13 minute read
Healthy Pets: The healthcare opportunity
The healthcare opportunity
Pet healthcare is a hot topic for many pet parents, and here we learn how retailers are boosting sales with wellness products to keep pets healthy and happy.
-Words Caroline Zambrano
COMPANION ANIMALS are an important part of our lives and deserve the best; keeping them healthy and happy is a priority.
With pet owners becoming more focused on preventative healthcare to help maintain their furry friends’ optimum health, it’s no surprise pet retailers are more prominently incorporating wellness products into their stores.
We’re talking about pet food and supplements that boost the immune system, care for the gut, strengthen the joints, help with anxiety, improve skin, and more.
Dog owners across Australia cumulatively spent $20.5 billion in 2020 while cat owners spent $10.2 billion¹. Food leads as the largest category of spending for pets, followed by pet health related items.
The increased spending on wellness products and services has certainly been influenced by the increased humanisation of pets. Furthermore, studies have shown that on average pets are living longer. As pets get older and their metabolism slow with age, pet healthcare – particularly supplements – holds interesting potential for further dynamic value growth to 2027 in addressing the nutritional needs of senior animals, according to a Euromonitor International World Market for Pet Care report.
– Bree Durie, Owner, Taree Pet Barn
Pet owners’ focus on healthcare presents a huge opportunity for retailers to drive new business by carrying all the wellness products that pet parents need. But the key to success is more than having the shelves stocked with health product options.
“Staff education about pet health and products from veterinarians and manufacturers is crucial,” explained Janine Yeates, Marketing Manager of Just For Pets, one of the largest groups of independent pet retailers representing more than 45 stores around the country.
“Through Covid, our stores experienced up to 30 per cent growth in sales. Because people couldn’t go anywhere and found it difficult to see a vet during the pandemic, they went to pet stores to find a solution for their pet’s problems.
“Behaviour, anxiety, joint, skin, coat and more – many things can be treated in-store with foods, supplements, and training. It all comes back to how stores educate their customers, and that goes back to how their staff are educated. Staff need to have the knowledge behind healthcare products and services and sell them properly based on the animal’s individual needs.”
Bree Durie, owner of Just For Pets member Taree Pet Barn in NSW, has seen a significant increase in customers heading to the pet store to seek the healthcare advice of their knowledgeable staff.
“The pet store is not being used to replace the expert advice of a veterinarian but instead as a channel to help customers understand their pet better,” Durie explained. “It is true that a good portion of customers entering the pet shop are completely unsure on how to resolve the issue they may currently have with their pet. In some cases, people don’t realise there's an issue. We have found that through asking the right questions of our customer we can better understand the customer and their pet’s relationship and find the true underlying issue at hand.”
Matthew Seychell, store manager of Pets Unleashed (also a Just For Petsmember), has seen a huge increase of pets with separation anxiety since the start of the pandemic.
“Separation anxiety is not only on the rise, but it is now the most common health concern we encounter in our store,” he said. “Often the problem is misdiagnosed by our customers who believe anxiety is more of a behaviour problem and come in to talk to us around correction collars and even surrendering the pet to a shelter. Thanks to a combination of products, staff training, food and supplements we have been able to help many families start on the road to curving this anxiety.”
Currently, the Queensland store’s most popular product in the wellness category is Paw Complete Calm by Blackmores, a natural product based around L-tryptophan and Vitamin B that helps with the pet’s natural nervous system and aids pet owners in beginning a training program.
“We have also recently taken on a new product, Nectar Calm and Relax, which is also doing very well with counter displays and sampling,” said Seychell. “The counter display can help us identify customers with pet health concerns even if we can’t see their pets. Nectar Calm and Relax is available through Real Pet Food and works very similar to Paw Complete Calm but is a powered to be added to water and can be helpful for fussy pets not wanting to eat the chew.”
Seychell shared a recent experience of a customer who came into the Pets Unleashed store with a rescue dog from the Animal Welfare League, adopted six months before.
“The staff noticed the dog was walking through the store licking its lips and pacing on the lead. We recommended the Paw Complete Calm and a looser lead walking method. This combination has helped the customer adapt their dog’s behaviour and thrive, breaking the habit and balancing their anxiety,” he said.
At Taree Pet Barn, Durie has noticed the dynamic between people and pets has changed significantly since Covid. When they were once at home with more flexibility in their day to be with their pets, pet parents are now returning to the office, going on trips and after school activities and more.
– Janine Yeates, Marketing Manager, Just For Pets
“All these things a pet does not understand nor accept as ‘normal’ and have led to a change in their behaviour. People have found their dog barking, being destructive, urinating uncontrollably and in some cases displaying aggressive behaviour towards particular people,” said Durie.
To deal with barking problems, most people are told to put a barking collar on their dog, not realising that if the barking has come from a place of stress and anxiety, we could do more harm than good in using the collar as the corrective measure.
“When customers visit us, we try to ‘unpack’ the problem as to what triggered the change in behaviour, why all of a sudden, the (unwanted) behaviour started and a more appropriate measure to try and address the issue at hand,” she said.
“Many supplements exist to help in alleviating the stress felt by our pets in these situations and are becoming a popular alternative to help correct the behaviour. As we go through time, new supplements will emerge to further cater for our dogs’ wellbeing and needs. As a pet store, we will continue to find the best products for our customers and help them along their journey with their pets.”
At Just For Pets, Yeates explained that to educate staff about wellness products, retailers need to be reaching out to the product manufacturers to learn what training is available. While some manufacturers, like PAWS Blackmores, have an online training portal, many other brands offer instore training to ensure retailers are educated to be able to sell the product.
“Retailers need to choose manufacturers that put health first and they can do that by asking about the science behind the product, such as case studies,” she said.
