Pet Industry Infestation Analysis

Keywords: pet company infestations, pest dog or cat industry

PEST research is the macro-environmental factors that will effect the firms like groomers capacity to supply the products and services it offers to its customers (Jobber 2007).

These external environmental factors are difficult to control or affect whereas the elements explained by SWOT evaluation are controllable as it have an impact on the firm exclusively (Blythe 2006).

The internal controllable factors will be the power and weakness whereas the exterior factors including the hazards and opportunities are uncontrollable occurrences that occur beyond your business. Groomers should focus on switching weakness to advantages and risks into opportunities (Jobber 2007).

Groomers Probable Changes/Movements In The Animal Grooming Market

Factors

Explanation

Negative Impact

Positive Impact

Taxation

The Government often imposes taxation on specific products. Also changes according of VAT possessed some results on the businesses (Blythe 2006)

The products profit margin will be less if there is more tax

The profit margin will be high if the tax is reduced as sales will increase

Animal safe practices regulations

Products need to verify the national security polices whether its home or overseas

(Blythe 2006)

Lose the existing market for the merchandise and there will be drop in the product sales

Gives a good attitude towards the product and will draw more customers as the merchandise are being up to standards

Government Legislations

Governments legislations on dog or cat insurance and consumer safeguard etc

Decrease in the pet ownerships as effect will be downfall in the product sales when there is a rise in the pet insurance

Increase in the pet ownerships therefore you will see an increase in the merchandise sales when there is decrease in the pet insurance

Trade barriers

Governments restriction on exchange of goods, services such as tariffs on imports, exports, traditions practices and contracts made between countries etc

When tariffs increases the cost of goods raises so there will be a reduction in the product sales.

Agreements made with EU member teams help expand the merchandise market to all or any EU users. The sales of products could be more as it emerges at fair price if the tariffs on exports and imports in less

Lifestyle

The census shows that one quarter of the population in UK is solo parent

(census printed by BBC)

Aged and one households buy household pets (Mintel 2008)

The people being occupied with there standards of living find less time for dogs.

The single mother or father will buy dogs for companionship. As the speed continues on increasing you will see an increase in the product sales

Innovation of new products

A new product on the market creates the difference between the competitor's products and makes the work easier.

Less attraction of individuals towards the product as it is identical to other companies

People choose brands which may have wide range of products (Mintel 2008). Will bring more customers

Summary

The external environment factors that the groomers should concentrate upon will be the political rules such as trade barriers, pet safety laws, taxation and lifestyle and the weakness are insufficient sufficient infrastructure, technological sources, proper adverts, brand identity, sales force and selling channel is limited. The need for brand awareness, lifestyle and producing new products tends to create potential changes in grooming industry.

Profile of the normal potential buyers of groomers products

Consumers will be the individuals who choose the products for his or her needs. By far the most intractable aspects of the buyer behaviour are who, how and what (Blythe 2006)

B2B Customers - Professional groomers, Retail

B2C Customers - Home (OWNERS)

Customers

Profile of customers

Customer preferences

Concerning Factors

Buying Locations

Professional

Groomers

*New/Experienced groomers

* Groomers for all breeds

Products for many breeds

Wide selection of products

Low noise level equipments

Innovative Products that produce the work easier

Quality

Price, regular resource from the company, product efficiency

Retails shops, Suppliers

Retail

Consumers looking for wide selection of brands

*Educated people

*Middle category and upper middle class people

*Single households and aged people

Products for all

Wide selection of brands

Exclusive range of products

Reasonable price and offers

Quality, brand awareness regular supply of products,

Price, customer opinions/satisfaction

Suppliers

Domestic

(Pet Owners)

*Family pet owners/high income group

Quality products at affordable price that provides good health and enhanced performances

Quality

Price, efficiency of products

Retails shops

Internet shopping

Purchase Decision Process

Summary

The difference between the typical customers such as professional groomers, retail and domestic are worried about the brand understanding, quality, range of products and price.

