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How to build loyalty in the new consumer landscape

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how to build loyalty in the new consumer landscape

The massive economic disruption in 2020 resulted in some significant changes in how consumers treat brands, not just in terms of product purchase, but also in terms of research, communication, and yes, loyalty. The good news is that all of these changes give brands an opportunity to rethink and optimize their strategies for the future.

“The truly unique opportunity we have as brands is being in an environment where anything is possible,” said Amy Wills, vice president of marketing effectiveness at global research firm GfK. “As marketers, we know that sometimes it’s incredibly difficult to disrupt a market. This is a situation where we had a major disruption and it opened the door for a lot of innovative thinking to create and develop your product offering. “Wills spoke at a GfK webinar in April 2021:” How brands can gain consumer confidence in the new market. “

Customization and Recovery: Know Your Consumers Now

The return to the “normal” is an instinct that brands have to fight against, according to Eric Wagatha, head of GfK Consumer Life (NA), who also spoke during the webinar.

“If your discussion is,” How do we get back to normal? “You miss the point,” said Wagatha.

According to GfK, different population groups are recovering from the current global crisis at different times. While 57% of consumers overall said they would be cautious about going out (and likely resuming personal shopping), there are differences in the way younger and older populations currently live. Slightly more than half of consumers said they lived normally, with the younger population group tending more towards this answer, while a little less than half said they lived very differently, with the older population group tending more in this direction.

“When we have crises like this, there is an adjustment phase and a recovery phase,” said Wagatha. It is important for brands to understand what stage consumers are in and what those stages mean for different people.

The 18-35 Year Olds: Win Them Today to Keep Them Tomorrow

The 18- to 35-year-olds are the age group in which brand loyalty is low, but openness to new products is high. This group is at a time in their life when they are experimenting with brands and trying to figure out what will suit them best so that they know what to spend their money on as they settle into a household routine.

“We cannot ignore that the future is that cohort, in size and in purchasing power,” Wagatha said.

It is not surprising that, according to GfK, this population group is more likely to deviate from a favorite brand than the average, but interestingly, they are less likely to buy anything that is convenient or cheaper. Additionally, when it comes to loyalty traits like secure data usage, excellent customer service, and money saving, they are below average.

All of this is certainly enough to keep brands busy.

“It’s not about focusing on one, two or three aspects, but realizing that loyalty has more dimensions,” said Wagatha.

If you want your branding strategy to succeed in the current climate, it’s time to look ahead.

“Don’t just scroll back and try to replicate what used to work. Expand your lens and see how you can move forward, ”Wills said.

Solid advice for brands and solid advice in general.

Source * www.petfoodindustry.com – * Source link

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Pet Food Safety Priority: 3 Questions to Ask Your Pet Food Manufacturer

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pet food safety priority: 3 questions to ask your pet

Sponsored content from Alphia

Choosing a pet food manufacturing partner is a complicated process. Assessing a company’s reputation in the marketplace is a good place to start, but why stop? It’s important to pull the curtain back to see what’s going on behind the scenes. This will give you a better idea of ​​how a company rates the quality and safety of their product.

Most reputable pet food manufacturers have a food and safety program in place. How thorough is it, however? How is it implemented? If you don’t answer these key questions, you run the risk of creating a product that doesn’t meet your standards, your customers’ standards, or the requirements of the FDA.

To avoid these risks, here are 3 critical questions you should ask any potential pet food manufacturer:

  1. How is your food safety program structured?

Most food safety programs aim to eliminate, prevent, or reduce food safety hazards to acceptable levels. To achieve this goal, the food safety management system (e.g. HACCP) must be based on effective prerequisites for food safety programs, which should include:

  • Supply chain management program – The integrity of the end product is guaranteed by setting specifications for all ingredients. The manufacturer should only buy from approved suppliers and create a schedule for the necessary supplier verification activities, such as on-site audits.
  • Sanitary transport of food – The food safety of the final products should be ensured by ensuring that the consignor or any other transport group handling the product follows prescribed hygiene practices.
  • cGMPs (Current Manufacturing Practices for Goods) – Any reputable animal feed partner should already be using cGMPs, which includes the use of hairnets to prevent product contamination, adequate water supplies and ongoing plant hygiene.
  • SOPs (Standard Operating Procedures) – The introduction of SOPs ensures the consistent execution of critical tasks.
  • SSOP (Sanitation Standard Operating Procedure) – Step-by-step procedures for disinfecting and cleaning equipment to minimize contamination.
  • Regular audits – External or internal audits should be carried out in the production facility; reports from a certified company should be available on request.
  • Committed culture – Manufacturers should commit to establishing guidelines and training their staff on food safety to ensure that this is one of their guiding principles.
  1. What measures are you taking to prevent cross-contamination?

