dog food(2)
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DOG FOOD
Aarohi Dhir PGP 180 01
Aditi Mehrotra PGP 180 04
Alina Hasan PGP 180 07
Kirti Nuwal PGP 180 32
Kshama Singh PGP 180 33
Pooja Jha PGP 180 45
Prabhat Gupta PGP 180 46
Rebecca Toms PGP 180 55
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CATEGORIES OF DOG FOOD
PREPARED Dog Treats and Mixers
Dog Mixers
Dog Treats
Dry Dog Food Economy Dry Dog
Food
Mid-Priced Dry DogFood
Premium Dry DogFood
Wet Dog Food Economy Wet Dog
Food
Mid-Priced Wet Dog
Food Premium Wet Dog
NON PREPARED
Home Cooked
ScrapsRaw
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TREATS AND MIXERS
Dog treats and mixers are specialtypes of dog food given as a
reward, not as a staple food
source.
Examples: Stylam Choostix,
Dentastix
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TREATS AND MIXERS-SEMI MOIST
Commercial dog foods shaped like porkchops, burgers, or other meaty foods arecalled semi-moist foods.
These kinds of foods are the leastnutritional of all dog foods and containmany artificial flavours and colourings.
They can be given to your dog as anoccasional treat, but they should not be
considered a diet in themselves, as theydo not provide the nutrition that the puprequires.
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DRY/KIBBLE
Dry food is the most economical type ofcommercial dog food, and this is thereason that many owners choose it fortheir dog.
It also lasts for a long time and doesnot need to be refrigerated.
Dry food can also help to keep thedogs teeth healthy, since chewingcrunchy dry food helps to reduce tartarbuild up.
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WET/CANNEDMost dogs love canned, or wet, food, and it has
a long shelf life, and is easy to find at anysupermarket, but it can be expensive.
For some owners, its definitely worth theexpense, but not every brand of commercialcanned food provides the protein that the pup
needs.
Indigestible protein will pass through the dogssystem without being broken down intoabsorbable nutrients, so it's pretty much uselessto him.
Also, most canned food is about 75 percentwater. The higher the water content, the lessnutrient content, so the more food your dog mustconsume in order to get the nutritional value hisbody needs.
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HOME COOKED
Some dog owners value the ability to be incomplete control of their dogs diet.
A home-cooked diet allows the owner to know forcertain exactly what is in every thing their dog eatsand to be absolutely sure that his nutritional needsare being met.
Feeding the dog a home-cooked diet is timeconsuming and expensive, but many owners thinkthe extra effort is worth the peace of mind theygain.
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RAW
A raw diet consists of raw meat,preferably with some bones (nevercooked bones, only raw) and organsmixed in, as bones are a natural
source of phosphorus and calcium.
This type of diet works well for manydogs, since dogs have shortintestinal tracts and strong stomachacids, both of which make it easy forthem to consume and digest rawfood
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Dog food is expected to grow by a strongpositive constant retail value CAGR of 14%
Although many players are already there in
the market, Indian pet-food market is still inits nascent stage. Almost all global playerslike Nestle, Royal canine, Hill, Lams, Ralstonare fighting it out in the market. Pedigree isconsidered to be the brand that is expectedto lead this market.
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Competitor analysis is done keeping in mind
1) marketing segmentation
2) product differentiation
3) Communication strategy
4) Product line 5) Price
6) distribution
Leading brands used for analysis- pedigree (marsfood), royal canine(mars food)and petcare (tetragonchemie pvt. Ltd.)
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1) Pedigree
Market leader, still competes with home-
cooked food
market segmented into high-end, mid-
range, and low-end categoryPush strategy in use
Product differentiation: quality of food
Communication: focuses on the fact thatdogs have a different digestive system and
should not be fed home-cooked food
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The slogan used for many years forPedigree dog food is "Top breeders
recommend it" with a current slogan of
"We're fordogs internationally
However, when launched in India the tagline was we care for the dogs
Call their product as really good food,
hence value proposition is the quality offood.
TV commercials used for communication
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Products- all the products are available for
adults and puppies separately.Pedigree launched vegetarian dog food in
India.
1. daily dry food for dogs2. daily wet food for dogs
3. Pedigree professional- specific food for
weaning, active, small and large breed dogs
4. snacks and treats- dentastix, rodio, springo5. Gravy range- new category recently
introduced, not available with competitors.
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pricing-
1 kg dry dog food costs Rs.130(average).Special meals cost more
Distribution-Pedigree when entered Indianmarkets used pet stores as a point of sale.
Retail store owners were made to advocate
the product.
Now it is available in retail stores (Big
Bazar), pet-stores and medical stores.
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2) Royal Canin
Market segmentation- only for high end customers
Product differentiation- Focus on the nutritional
value (carbohydrates, lipids, vitamins, proteins etc.)
emphasis on clinical formulation, testing,manufacturing and marketing of a wide range of
breed-specific and symptom-specific diets for dogs
and cats
Composition of food ensures well-being and health
of every dog, according to his age, his size, his
physiological condition and his breed.
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Pricemore expensive than pedigreeeg. 2 kg of Royal Canin Mini Adult costs Rs. 766,
which is a little more than twice the price of adult
dog food by pedigree.
