Economic instability hampers growth potential
The Swedish economy faced several challenges in 2012 as its GDP growth stagnated, unemployment increased and the consumer confidence index plummeted. This all had a negative impact on the Swedish pet care market, because pet owners were forced to limit their spending and reconsider their preferences and needs. This resulted in manufacturers facing stagnating sales in most of the pet food and pet care categories, while only a few product areas managed to maintain healthier growth. A shift between different price bands also took place, as premium product sales suffered while economy products, including private label, attracted more consumers.
Pet owners paying greater attention to product ingredients
Swedes have become more conscious about health and wellness and value more natural ingredients. While the organic trend has not yet broken into pet care, the more natural products were in higher demand. Cat and dog food with less grain and higher meat content was a growing trend in Sweden, as were products without artificial additives, colourants or flavourings. Pet owners were attracted by more natural ingredients in pet care categories, such as more environmentally-friendly cat litter or dietary supplements with natural extracts. In addition, the growing range of specialised and tailor-made products such as age-specific, breed-specific, and illness- and health-issue-specific products grew in popularity.
Special promotions form a competitive strategy
In addition to advertising and new product launches, which were both quieter than usual in 2012/2013, manufacturers concentrated their efforts on in-store campaigning and introducing special offers. Indeed, 2012/2013 saw players entering into intense price competition with special offers and promotions which allowed consumers to save money while boosting brand sales. However, while this helped volume sales, it ate into growth potential in value terms.
More players enter expanding internet retailing
As Swedes are increasingly discovering shopping online, this has benefitted the sales of internet retailers specialised in pet care products. Not only are strong players present in Sweden, but also expansion “from brick to click” continued taking place. Offering consumers a wide selection of products was key, as were free-of-charge home delivery services. Internet retailing is expected to see growth in the forecast period due to its convenience and other advantages, such as the fact that comparing prices online is very easy.
Growth struggles ahead
The future volume and value sales growth rates for pet care face many challenges. As several categories face maturity and some pet populations drop (such as dogs), volume sales will be sluggish in many categories. The real growth potential lies in growing sales of the more sophisticated and premium products which will contribute to the constant value growth in the forecast period. Once the economy improves, pet owners are expected to continue pampering their pets.
Samples (FAQs about samples):
Sample Pet Care Market Research Report
Sample Pet Care Data
Delivery: Files are delivered directly into your account within a few minutes of purchase.
Discover the latest market trends and uncover sources of future market growth for the Pet Care industry in Sweden with research from Euromonitor's team of in-country analysts.
Find hidden opportunities in the most current research data available, understand competitive threats with our detailed market analysis, and plan your corporate strategy with our expert qualitative analysis and growth projections.
If you're in the Pet Care industry in Sweden, our research will save you time and money while empowering you to make informed, profitable decisions.
When you purchase this report, you also get the data and the content from these category reports in Sweden for free:
The Pet Care in Sweden market research report includes:
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volumes and values, company and brand market shares
- Five year forecasts of market trends and market growth
- Robust and transparent market research methodology, conducted in-country
Our market research reports answer questions such as:
- What is the market size of Pet Care in Sweden?
- What are the major brands in Sweden?
- How did the downturn affect pet care spending?
- Which is the best-performing category within pet care?
- Which is the fastest-growing pet food manufacturer?
- How have pet specialists fared in recent years?
- What are growth prospects for pet care in the next 5 years?
Why buy this report?
- Gain competitive intelligence about market leaders
- Track key industry trends, opportunities and threats
- Inform your marketing, brand, strategy and market development, sales and supply functions
This industry report originates from Passport, our Pet Care market research database.