The US Pet and Pet Supply Store Industry is Concentrated at the Top, but otherwise Highly Fragmented with the 50 Largest Companies Holding 60% of Sales

Business Wire, May 17, 2006

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/reports/c37178) has announced the addition of the new First Research report "Pet Stores Industry Profile" to their offering

The US pet and pet supply store industry includes about 7,500 stores with combined annual revenue of almost $8 billion. Major companies include PetSmart, Petco, Pet Supplies Plus, and Petland.

Pet ownership drives demand, and spending generally resists economic cycles. Profitability for individual companies depends on the ability to generate store traffic and effective merchandising. Large companies offer low prices and wide selections of both products and services. Small companies compete effectively by serving a local market, selling unique products, offering specialized services, or providing pet expertise. The industry is labor-intensive, with annual revenue per employee of about $100,000. Revenue per employee for small, independent pet stores is significantly lower than for major chains. Competitors include grocery stores, warehouse clubs, mass merchandisers, Internet retailers and some veterinary clinics.

The industry is concentrated at the top, but otherwise highly fragmented: the 50 largest companies hold 60 percent of sales. Major product segments include pet food, pet supplies, aquarium products and fish, and pets. Pet food accounts for 40 percent of sales, pet supplies for 40 percent, aquarium products and fish for 10 percent, and pets for 5 percent. The pet food segment primarily consists of dog and cat food. Pet supplies include pet toys, collars and leashes, cages and habitats, and vitamins and supplements.

Key topics covered:

- Industry Overview

- Quarterly Industry Update

- Business Challenges

- Trends and Opportunities

- Call Preparation Questions

- Financial Information

- Website and Media Links

- Glossary of Acronyms

- Executive Insight

Companies mentioned:

- PetSmart

- Petco

- Pet Supplies Plus

- Petland

For more information visit http://www.researchandmarkets.com/reports/c37178