet

&ccessories

:therPet

.ood

M6ll6ons


7E% TREN)S

/ro%th is still mainly driven 'y cat food. Wet cat

#ro%th %as moderate J1.2G4, %hereas dry cat

continues to 'e very dynamic JD.G4.

nac"s and treats is the fastest #ro%in#

cate#ory. -at snac"s and treats J1D.FG4 #re%throu#h assortment development J2C.1G4,

%hilst do# care and treats J11.3G4 'enefitted

from more ne% product development J1D.1G4.

(he #ro%th of the cat population had a positive

impact on cat food, 'ut also on pet accessories,

than"s to cat litter JC.BG4.

&ll other pet food is ne#ative, e>cept 'ird food

JF.FG4.

(he do# food trend continues. Wet food is

ne#ative )C.DG4 %ith dry food positive

J3.CG4, than"s to care and treat. !ain meal

J1.CG4 has also made a contri'ution to

#ro%th.


8/20

PULSE REPORT

rance




M6ll6ons

C#TEOR% 7E% F#CTS

-at food is the main contri'utor to the mar"et value #ro%th, sho%in# CB million Euros of ne%

sales. With the e>ception of multi)serve, all cat food sectors are very positive+

6ry cat JD.G

in#le serve %et cat JC.1G

nac"s cat J1D.FG

Pet food volume sales are increasin#, driven 'y ran#e J3.2G4, and promotional activity

is no% sta'le.

(he assortment in pet food tends to increase in each se#ment, %ith the e>ception of %et do#.

(his proves ho% strate#ic this cate#ory continues to 'e for retailers, particularly %ith the

development of the value offer.

CB.2

10.E

F.E

3.E

0 10 20 30 40 -0 ,0

Cat Food

Pet

#++essor6es

)o8 Food

Other Pet

Food

910 9 9 9 9, 9- 94 93 92 91 0M6ll6ons


9/20

PULSE REPORT

/ermany

7E% TREN)S

(he pet care and food cate#ory in /ermany has

re#istered a decline of )0.@G in its value sales,

due to the decline in normal sales, as

promotional sales are sho%in# #ro%th.

-at food, %hich is the main cate#ory, is sta'le in

value due to the rise in avera#e pricesA

ho%ever, there %ere dips in volume.

(he si#nificant decline in &ldi and dru# stores

has resulted in an overall decline of the pet care

and food cate#ories.

Private la'el sho%ed decline in 'oth value and

volume, driven 'y a decline in cat and do# food.

&part from sta'le #ro%th in cat food, all other

pet foods sho%ed decline in value, %hereas only

'ird food is sho%in# positive development in

volume.

Within pet accessories, cat litter is compensatin#

for the decline in other pet accessories.

Euros@

6nM6ll6ons



TOP - C#TEORIES> E$OLUTIONalue sales ?4 and G chan#e vs. year a#o


D.CG

@F.BG

32.3G

3.@G


FDF

1@CD2

1 1B1

1 1B1

1@C

FDF

D2

)2.0)C.C3.20.1

-at.ood

6o#

.ood

Pet

&ccessories

:therPet

.ood

M6ll6ons



10/20

PULSE REPORT

/ermany

10

C#TEOR% 7E% F#CTS

-at litter, %ith a dou'le di#it sales value #ro%th in discounters, is the #ro%th driver for pet

accessories. Private la'els are sho%in# dou'le di#it #ro%th for cat litters. In contrast,

national 'rands are declinin#.

Within cat litter, clumpin# is the #ro%th driver, and private la'el is drivin# its #ro%th.

In cat food, snac"s are offsettin# the decline of other types. In cat food, %here private la'els

are sho%in# decline, national 'rands %ith positive development are helpin# the cate#ory tosho% sta'le #ro%th in value.

6o# food is the most declinin# cate#ory, irrespective of a sli#ht increase in promotional sales.

& dou'le di#it decline in dry food has resulted in the overall decline, %hilst snac"s are

sho%in# #ro%th.

