Product Hub June 03, 2022
5 Ways to Target the ‘Pandemic Puppy’ Market
This massive industry presents a wealth of opportunities for bark-worthy sales.
During the pandemic, when millions of people began working remotely full-time, it seemed like the perfect time to adopt a pet. According to the ASPCA, about 23 million households in the U.S. (nearly one in five) adopted dogs and cats in 2020 and 2021. In just the first month of COVID, between mid-March and mid-April 2020, pet adoption site Petfinder received more than twice as many inquiries compared to the previous four weeks. Dogs were especially popular; shelters across the country nearly ran out of adoptees. The American Pet Products Association reported that spending on pets surpassed $100 billion for the first time in 2020, and increased 10% above that in 2021.
But now, as people return to the office and dogs are left alone more often and socializing with other pets, demand for training classes/daycares has increased. Trainers say their waiting lists are months long, and sitters are seeing an exponential increase in inquiries. Unfortunately, those who can’t afford training and sitting are beginning to surrender their dogs at shelters, which are now reporting more intakes. However, the transition period for new dog owners after COVID presents opportunities for promo in a huge market.
“The pet industry is extremely saturated,” says Daniel Caughill, co-founder of dog ownership resource site The Dog Tale. “It’s an uphill battle fighting for pet owners’ attention. An excellent way to get and retain their attention is through promo products.”
Here are five sub-markets in the pet industry to target with branded items.
1. Training & Obedience Schools
Now that pandemic puppies are socializing more with other dogs and people as COVID restrictions lift, owners are looking for training classes and obedience schools. In late 2021, Unleashed Academy, a dog training facility in Washington state, reported that its client base had increased 50% year to year. Now, with classes accommodating more trainers and dogs, owner Mary Davies told the Spokane Journal she needs more staff to meet demand from pet owners; the waiting list is several months long. “When the pandemic happened, puppy sales increased,” Davies said. “Now, those dogs all need training.”
Consider pitching branded apparel like T-shirts and hats for owners, and dog bandannas for good “students.” At the completion of the program, schools can distribute customized class gifts.
2. Daycares & Sitters
According to market research firm Grand View Research, the pet sitting market was worth $2.6 billion in 2019 and is expected to grow each year by 8.7%. Similarly, Technavio reports that the pet daycare and lodging market is on track to grow by $8 billion by 2024.
“We’ve helped businesses giveaway items like bandannas, toys, waste bags with fun sayings and more,” says Marshall Morris, president of HomeLife Media, a marketing agency that focuses on the pet market. “We’re seeing opportunities for daycare franchises where one decision-maker can purchase for many locations. If they can become part of a pet owner’s daily life in a positive way, it does a lot for branding and recognition.”
Present daycares and sitters with fun items like a bandanna that will promote their services while clients take their dogs on walks.
3. Shelters & Adoption Centers
Unfortunately, the return to the office has forced some people to surrender their dogs at shelters when their pets didn’t transition well during their owners’ prolonged absences during the day, and/or the expense of daycare and sitters (combined with inflation in general) proved to be too much.
The Animal Care & Control Team in Philadelphia, for example, says dog intake at shelters in the city is now up 40% year over year, with half of them being surrenders (as opposed to strays rescued from the streets). A month ago, Save Me Animal Rescue in Philadelphia was at capacity. And to add to the challenges, because so many pandemic puppies weren’t socialized well during the pandemic, they present behavioral issues as well. That’s putting a strain on shelter volunteers and foster networks.
Kirsten Goede, co-founder of Big League Pins (asi/335159) in Chicago, says her team recently completed enamel “thank you” pins for overworked shelter volunteers at PAWS Chicago to wear on garments or pin to hats and tote bags. “We also just pitched ideas for enamel pins for a rescue and adoption center in Dedham, MA,” she adds.
4. Venues & Events
Now that officials have lifted many COVID restrictions, in-person gatherings are back. Many outdoor events and restaurant patios across the country this summer and fall welcome dog guests as well. Dog social clubs are trending as an easy way to transition back into group settings for both owners and pets – Bark Social, for example, combines food and drink services for people with open spaces for dogs to play and socialize. They currently operate two locations in Maryland, with a third soon opening up just outside Philadelphia.
And of course there’s merch on offer for both people and their pooches. In addition to apparel and accessories for events, restaurants and social clubs, dog-friendly venues can decorate their spaces with branded décor and sell them in their swag shops. “USA-made bar stools make a great gift,” says Mark Jesselson, vice president of Smart Incentives (asi/87675), “and dog lovers love them.”
5. Health Insurance & Company Stores
Vet care is critical for dog owners, and more are looking to pet insurance to help with expenses. According to the North America Pet Health Insurance Association, pet insurance purchasing has increased by more than 24% each year since 2016. Insurance poses a unique opportunity for company stores and incentive programs; Top 40 distributor Stran & Company (asi/337725) recently put together an incentive and loyalty campaign for Zoetis, a large animal pharmaceutical company, that includes branded gift cards and swag for vets.
“Most of the incentives are gift cards for vet services,” says Andy Shape, president and CEO. “We also do some promotional products and merchandise to promote the program to vets themselves.”
Sam Lucker, marketing executive at Disrupt Sports (asi/49946), says their company stores for different clients now often include a few dog items, like collars, bandannas, bowls and baskets. “We’re finding that more and more clients want a diverse range of products that includes pet items,” says Lucker. “People love spoiling their pets, so it makes sense that these products are so popular at the moment.”
Encourage insurance agencies and other corporate clients (including those that offer pet insurance as part of their employee benefits package) to set up company stores that include collars, leashes, beds and toys for furry family members.
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