Cross-contamination is an often overlooked segment of food safety, making it an important question to be asked of any potential partner. Every manufacturing process should already include a “killing step” with the aim of killing pathogens that may be present in the ingredients. Without appropriate precautions, however, harmful microorganisms can be transferred from contaminated surfaces to food surfaces or from raw materials to the end product. One effective preventive measure that you might want to look for is hygienic zoning. This is the case when a facility is divided into separate zones in order to separate areas for handling raw materials from areas after it has been killed, such as e.g. Both movement and airflow should be controlled to prevent cross-contamination between zones.

  1. Has any of your products been recalled? If so, what steps did you take to make sure it never happened again?

It is important to confirm that your prospective manufacturer has a history of meeting both customer and regulatory requirements. If the manufacturer has experienced a recall, before you cross it off your list, ask them what happened and what they did to alleviate the problem and make sure it doesn’t recur.

A recall can be evidence that a food safety program has failed; However, there are many reasons for a recall. For example, it can be as simple as an employee mistake leading to a recall. Or an ingredient from a supplier with a confirmation letter provided that later turned out to be contaminated. Whatever the reason for the recall, smart questions can help shed light on the real causes of the recall and help you determine if the manufacturer’s food safety programs are up to your standards.

Conclusion

Making pet food is a complicated process. In order to avoid contamination and maintain product integrity, suitable measures must be taken at every step from raw material procurement through production to transport. Failure to comply with food safety standards can lead to disruptions to your production schedule or, in the worst case, a recall by the FDA.

Before deciding to partner with a pet food manufacturer, make sure it is adequately reviewed by asking smart, informed questions and doing your own audit. Your reputation and your customers, two and four-legged friends, depend on it.

Source * www.petfoodindustry.com – * Source link

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10 top pet food companies headquartered in Europe

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10 top pet food companies headquartered in europe

Most of the top 10 pet food companies headquartered in Europe, as measured by sales in 2020, were different from the previous year’s rankings, with only four of the top 10 remaining in the same rankings. The June edition of the Petfood Industry with its annual report on the Top Pet Food Companies introduces the leading pet food companies from around the world. While companies headquartered in the USA dominate the top of the overall world rankings, companies based in Europe also stand out.

10 top pet food companies based in Europe and their home country, ranked by 2020 annual sales (in millions)

  1. Agrolimen SA, Spain, US $ 900.00
  2. Deuerer, Germany, US $ 721.00
  3. Heristo AG, Germany, $ 700.00
  4. United Petfood, Belgium, $ 650.00
  5. C&D Foods, Ireland, $ 450.00
  6. Monge & CSpA, Italy, $ 385.00
  7. Pet Nutrition Partner, Hungary, US $ 354.17
  8. Vafo Group, Czech Republic, $ 320.00
  9. Versele-Laga NV, Belgium, $ 257.10
  10. Farmina Pet Foods Holding BV, The Netherlands, $ 254.00

Compared to last year, six of the top 10 pet food companies headquartered in Europe have shifted in their ranking status, the top three and the bottom three. The four companies in the middle of the field remained constant in their rankings. Ranking changes include:

  • Agrolimen SA has moved up two places
  • Deuerer, Heristo AG and Versele-Laga NV have all dropped one place
  • Vafo Group has risen significantly in the ranking
  • Farmina Pet Foods Holding BV is new to the ranking this year

While one of the top 10 pet food companies headquartered in Europe had unchanged year-on-year sales, six saw year-over-year sales increases and three saw sales decrease.

Three of the top 10 companies headquartered in Europe have pet food subsidiaries

  • Agrolimen SA

    1. Affinity Petcare SA, Spain, $ 667.00
    2. Instinct, United States, $ 200.00
    3. Natures Menu, UK, $ 33.00 US
  • Devereux
    1. Vitakraft Pet Care GmbH & Co., Germany, $ 275.00
    2. Pets Choice, United Kingdom, $ 64.78
  • United Petfood
    1. Bynsa Pets, Spain, $ 136.23
    2. Effeffe pet food, Italy, $ 49.50

Geographically, the companies have their headquarters all over Europe, two of them in Germany, two in Belgium and one each in Spain, Ireland, Italy, Hungary, the Czech Republic and the Netherlands.

