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Global and regional trends should be the starting point for every business. Which current trends can be relevant for your company’s mission, strategy and core values?
Internet transparency
The most important trend is the overwhelming transparency due to the Internet, which is both a blessing and a curse. Nowadays consumers understand the dynamics in the pet industry, for example, and are aware that they can order accessories and food at the source. Websites such as Alibaba.com, AliExpress.com, Amazone.com and Bonanza.com are their guides in online shopping.
Therefore, most companies have to recalibrate their strategy, discover their new added value in a rapidly evolving market, and sometimes even need to reconsider their mission statement and core values. Let’s look at some global trends for the pet industry that might affect that.
Pet humanization to the max
Trends such as overpopulation and an ageing society will drive pet humanization to the max. Jim Cramer, Mad Money presenter on CNBC, even called pet humanization “the greatest investing theme” in the market. One of the key drivers is that less and less people in western oriented countries want a life partner to raise kids with. It’s such a hassle, that they prefer owning a cuddly pet. These pets are spoiled and dressed up, and services like dog and cat restaurants or pet insurances will benefit from this humanization trend.
Small becomes big business
Urbanization, overcrowded cities and high rent apartments with limited space result in a longing for smaller pets. Small pets are also handy while travelling on public transport, the number one means of transportation in urbanized areas. Diversity in pets will also increase, inspired by people who like to expand their presence with a pet that fits their personality. Think birds, reptiles and rodents.
Patent and brand protection
In a world where consumers can obtain any product or pet instantly, added value can be found in truly unique products and services. Therefore patent and brand protection is key in the years to come: patents on products like robotized, artificial pets or patents protecting genetic modification of pet foods… or even pets. This has already prompted a discussion in the pet industry, comparable with the discussions in the seed industry. Who will own nature in the near future and will present patent protected, genetically modified animal species?
Biological patents
A promising new market, causing a lot of ethical discussion, is biological patents. In the end the focus will be on genes. In most countries ‘naturally occurring genes’ cannot be patented. In fact only man made things can be legally protected. The interesting aspect is that a genetically modified organism (GMO) can be seen as a thing. Obviously, this is still very much an unexplored area. But that is exactly what real entrepreneurs are looking for. So, go for it: make use of the first mover effect and grab that media attention.