Seychell shared an example of excellent product information and training for pet store staff provided by Nectar of the Dogs, including a one-hour webinar training plus short product refresher videos and user generated content videos from pet parents.
What also contributes to retailer’s success in selling wellness products is building strong partnerships in the pet industry, particularly veterinarians, and align national/local calendar events with education seminars to introduce healthcare products, such as pet dental month, winter care and arthritis, tick season etc.
“Just For Pets members have a monthly focus, for instance senior pets, anxiety or parasites, so that we can give stores the opportunity to educate the customer and offer a solution,” said Yeates.
“We get suppliers on board, such as dental chew companies, to do displays and showcase their products more easily and that enables staff to have a conversation with customers in-store.”
Pet retailers are also using healthcare products as cross-sell and upsell opportunities to boost revenue. While a customer may come into a pet store looking for a product, the team member may introduce the option of pet vitamin supplements while fulfilling the need the customer was initially looking for and allowing them the space to browse the selection on offer.
“With reduced access to vet appointments caused by staff shortages, pet owners are increasingly tackling basic healthcare needs at home, such as first aid for wounds, plus skin, ear, eye, and dental care products, and they still need help along the way. Pet stores are well positioned to offer the assistance,” said Yeates.
How do you trust a pet health product?
With so many pet wellness products on the market today, how can retailers choose a reputable pet healthcare brand that vets, and pet parents can trust? Anthony Hillier, Pet Health Business Director Blackmores Group explained the four key elements:
• Vets are key: The vet is the most important source of information for a pet parent so it’s vital they play a huge role in the credibility and recommendation of a pet health brand.
• Education: While pet parents love and care for their pets as if they would the rest of their family, the reality is that pets aren’t people and as a result their health needs are different to ours.
• Science and evidence: All ingredients and formulas have the evidence to support their use.
• Quality and transparency: Pet parents want to know that the products their pets are taking are made with high quality ingredients and contain the correct level of actives to provide the result that they claim. Hillier said when it comes to PAW by Blackmores (PAW), vets are the cornerstone of the brand, with its range focusing on skin and coat health, joint health, digestive health, mental health and wellbeing, liver health, ear care and grooming.
– Anthony Hillier, Pet Health Business Director, Blackmores Group
“Not only are all our formulas developed by our in-house team of vets, but we also work closely with specialist vets in the industry to ensure we are developing products that answer to their patient’s needs,” he said.
“PAW also seeks to ensure education is at the forefront of everything we do. Both to practitioners and consumers. Whether it be about an ingredient, formula, product, health concern or even new research.”
Sharing advice to retailers about selling healthcare products, Hillier first highlighted education.
“Spend some time reading product labels at the shelf, speak to your reps or complete learning modules online,” he said.
PAW, for instance, provides evidence-based natural pet health education for pet industry professionals, including e-learning specifically for retail staff members who are able to access e-learning modules, fact sheets, articles and other resources anywhere, anytime and from any device.
“Recommend brands to customers that are transparent and reputable. There are so many products out there, it can be hard to know what’s right for each pet that you may see in store. Look for the brands that are clear with their formulas, doses, and ingredients and those that are recommended by vets,” said Hillier.
“If you don’t know, refer to a vet. It’s ok to not know all the answers. Vets train for many years to understand the health needs of pets so if a pet parent is asking questions that you think you can’t answer you are better off recommending they consult their local vet. Pets are family after all, and we want to make sure they are getting the care they need.”
Looking at the future of animal healthcare products, Hellier anticipates a continuation of pet humanisation and the mirroring of human trends into the pet world.
“With an increase in small and designer dog breeds, personalised care will increase in importance for pet parents. Brands will need to ensure they are creating products that cater for the differing health needs of breeds, sizes, and species,” he said.
“We are already starting to see a shift in perception of preventative versus curative care. Forty-five per cent of pet parents currently say they would prefer prevention over cure.”
The future also holds huge opportunity in the feline space when it comes to natural health care. While today, the category is driven mainly by canine offerings, the popularity and growth of cats is picking up speed, said Hillier.
“Natural pet health is a reasonably new category and knowledge around how to best care for our pets wholistic health is limited,” he said. “So, for us it’s so important to ensure we are providing pet parents, retailers and practitioners with tailored information and support to ensure they feel confident caring for their customers and pets.”
Other health care product revenue opportunities for retailers
Motivated by the health, happiness and well-being of companion animals, pet retailers want to be there for people and their pets every step of the way.
To help pet parents provide their four-legged friends the best healthcare possible, retailers overseas are partnering with pet insurance companies to offer affordable and meaningful pet insurance cover.
Recently, UK pet care retailer Pets & Friends signed a new partnership with Animal Friends Insurance to give customers exclusive discounts. Reportedly the scheme will provide Animal Friends customers with a £10 voucher when they spend £30 or more with Pet & Friends to spend online at petsandfriends.co.uk, alongside bespoke content and handpicked Pets &Friends product reviews to help with their pet’s health and well-being.
In return, Pets & Friends customers will benefit from access to AnimalFriends pet insurance policies, including various types of cover to suit specific pet needs, a selection of policy excess options to help manage monthly costs, and a dedicated vet portal that allows vets to claim on behalf of pet owners.
American retail giant Walmart has also partnered with pet-related digital content publisher The Dodo to offer pet insurance branded as“Fetch by The Dodo” (in addition to other pet-focused initiatives, such as the Walmart Pet Lovers box featuring toys, treats, branded dog apparel and more), according to a post from Vox Media, The Dodo’s parent company.
It’s clear that through education, product awareness and strong partnerships, retailers can achieve great success with healthcare offerings in-store.
Source: ¹ Animal Medicines Australia, Pets and the Pandemic report