6ry do# food is sho%in# a decline in all pac" siKes, mainly in siKe class from 2.@"# to C.B"#,

its popular sellin# pac" siKe, %hich contri'utes to more than half of this decline.

6ecline in price %as una'le to help fish food, and 'ird food is re#isterin# #ro%th in sales.

Where 'ird food is sho%in# #ro%th in volume, fish food is sho%in# decline in 'oth value and

volume. mall animal feed N rodents is sho%in# decline in all the channels, 'ut mainly in hard

discounters.

Private la'els are sho%in# positive #ro%th only in pet accessories due to the si#nificant

increase in cat litter.




M6ll6ons

C.E

1.1

0 1 2 3 4 - ,

Pet

#++essor6es

Cat Food

) 1C.1

) 3.3

91- 910 9- 0

Other Pet

Food

)o8 Food

.

M6ll6ons


11/20

PULSE REPORT

Italy

11

7E% TREN)S

(otal cat and do# food continued to increase in

value sales in the year endin# Q3 2013 1.FG for

cat and 2.2G for do#4, 'ut volume sales did not

"eep up, meanin# value #re% as volume declined

for cat food and do# food. alue #ro%th came

from increasin# prices.

-at food remained the lar#est sector of the

cate#ory, accountin# for @2.G of total value

sales, and sho%ed an increase of 1.FG, lo%er

than do# food. Pet accessories stayed very

positive JD.2G4 and other pet food is still heavily

losin# value sales )D.@G4.

6ry pet food is performin# 'etter than %et. Wet

sin#le serve drove the performance of cat food

%ith a #ro%th of @.1G in value sales, %hilst do#

food also confirmed a ne#ative trend for %et smal

and medium products )0.BG4.

nac"s and treats remains the fastest #ro%in#

se#ment of the cate#ory, especially for cat

[email protected] 'ut also for do# food J.CG4.

Euros@

6nM6ll6ons




TOP - C#TEORIES> E$OLUTIONalue sales ?4 and G chan#e vs. year a#o

11.3G

@2.EG

33.DG

2.2G


C1C

13B

2D

FCE

FCE

13B

C1C

2D2.2 )D.@

D.21.F

-at.ood

6o#

.ood

Pet

&ccessories

:therPet

.ood

M6ll6ons



12/20

PULSE REPORT

Italy

12

C#TEOR% 7E% F#CTS

(he main contri'ution to the #ro%th of the pet care cate#ory came from cat food, %ith a 10.2

million euro increase in sales. (he #ro%th of do# food is %orth . million euros. Pet

accessories "eep on 'ein# positive and are the second contri'utor to the sales #ro%th of the

pet care cate#ory %ith a B.C million euro increase.

Products in small pac"a#es continue to drive the positive performance of the mar"et,

especially in cat food, confirmin# that the cluster of shoppers %ho "eep on 'uyin# premium

products %ith user friendly pac"a#es and special tastes4 are not affected 'y the difficulteconomic situation.

(he increasin# attention to pets9 health is reflected in the considera'le #ro%th of the do#

functional snac" and treats se#ment. -at snac" and treats is still a niche mar"et, 'ut %ith a

#ood potential of #ro%th.

Pet accessories are #ro%in# 'etter than cat and do# food, %hilst other pet food is

continuously losin# value and volume sales.

ince 'oth promotional activities and private la'els sho% a relevant #ro%th in most of the

se#ments, pet care is more and more a hi#hly competitive cate#oryOthe percent of

promoted volumes in pet food #ot up to [email protected] %ith a #ro%th of J0.F points versus [email protected] last

year. Private la'el reached a C3.2G volume mar"et share, %ith J1.2 points versus last year

in hypermar"ets, supermar"ets and small self service stores.

Pet care is not a cate#ory that is hi#hly impacted 'y the recession, as it is still #ro%in# far

a'ove the avera#e for !-/ products of )0.DG for food and non)food products in Italy in the

year endin# Q3 2013 and )0.G in Q3 2013. 5o%ever, this #ro%th in value #oes to#ether

%ith a decline in volumes.




