Spike in ownership boosts pet care retail

An increase in the number of pet owners and growing consumer awareness has driven the demand for pet products across India, ranging from pet treats and packaged goods to brand name toys and accessories. , said businesses and retailers.

India is no exception. Pet ownership has increased around the world as the covid epidemic has forced people to stay indoors for long periods of time. This has led many people to seek solace in pets to deal with issues of loneliness and anxiety.

India has an estimated pet population of 28-29 million, according to industry estimates, with dogs making up the bulk of pet owners. Cats, on the other hand, have seen a more recent increase in adoption and possession, largely because they are viewed as more independent than dogs and require little maintenance.

“We have doubled our activity between 2019 and 2021,” said Ganesh Ramani, managing director of Mars Petcare India, a global manufacturer of pet products, attributing this growth to the increase in the number of pet owners. .

“As the pet population grew, so did the demand for pet products,” said Mohit Lalvani, Founder and Managing Director, Captain Zack, a seller of pet care products such as treats, shampoos and accessories.

Meanwhile, the increase in the number of pet owners has led to the growth of the pet care ecosystem including retail chains, pet nutrition and grooming brands. and services such as pet spas.

Investors are also focusing more on companies specializing in pet products.

Recently, Heads up for Tails (HUFT), a premium pet care company, raised $ 37 million in a Series A funding round led by Verlinvest and Sequoia Capital India. The company, which began operations in 2008, operates more than 40 stores across India to sell its private label and other brand products. It plans to add eight stores this year.

The funding round also saw the participation of Amitell Capital and existing investor W&C PetTech. HUFT will deploy capital to accelerate its expansion into new markets, introduce a new line of pet food products while expanding its portfolio of global brands such as Pet head, Isle of Dog and Wild Earth. Also, he just hired Swati Mohan, former Marketing Director of Netflix India, as Commercial Director.

Rashi Narang, founder of HUFT, said the Indian pet market is still nascent but growing. “Besides selling products and services, the focus has been on content, community and education, which has raised awareness among consumers and attracted to the category,” she said.

Narang said, however, that it took years to find suppliers for HUFT’s private label, and investor interest also took time to develop. Today, the chain’s private label represents 40% of its activity.

Food products make up half of India’s pet care industry, estimated at up to ??8,000 crores per year.

Urban and affluent millennials and Gen Z, or those born between the late 1990s and early 2010s, form a significant consumer base. Yet less than 10% of pet owners buy packaged food and treats. The rest relies on home-cooked meals, said Ramani de Mars, one of the world’s largest pet food manufacturers with brands such as Pedigree, Royal Canin and Whiskas. With people locked inside for longer hours, they spent more time with pets, gave them treats and bought more packaged food, Ramani said.

Last year, she launched the premium dog food brand Iams. It also sells Sheba cat food at the top of the segment.

Cosmos Films Ltd, a manufacturer of specialty films for packaging, laminating and labeling, has also made a foray into the growing market with the launch of its Zigly pet products retail chain. Its newly opened experience center in Delhi offers products such as nutritional supplements and hygiene products, treats and toys, as well as services such as grooming.

“The demand for expert services and quality products is growing. Zigly will also prove to be an effective platform for people who wish to be trained in all pet related activities, ”said Pankaj Poddar, Managing Director of Cosmo Films.

Captain Zack’s Lalvani said there has been an evolution in the retail ecosystem over the past three years, with several specialty retail franchises starting up. “The DINK population (young couples without children) is the highest in India. They are aware and educated on what to use for the best of their pets. This has contributed to a remarkable increase in multi-brand outlets, ”he said.