Growing online demand for pet products can be your best friend

As the pandemic swept across the UK and more people were forced to spend time at home, a total of 3.2 million households acquired a pet, according to the Pet Food Manufacturers’ Association. Since then, the pet food and pet-related products industry has seen great growth, but what market trends are we seeing in 2022?

According to a number of retailers, supply chain issues have extended into 2022. In particular, value-priced pet meals and wet cat food have experienced lower fill rates than retailers would like. A shortage of value-priced pet food, along with rising overall prices, may leave budget-conscious pet owners with limited options.

Therefore, sales of cat and dog foods may climb in 2022, although inflation could account for a major portion of the increase in pet food spending. Although premiumisation has helped keep pet food sales values high, some grocery operators are afraid that volume would decline if prices climb further.

Growth in eCommerce 

While retail stores have seen a slow increase in buying, the online pet market has nearly quadrupled since 2013. Pet product e-commerce is expanding globally, with 2020 representing the most popular year on record. According to market research firm Euromonitor International, the global pet care market’s eCommerce channel share increased from around 10% in 2017 to over 20% in 2020. 

Consumer behaviour has shifted as a result of smaller household sizes, urbanisation, social distancing measures, and public health concerns. Consumers increasingly prefer online shopping to suit their pet product demands, which is driving them away from conventional stores. Growth in the pet population, pet ownership, and per-pet spending have all contributed to the rapid expansion of eCommerce pet goods sales.  

Ecommerce satisfies the needs of modern pet owners. It provides comfort and convenience, product details and selection, value-driven pricing comparisons, and complete attention to customer experience. The big industry companies’ reliance on the old model conflicts with what consumers have grown to anticipate in the digital age. This digital divide provides an opportunity for ecommerce firms to seize market share. Their potential rests in developing a distinct brand identity inside their pet market segment, as well as the benefit of eliminating intermediary profits. 

The premiumisation of pet food

 A human trend that is translating into the pet food industry, is plant-based pet food. As supply chain issues persist, and as growing populations place further stress on the supply of animal protein, plant-based meals could be part of the solution. 

Fresh dog food has also proven to be an emerging trend. Butternut Box for example, is a UK-based online retailer offering a subscription meal service for dog owners, delivering fresh, cooked food for dogs. 

This online retailer uses algorithms to meet the individual needs of each pet,  by asking owners to complete a 90-second fact find, including details such as their dog’s weight, age, breed, activity level, and allergies. 

The team then works out how many calories a dog needs and tailors a selection of meals, portioned into one pouch per day. This personalisation of the product, as well as insights and knowledge on the animals health are unique, compared to simply buying in store. 

Butternut Box’s products are fresh. Therefore product delivery is an incredibly important part of the Butternut Box customer experience. As the products must be delivered frozen, there is an absolute need for delivery to be made the next day. This means that the company must work with the  carriers who can match their customer needs.  

Find out how Scurri helped Butternut Box move to next day delivery at scale, expand delivery internationally, and ensure that customer support in the last mile works, here.