Pet Food Market – India April 2015
Executive Summary Market Overview
Drivers & Challenges
Trends
Competitive Landscape
Pet food Industry is one of the growing sectors in India that has attracted a number of players Increasing disposable income and changing lifestyle have contributed to its rising demand The Indian pet food market is expected to witness a growth of x% between 2014 -2019e
Drivers
Challenges
Low Penetration of Branded Pet Food Changing Lifestyle Rising Income Levels and Increasing Middle Class Increasing awareness among pet owners Increasing Organized Retail Chains
High Import Duties and Frequent Bans on Imports
Dominance of Non-vegetarian Dog Food Players Providing Customized Products and Services Increasing Promotional Activities Online Marketing of Pet Supplies
Key Players Player 1
Player 2
PET FOOD MARKET IN INDIA 2015.PPT
Player 3
2
•Macroeconomic Indicators •Market Overview Global India
•Distribution Channel •Export and Import •Drivers & Challenges •Trends •Competitive Landscape •Strategic Recommendations •Appendix PET FOOD MARKET IN INDIA 2015.PPT
3
As more companies have started making China-free claims in pet foods and treats,…
SAMPLE
Global Pet Food – Overview (1/2) Share of Pet Food Sales in Global Pet Care Market (2013)
• The US, followed by Japan, the UK, Germany, France, Italy, Australia and Canada account for
Pet Food
a% of the global pet food market
Others
• The emerging markets are China, Brazil and Mexico • India is a growing market, going by increasing pet ownership in cities such as Delhi, Mumbai and Bengaluru X%
Y%
• The largest exporters of pet food and treats to the US are China and Thailand • However, there are accessories such as grooming brushes, dog leashes and shampoo that also come from China
PET FOOD MARKET IN INDIA 2015.PPT
4
…opportunities to export to the US have opened up
SAMPLE
Global Pet Food – Overview (2/2) United States of America – Pet Food Industry Sales Revenue in INR bn (2013)
United States of America – Pet Food Industry Sales Volume in MMT (2013)
x
a
y
b z
Dog Food
Cat Food
Dog Treats
Dog Food
Cat Food
• The US is a major market for pet food in the world and occupies the largest share in pet food sales • The pet care industry in the US is highly regulated • The FDA (Food and Drug Administration) and the USDA (United States Department of Agriculture) are legal bodies that control the industry Note: MMT is Million Metric Tons PET FOOD MARKET IN INDIA 2015.PPT
5
The pet food market is growing fast, with Indians willing to splurge on their pets
SAMPLE
Indian Pet Food Market – Overview (1/3)
Pet Food Market in India – Market Size and Growth INR bn a% x
y
z
x1
2014
2015e
2016e
2017e
y1
2018e
z1
0 2019e
• Pet food brands have been in India since 2001 and have seen a double-digit growth since then • Also, as pet food become more specialized, based on life stage and breed, pet owners preferred prepared food over homemade food, to maintain the wellbeing of their animals • In supermarkets, customers can compare prices of a wide range of products and make more informed purchasing decisions when shopping in a pet superstore
PET FOOD MARKET IN INDIA 2015.PPT
6
Export and Import of Pet Food (1/2)
SAMPLE
Dog Or Cat Food – Export Volume
Value
INR mn
‘000 Kgs y
z
a
d
e
x b
0
2011-12
c
0 2012-13
2013-14
• Most of the players export their products to the international market • Exports, both in terms of values and volumes have witnessed a rise from 2011-12 to 2014-15
2014-15 (Apr-Jan)
Dog Or Cat Food – Import Volume
Value
INR mn b
c
d
x
y
z
k
2011-12
2012-13
a 0
‘000 Kgs
0 2013-14
2014-15 (Apr-Jan)
• International premium brands are present in the country and are vying for a share of pet food market • Imports, both in terms of values and volumes have increased significantly from 2011-12 to 2014-15
Note: HS Code 23091000 – Dog or cat food put up for retail sale PET FOOD MARKET IN INDIA 2015.PPT
7
Drivers & Challenges – Summary
Drivers Low Penetration of Branded Pet Food Changing Lifestyle Rising Income Levels and Increasing Middle Class
Increasing awareness among pet owners
Challenges High Import Duties and Frequent Bans on Imports
Increasing Organized Retail Chains
PET FOOD MARKET IN INDIA 2015.PPT
8
SAMPLE
Trends – Summary
a
b
Key Trends
c
d
PET FOOD MARKET IN INDIA 2015.PPT
9
Porter’s Five Forces Analysis
SAMPLE Impact Medium
Threat of New Entrants
Impact High
Bargaining Power of Suppliers
Impact Low
Competitive Rivalry
Impact Low
Bargaining Power of Buyers
Impact High Threat of Substitutes
PET FOOD MARKET IN INDIA 2015.PPT
10
Public: Domestic Company – ABC (1/5) Company Information Corporate Headquarter
