From Sustainability to Purpose: Mapping the Opportunity in Pet Care

Delivery

This report comes in PPT.

Key Findings

Sustainability trends are a new frontier in the industry

Sustainability represents a major new growth frontier in pet care. Whilst dietary and clean label claims still dominate the market, sustainable claims are growing as pet owners – who are more likely to buy sustainably made products than non-owners – look to make a difference in the face of climate change.

Sustainability in pet care is defined by two challenges

Two key trends in pet care – packaging and proteins – make sustainability a major challenge. Pet humanisation trends are creating demand for smaller sizes of hard-to-recycle plastic packaging, whilst the growth of meat-rich, “ancestral diet” pet food formulations has significantly increased the carbon footprint of the industry.

Broad pet owner interest highlights untapped potential

The current market for sustainable pet products is dominated by small premium brands. Pet owner surveys, however, highlight an interest that spans both income levels and generations. As such, the industry’s biggest players are making massive investments in sustainability that can appeal to an untapped audience.

Western Europe is the leading frontier, with white spaces for growth in emerging markets

Euromonitor International’s Pet Care Sustainability Index uses three indicator types to measure market potential. Western Europe scores as the leading frontier, followed by North America and Australasia. There are white spaces in emerging markets, as demand for green products outpaces product availability.

Diverse approaches and purpose-driven brands are important

Pet care brands are using a wide range of innovative approaches to achieve more sustainable outcomes; however, pet owners are becoming increasingly cognisant of potential “greenwashing” actions and are instead looking for purpose-driven brands that embody sustainability in all their objectives.