Tuesday, March 13, 2012
The shrinking middle (pet market) class
Where does all this upper and lower market action leave the middle? Well, it’s clearly still there. In Packaged Facts’ September 2011 Pet Owner Survey, 55% of pet product buyers characterize the pet food they buy as average priced. However, unless you’re a Nestlé Purina or a PetSmart, your middle market prospects may be limited. Why? One of end of the spectrum are devoted pet parents—the dream consumers of the pet market—and these informed shoppers who know you get what you pay for. At the opposite end of the spectrum are pet owners determined to buy on the cheap, without too many questions asked.
These days, the pet market line is increasingly drawn between those who view their pets as family members and buy the best foods they can afford for pet health and pet pampering, and those strongly focused on price. As a result, pet shoppers are migrating in two directions—up or down, in either case siphoning shoppers out of the market middle.