The State of Retail in the Pet Industry A comprehensive study on retailers’ perspective of the industry. Craig Rexford Publisher of Pet Business and Grooming Business magazines

In November 2009, Pet Business Magazine surveyed 2,500 pet retailers In November 2009, Pet Business Magazine surveyed 2,500 pet retailers. Here is what we learned about their needs and what you can do to reach them.

First we took a look at where retailers were getting their information on the pet industry

What is the main source of retailer’s pet industry information? Additional responses included distributors, manufacturers’ reps and wholesalers.

Of those who say they attend trade shows, reasons why they go include:

How do retailers rate the market information they receive about the industry?

Since social media sites have been gaining popularity over the last year, we wondered how many retailers were engaged with suppliers through these channels.

Do retailers follow any suppliers on social media sites? Overwhelmingly, retailers did not engage on social media sites. However it is still important to have a presence here.

Next, we took a look at the retailer’s business.

Local mainstream advertising (36.7%) The following are marketing tools that retailers use to expand their reach and market share Local mainstream advertising (36.7%) (newspapers, billboards, bench ads, local/community websites, magazines, radio, television, Yellow Pages)

Web advertising (21.4%) (Google, Yellow Pages online, Citysearch)

Social media (6.8%) (LinkedIn, Plaxo, Facebook, Twitter, MySpace)

In store promotional activity (7.3%) (Flyers, frequency cards, loyalty programs, E-newsletters, “Yappy Hours”, In-store training sessions)

Local community events (23.%) (Sponsor local sports teams, pet adoption events, Block parties, sponsor dog park)

We asked retailers why they decide to carry a particular product in their store: Personal preference (34.4%) Manufacturer support (in-store signage, displays) (10.2%) Performance of other products from the manufacturer (15.9%) Distributor recommendations (3.1%) Introductory discounts (3.1%) Customer requests (30.5%)

The biggest growth categories in a retailer store: Big buzz words in the industry are value and services. This proves it.

What is the toughest competition for retailers?

What do retailers estimate the average yearly household income of their customers to be?

Summary Consumers are demanding more and more from retailers today. First, they want the best prices possible. Second, they want convenience. Third, and perhaps most importantly, the shopper wants value and service. Retailers must respond to those needs and they have to do so quickly and in ways that will not cost them on the bottom line.

Q &A