Acquire key data on leading US pet food manufacturers

The information is sold as a downloadable spreadsheet that allows customers to sort, filter, and analyze the data based on their specific needs. The data points include, if available, postal address, type of products offered, brands, number of employees, number of facilities and annual sales 2017-2020. The companies are ranked by sales in 2020.

Take the survey on the top pet food companies

The Petfood Industry Top Pet Food Companies project surveys pet food companies every year, always with the aim of expanding the reach and reach of the companies in the rankings. To be included in the annual leaderboard, please contact [email protected] The data is collected each year through a variety of methods including direct company contacts (a survey is emailed to the participating companies), in-depth research and estimates.

Contact Tara Loszach by email at [email protected]

Source * www.petfoodindustry.com – * Source link

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U.S. pet food spending increased in 2020, tracking sales growth

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u.s. pet food spending increased in 2020, tracking sales growth

U.S. consumer pet food spending increased more than 31% year-on-year (YOY) through mid-2020, according to data from the U.S. Bureau of Labor Statistics (BLS) reported by John Gibbons, aka the Pet Business Professor and have been analyzed.

This huge increase in reported spending confirms similar spending growth seen by Packaged Facts, as well as healthy pet food sales growth in 2020 reported by the American Pet Products Association, Euromonitor, and others. (Note that Packaged Facts data showed US pet food and treats spending up 15% over the year. The US government is notoriously slow to move, even in normal times; hence the latest BLS data, recently published, only goes through mid-2020. The agency’s data for the full year 2020 is expected in September 2021, according to Gibbons.)

Effects of COVID-19 on pet food spending

By mid-2020, U.S. pet food spending reached nearly $ 40 billion – $ 37.96 billion to be precise, according to BLS data. That’s an increase of $ 9.06 billion since mid-2019, Gibbons reported.

He found that pet food spending had actually started to grow in the second half of 2019 – in fact, “recovered” after unexpectedly declining in 2018, at least according to historical patterns. That decrease was likely due to the Food and Drug Administration (FDA.) Investigation and announcements about a possible link between grain-free pet foods and canine enlarged cardiomyopathy (DCM). This makes sense because sales data from Nielsen and others showed a significant drop in grain-free sales in 2018 and 2019, and that category accounted for a significant share of the overall U.S. pet food market.

“In the second half of 2019, we began to see a recovery from the overreaction to the FDA warning and spending increased by $ 2.3 billion,” Gibbons wrote. “Then came 2020. The recovery continued, but a new external influence came in that had a massive impact on US consumers – the COVID-19 pandemic. In March, non-essential stores were closed. It also sparked a wave of panic buying across some really important product categories. There is only one really essential category in the pet industry – pet food. “

Ultimate Pet Food Spend?

We all know the rest of this story, but Gibbons’ analysis provides additional insight into who actually spent more on pet food: higher-income US households and baby boomers. In particular, households with incomes greater than $ 70,000 increased their spending by 25% in the first half of 2020, and households with incomes greater than $ 100,000 increased their spending by more than 20%. Again, this is in line with animal feed sales data from Euromonitor and other sources.

Looking at pet food spending by age group, US consumers 55 and over increased nearly 23%, according to BLS data, while spending in two other broad age groups, under 35 and 35-54 year olds, actually decreased slightly YOY.

Based on this data, Gibbons created a profile of the “ultimate household that provides pet food”: 55 to 64 years old (also known as boomers), married couple with oldest child over 18 years of age, two earners but self-employed, income of US $ 100,000 Dollars to $ 150,000 and lives in an area of ​​more than 2,500 people.

However, he also pointed out that their status as “super-animal parents” may have influenced the BLS spending data, which is traditionally collected through interviews, surveys and even printed diaries – a process that, like everything else, is related to the pandemic. Due to lockdowns, all personal interviews or the collection of diaries by BLS employees had to be relocated online or by telephone, which dampened the response rate.

To compensate for this, BLS included households in its survey process, Gibbons said, where boomer influence may have played a role. “They are more than scrupulous about their pets, so it is expected that they will be the most likely to respond to a survey conducted in the difficult circumstances created by the pandemic,” he wrote. “This could result in their large pet food spending spending a disproportionate proportion of the sample and driving up the mean significantly.” He also noted that the large differences in pet food alone and in other categories were not widespread; the fluctuations in total spending were small.

Nevertheless, according to Gibbons, the BLS survey is “demographically representative without general biases. Pet food spending may be a bit high, but it’s very likely that there was a big spike in the first half of 2020. ”And the pet food and treat sales figures show that.

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Source * www.petfoodindustry.com – * Source link

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