Distribution- The company shifted its marketingand distribution focus away from the supermarket
circuit
And shifted the appeal to specialist retail pet storecircuit and garden and hardware centers, many of
which featured large pet departments, while also
continuing to target breeders and veterinarians.
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3) Tetragon Chemie Pvt. Ltd (PETCARE)
PETCARE is an independent business division ofTetragon Chemie Pvt. Ltd., that exclusively caters
to the needs of dogs and cats and specific
demands of pet lovers across the countryIndian company to export pet care products in 30
countries
Acquired by Provimi first and then later by pfizer.These International brands instead of competing
with the Indian brands decided to overtake them.
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Market segmentation- serve only dog lovers.Treats all the dog- lovers equally
Product differentiation- PETCARE holds the
distinction of being the first to introduce
binomial anthelmintics, acaricides, nutritionals,
therapeutic supplements and pet food in IndianMarket.
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Communication- Do not believe in traditional
marketing and communication means, but
rely building emotional relationships with
customer and the pet.
Highly dedicated to pet care. Form pet clubsfor active involvement of pets and pet lovers.
Encourage involvement of pet lovers by pet
astrology clubs, sharing pet bulletiens, givingbreeding information, FAQs for new dog
owners, have dog memberships and
competitions.
motto is "YOUR PET. OUR CARE.
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Product- they manufacture pet care
products(shampoo, soaps) , pet medicines
(Drontal Plus worm killer tablet)as well as pet
food
dry dog food available as nutirpet infant,
nutripet junior, nutripet adult, nutripetsupra(international standard protein and
calcium rich pet food)
Price- Rs 440 for 3kg. Therefore, cheaper
than royal canine, but comparable to pedigree
dry dog food.
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product Dry & wet food,
snacks, treats
Dry food,
shampoos,
medicines
Nutritional food
price 130/kg approx 110/kg approx 250/kg approx
segment Low, medium,
high range
No segmentation Only for elite
Retail valueshare
%
42.4 11.1 4.4
Tag line We care for the
dogs
Your pet, our
care
Breed health and
nutrition
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MARKET ANALYSIS
Market Demand
Table 1 Dog Owning Households: % Analysis 2005-2010
Source: Official statistics, trade associations, trade interviews, Euromonitor International estimates
Table 2 Dog Population 2005-2010'000s of animals
Source: Official statistics, trade associations, trade interviews, Euromonitor International estimates
Year 2005 2006 2007 2008 2009 2010
Households (%) 2.7 2.8 2.8 2.9 3.0 3.2
Year 2005 2006 2007 2008 2009 2010
Dog
Population
5972.8 6241.5 6480.4 6824.4 7296.8 8026.4
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MARKET
Potential Market: potential market is the set ofcustomers who possess some interest in a product or towhom the product is potentially relevant
The Population of India = 1155347700 (source : world bank)
Number of members per household = 4 (assumption) Number of households owning a dog = 3.2 % (Euromonitor
International : Country sector briefing)
Hence number of people owning a dog = potential market =
(1155347700/4)*(3.2/100) =9242781.6
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Target Market: consumers represent potential prospects for the product plusexisting customers
The dog food market is divided into 3 major markets Dry Dog Food
Wet Dog Food
Dog Treats & Mixers
Total volume of market = 1.3 % of dog owners use prepared food(table 3) = (1.3 /100 ) * (9242781.6) = 120156.1608
Total volume of consumption (table 4) = 14383.4 Market of each category :
dry = 12892.9 / 14383.4 = 89.6%wet = 65.5 / 14383.4 = 0.5 %treats = 1425 / 14383.4 = 9.9 %
Other Features: dry dog food preferred over wet dog food as it is perceived to be healthier,
cheaper, convenient in serving, more brands n variety available, stored forlonger period
dog treat expected to grow by 13% due to growing awareness
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Current Market: consumers who are currently purchasing inthe mark Current Consumers = 1.3 % of dog owners = (1.3 /100 ) * (9242781.6)
= 120156.1608
assumption : entering values in Rupees instead of Dollars , takenaverage cost across brands
Dry = Rs250/- ; Wet = Rs300/-; Treats = Rs1500/-
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Current Competition: firms who are currentlyserving existing customers in the market.
Top 3 Firms
Total Volume(2010) = 14383.4 tons Mars = 6098.6 tons(42.4%)
Tetragon = 1596.56 tons(11.1%)
Ruskin = 1165.05 tons(8.1%)
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Total Sales(2010) = 2087.1m
Total Sales for Mars = 884.93m (42.4%)
Total Sales for Tetragon = 231.67m (11.1%)
Total Sales for Ruskin = 169.05m (8.1%)
Total Customers = 120156.1608 (Table 1)
Mars =50946.212
Tetragon = 13337.34
Ruskin = 9732.65
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TOOL ANALYSIS RESULTS
The current market penetration is very low as compared to its
size.
This implies that future market potential is very high.
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The dry dog food market makes for 93% of the total market value.
However, the best opportunity lies with the treats market as itgrowing at a very high rate of 13%.
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Customer Share
Mars
Tetragon
Market share
Dollar Share