M6ll6ons

10.2

B.C

E.E

10 10 11

Cat Food

Pet

#++essor6es

)o8 Food

) 2.2

93 92 92 91 91 0

Other Pet

Food

.

M6ll6ons


13/20

PULSE REPORT

etherlands

13

Euros@

6nM6ll6ons






1D.1G

@0.EG2D.EG

C.2G


ED

@C

13

1F0

1F0

@C

ED

13

)3.0

E.@

D.00.D

-at.ood

6o#

.ood

Pet

&ccessories

:therPet

.ood

M6ll6ons


7E% TREN)S

(he t%o lar#est cate#ories, do# food and cat

food, 'oth dropped in value. (his has 'een

fully compensated for 'y the #ro%th in

turnover of other pet food and petaccessories. (he same shift is visi'le in

volume.

ersus last year, volume prices increased 'y

2.CG. :nly prices of do# food stayed sta'le.

In Q3, total turnover #re% 'y 0.BG versus

Q2 2013. 5o%ever, compared to Q3 2012,

turnover dropped 'y 2.0G.

-at food is the lar#est se#ment. (urnover

#re% 'y 2.1G versus last quarter, 'ut lost

2.FG versus last year Q3 20124.

(he main driver of the pet care cate#ory is

pet accessories. &lthou#h #ro%th fi#ures are

#ettin# less impressive, turnover in Q3 2013

still #re% 1.FG versus a year a#o.


14/20

PULSE REPORT

etherlands

14

C#TEOR% 7E% F#CTS

(otal supermar"et turnover has 'een under pressure in period 10 and period 11, and sho%ed

a ne#ative trend versus a year a#o. Hear to date, turnover #re% 'y 2.0G. Hear to date

promotional pressure is s"y hi#h 22.1G4. &lso, the share of pet food sold on promotion

increased from 11.G to 1C.1G J2.3 percent point4.

5alf the turnover comes from cat food @0.G, and %as @1.0G a year a#o4. (urnover on

!&()'ase is almost sta'le )0.2G4, %hile the num'er of pieces dropped 'y FG. olume

dropped 'y C.CG. :'viously, pac"a#es %ere 'i##er J1.G4, and prices have 'een

increased JC.3G4.

1B.CG of all cat food turnover %as sold on promotions. (he total promotional value increased

'y [email protected].

(he smallest se#ment %ithin cat food, other cat food, is the only se#ment that #re% in value

J1F.CG4 and volume and has increased its ran#e. nfortunately, this se#ment represents

only D.FG of total cat food turnover.

&lthou#h froKen do# food sho%ed a #ro%th of 22.BG in turnover, the entire cate#ory of do#

food lost 3.0G of turnover 'ased on !&(. olume declined 'y 2.BG.

(he share of 'ird food increased from @1.3G to @D.DG %ithin the other pet food cate#ory.

5i#her sellin# prices JF.CG4 and more volume J13.FG4 are the reason.

Pet accessories #re% 'y F.CG. /ro%th is entirely comin# from do# che% 'ones and cat litter.

$#LUE S#LESC"#NE $S. %R. #O &*(



M6ll6ons

1.0

1.1

3.@

0 1 2 3 4

Pet

#++essor6es

Cat Food

Other Pet

Food

) 2.D

93 93 92 92 91 91 0

)o8 Food

.M6ll6ons


15/20


16/20

PULSE REPORT

pain

1,

C#TEOR% 7E% F#CTS

&ll cate#ories continued to #ro%. 6ry do# food, the lar#est and cheap, alon# %ith snac"s for

do#s and cats, the ne%est and more e>pensive, %ere the sectors %ith ma*or #ro%th. :n the

other hand, private la'el continues to #ain position, a'sor'in# most of the #ro%th of the

mar"et.

