Thursday, November 12, 2015

Product Innovation Drives Growth in the UK Pet Accessories Market

The market for pet accessories is expected to have reached a value of over £800m in 2015. The sector is considered to be relatively resilient to economic downturns and has generally experienced steady levels of growth over recent years - a performance which can be considered good in comparison with many other ‘home product’ markets.
Key influences within the pet accessories market are pet ownership levels, trends in the types of pet owned, a demand for more convenient products and the increasing humanisation of pets, with the latter representing one of the most important reasons for the resilience of the pet accessories market during the difficult economic climate. However, the market for pet accessories remains competitive and fragmented - and lower cost imports are a key feature in some product segments, such as toys.
Accessories for dogs and cats account for the highest sales, with a combined share of around 65% of the market, while fish & reptiles and small animal products each account for an estimated 12-16% share by value. While the reptile sector has levelled out following a boom period, a sustained market is expected into the longer term. Demand in the smaller dog sector is expected to continue to grow, with manufacturers increasing their ranges in this sector.
Some sectors of the market have performed better than others in recent years. Care products are the largest product sector, with over 40% of sales, and are regarded by most pet owners as essential and have continued to underpin the market. Sales of grooming products have also experienced growth in recent years as a result of rising demand for premium products and higher ownership levels of specialist and cross breeds, which require more regular grooming. The toys sector has become increasingly polarised, with cheaper products offered by some outlets, while demand for better quality and higher value products has also increased, helping to underpin a share of over 30% of the market.
The bedding sector has experienced a similar trend, while aquariums and other vivariums have experienced lower level growth, although demand continues to be buoyant, principally from hobbyists. Collars, leads & utility products represent another low growth market. However, the trend towards smaller dogs has seen most manufacturers introducing collar ranges to address this demand and the sector has also benefited in recent years from an increased demand for dog coats.
In terms of distribution, pet superstores account for the largest share of sales, though DIY/hardware and independent pet stores also represent an important channel with a combined share of around 20%. Sales through grocery multiples and via the internet have gained share in recent years, in line with changing consumer purchasing habits, and the internet/mail order channel is now estimated to account for over 10% of the market.
Future prospects for pet accessories are relatively optimistic and the market is forecast to experience steady growth rates until 2019. Care products are forecast to continue to underpin the market, while toys are expected to remain a key product sector, and growing interest in interactive and multi-functional toys is expected to continue.
“Factors expected to help underpin the market include demand for welfare, convenience, eco-friendliness and aesthetics, as well as product innovation - a key growth area at the moment appears to be products that incorporate technology, such as automatic feeders, toys, pet monitors and pet GPS trackers” said Andrew Hartley, Director of AMA Research.
The ‘Pet Accessories Market Report – UK 2015-2019 Analysis’ report is published by AMA Research, a leading provider of market research and consultancy services within the construction and home improvement markets. The report is available now and can be ordered online at www.amaresearch.co.uk or by calling 01242 235724.

1 comment:

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