Offices and Centers – India
SAMPLE
Tel No. Fax No. Website Year of Incorporation
Head Office
Ticker Symbol Stock Exchange
Products and Services Category
Products/Services
Key People Name
PET FOOD MARKET IN INDIA 2015.PPT
Designation
11
Public: Domestic Company – ABC (2/5) Financial Snapshot Total Income
INR mn
Key Ratios Net Profit/Loss
INR mn
300,000
15,000
200,000
10,000
100,000
5,000
0
0
2011
2012
2013
2014
• The company earned a net profit of INR mn in FY 2014, as compared to net profit of INR mn in FY 2013 • The company reported total income of INR mn in FY 2014, registering an increase of over FY 2013 • The company earned an operating margin of in FY 2014, an increase of percentage points over FY 2013 • The company reported debt to equity ratio of in FY 2014, a decrease of percentage points over FY 2013
Key Financial Performance Indicators Market Capitalization (INR mn) Total Enterprise Value (INR mn) EPS (INR) PE Ratio (Absolute)
y-o-y change (2014-13)
2014
2013
2012
2011
Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
Financial Summary
Indicators
Particulars
Value (--/--/20--)
Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
Liquidity Ratios Current Ratio Cash Ratio
Leverage Ratios Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved
PET FOOD MARKET IN INDIA 2015.PPT
Decline
12
Public: Domestic Company – ABC (3/5) Key Business Segments
Key Geographic Segments
a
c
e
g
h
b
d
f
g
i
India
Outside India
%
%
2011
2012
2013
2011
2014
2012
2013
2014
Business Highlights (1/2) Description
News
Overview
• Text
SAMPLE PET FOOD MARKET IN INDIA 2015.PPT
13
Public: Domestic Company – ABC (4/5) Business Highlights (2/2) Description
News
Manufacturing Facility
• Text
Global Presence
• Text
Quality Assurance
• Text
SAMPLE PET FOOD MARKET IN INDIA 2015.PPT
14
Public: Domestic Company – ABC (5/5)
SAMPLE S
W
O
T
PET FOOD MARKET IN INDIA 2015.PPT
15
Private: Domestic Company – ABC (1/5) Company Information
Offices and Centers – India
Corporate Address
Tel No. Fax No. Website Year of Incorporation Head Office
Products and Services Category
Products/Services
Key People Name
Designation
SAMPLE PET FOOD MARKET IN INDIA 2015.PPT
16
Private: Domestic Company – ABC (2/5) Shareholders of the Company
Ownership Structure Bodies corporate
Name
No. of Shares held
Directors or relatives of directors
SAMPLE
Ownership structure corresponds to Date of AGM: 30/09/2013
PET FOOD MARKET IN INDIA 2015.PPT
17
Private: Domestic Company – ABC (3/5) Financial Snapshot Total Income
Key Ratios Particulars
Net Profit/Loss
INR mn
INR mn
400
30
300
25 20
200
15 10
100
5 0
0 2010
2011
2012
y-o-y change (2013-12)
2013
2012
2010
2009
Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
Cost Ratios
2013
Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
Financial Summary • The company earned a net profit of INR mn in FY 2013, as compared to net profit of INR mn in FY 2012
Liquidity Ratios
• The company reported total income of INR mn in FY 2013, registering a decrease of% over FY 2012
Leverage Ratios
• The company earned an operating margin of % in FY 2013, an decrease of percentage points over FY 2012 • The company reported debt equity ratio of in FY 2013, an increase of % over FY 2012
Current Ratio Cash Ratio Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved
PET FOOD MARKET IN INDIA 2015.PPT
Decline
18
Private: Domestic Company – ABC (4/5) Business Highlights Description
News
Overview
• Text
Network
• Text
Certifications
• Text
SAMPLE PET FOOD MARKET IN INDIA 2015.PPT
19
Private: Domestic Company – ABC – SWOT Analysis (5/5)
• Text
SAMPLE S
W
O
T
• Text
• Text
• Text
PET FOOD MARKET IN INDIA 2015.PPT
20
Strategic Recommendations
SAMPLE
Scope for ` Improvement
PET FOOD MARKET IN INDIA 2015.PPT
21
Thank you for the attention Pet Food Market – India report is part of Netscribes’ Retail and Services Series.
For any queries or customized research requirements, contact us at: Phone: E-Mail:
+91 22 4098 7600 info@netscribes.com
About Netscribes, Inc. Netscribes, Inc. is a knowledge-consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content-management services, and knowledge-software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes, Inc. is a one-stop shop designed to fulfil clients’ profitability and growth objectives. Disclaimer: This report is published for general information only. Although high standards have been used in the preparation, “Netscribes” is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes and prior permission is required for guidelines on reproduction. PET FOOD MARKET IN INDIA 2015.PPT
22