nac"s and priKes, or treats for do#s and cats, continues #ainin# presence, increasin# their

volume. It is important to hi#hli#ht the relevance of the priKes for cats cate#ory, %hich is still

small, 'ut has almost dou'led in sales. $#LUE S#LESC"#NE $S. %R. #O &*(



M6ll6ons

2D.B

10.E

0.@

0 - 10 1- 20 2- 30

)o8 Food

Cat Food

Other Pet

Food

9-0 94- 940 93- 930 92- 920 91- 910 9- 0M6ll6ons


17/20

PULSE REPORT

nited in#dom

1

Euros@

6nM6ll6ons






@.1G

CB.0G

C3.EG

2.1G


BDC

11CCF

1 0B0

1 0B0

11C

BDC

CF2.0

)C.2

F.E3.3

-at.ood

6o#

.ood

Pet

&ccessories

:therPet

.ood

M6ll6ons


7E% TREN)S

(he value sales of the .. mar"et #re% 'y

2.DG durin# the year endin# Q3 2013. (his

%as lo%er than the same period last year,

%hich sa% #ro%th of C.2G.

-at food is the lar#est sector %ith CB.0G

value share and #re% 'y 3.3G. 6o# food

share %as C3.G and #re% at a slo%er rate

of 2.0G.

Pet accessories #re% the fastest at F.G,

%hilst other pet food declined 'y C.2G.

Promotional activity continues to 'e 'elo%

the total #rocery level, 'ut did increase

from 3D.@G 12 %ee"s endin# !arch4 to

C3.0G 12 %ee"s endin# ;uly4, 'ut durin#

the latest 12 %ee"s had dropped to C1.@G.

Private la'el products #re% faster JF.1G4

than 'randed J1.G4 and have seen

value share increase to 1B.2G.


18/20

PULSE REPORT

nited in#dom

1

C#TEOR% 7E% F#CTS

&lthou#h this year has seen very contrastin# %eather conditions in the .., %here %inter

continued %ell into &pril and summer ;ulyN&u#ust4 %as the hottest in seven years, this had

little impact on pet food volume sales.

(he only sectors to sho% stron# #ro%th %ithin pet food are cat and do# treats, %hich #re% 'y

2C.BG and B.3G, respectively.

e% product development at the su')'rand level durin# the latest year accounted for C.2Gof value sales in the pet food cate#ory. (he sectors %hich contri'uted the most ne% product

development value sales %ere cat %et sin#le serve and %et do# food, %hich to#ether

accounted for over F.2G of ne% product development sales. Private la'el ne% development

contri'uted F1.@G to total ne% product development sales.

(he avera#e price per "ilo for pet food increased 'y C.DG, %ith cat increasin# 'y @.2G and

do# food 'y C.1G. Private la'el products increased 'y C.@G and still remain 2B.1G cheaper

than the mar"et.

Pac" siKes are still continuin# to trend to%ards smaller siKes. Pac"a#in# formats are also

'ein# loo"ed at, %ith one manufacturer recently introducin# a Lplastic reseala'le tu'M to the

%et do# food sector.




M6ll6ons

3C.D

1E.D

D.3

0 10 20 30 40

Cat Food

)o8 Food

Pet

#++essor6es

) 2.0

93 92 92 91 91 0

Other Pet

Food

.

M6ll6ons


19/20

PULSE REPORT

inal otes

1

Notes on Cate8ory )eA6n6t6ons Aor Countr6es

6ue to the diverse products found in individual countries across this mar"et, it %as necessaryto consolidate the availa'le data into the cate#ories in this report. In some cases, it %asn9t

al%ays possi'le to ali#n products across all si> countries, hence the need to hi#hli#ht any

anomalies in the report. (hose e>ceptions are listed 'elo%+

Other Pet Food

(he .. data in this report only includes 'ird food, %hile the other countries include fish

food and rodent food.

Pet #++essor6es

(he .. data in this report only includes cat litter and does not include pet hy#ieneproducts, aquarium accessories or pet toys.

(he pain data in this report does not include this cate#ory.

(he /ermany data in this report does not include pet toys.


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pulse report pet q3 2013

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