Competitor Analysis

It is very important to companies like groomers since their commercial performance is determined by both the rivals and customers. They have to understand both rivals and customers. Better knowledge of competition helps the groomers to forecast the competitor's replies to the marketing initiatives that groomers may take (Jobber 2007, p. 774)

Porter's 5-power competitor analysis for dog or cat grooming market

Forces

Major barriers

Pet Grooming Market

The threats of new entrants

-Well founded products (Brand id)

-Access to distribution channels

-Experience in the pet business market

-Switching costs

-Capital requirements

(Jobber 2007)

-New/foreign competitors stepping into the market

-Companies in pet health are stretching the business enterprise to accessories such as clothing and toys

The bargaining ability of suppliers

-Concentration of suppliers

-Switching costs of suppliers

-Power of the distributor is high when the brand is powerful

(Jobber 2007)

The electric power of suppliers is high as there are some suppliers with high grade brand Eg. Wahl, Andis and the price tag on transitioning the suppliers is low

The bargaining electric power of buyers

-Buyer moving over costs

-Standardized products

-Industry not being key company of products

-Presence of substitutes costs

(Jobber 2007)

The bargaining power of buyers is more as there are many suppliers with different brands such as domestic pets at home, Christies direct etc who offers range of products at acceptable price

The dangers of swap products and services

-Buyers determination to substitutes

-Switching costs to substitutes

- Performance of substitutes and its price

-Price Sensitivity

(Jobber 2007)

The threat of alternative products is very high because the normal shampoo and scissors can be utilized and the cost involved in moving over to swap product is low

Competitive rivalry

-Brand identity

-Product differences

-Diversity of competitors

(Jobber 2007)

There apt to be strong competition as there are diverse opponents in the pet grooming industry

Key competition in the pet grooming

Competitors

Strength

Weakness

Target Customers

Pets at home

-Everything for your dogs and cats all under one roof

-Shops available at various locations

-Wide selection of products for pets such as food, playthings and accessories

-Products of different brands

-The retailers being well stocked and pet friendly

-Will be expensive unless you buy the products in bulk

-Some issues in customer services

Professional groomers

Pet owners

Dezynadog

-Good customer service

-Helps in salon set-ups

-Fast, cost effective and reliable repairs

-Poor online shopping experience as the web site isn't that interactive to say about the products.

-They are not in to the pet food market

-E-Marketing

-Brand awareness

Professional dog groomers

Pet owners

Christies direct

-Livestock grooming

-Wide selection of products

-No delay in product delivery

-Best cost package products by constantly monitoring the products source price

-No innovative Christie products

Professional

Groomers

Pet Owners

Simpson's & Sons

-Wide range of products

-Products recommended by vets and professionals

-No family pet shops

-No progressive products

Professional groomers

Pet Owners

Pet Planet

-Wide selection of pet products

-Wide selection of different brands pet foods

-Innovative products

-Not focus on particular pet market

Professional groomers

Pet owners

Animal bargains

-24 time sales over phone

-Exclusive selection of products

-More bundle offers

-28 days go back policy

-Free advice on family pet health

No Retail shop

Shipping demand is high

Pet Owners

Amazon

-Broad range of products with competitive prices

-Fast delivery of products

Delivery demand is high

Pet Owners

Summary

Groomers face both direct and indirect competitors in the pet grooming market

RECOMMENDATIONS:

Product:

Brands will have a powerful social force, the product that has strong brand name creates easy product recognition, establish the merchandise in marketplaces, product differentiation, creates devotion, build trust one of the consumers, increases the power they have over the vendors. (Frances Brassington 2006).

Recommendations:

Groomers should identify their market segmentations and really should focus on creating a brand personal information by offering differentiated dogs products and services with good quality that satisfies the needs of different consumers.

Short-term plan:

To be a well-established brand in the market it requires time and investment also to gain revenue at earlier it is best to own business tie-ups with an increase of partner companies to find a way to get variety of differentiated products get more customers.

Long-term plan:

Groomers also needs to plan accordingly whether to hold on to their existing product that fits the customer needs by analysing the sales with their products and feedbacks from customer and create a new innovative product that offers answer to the customer problem and make use of the opportunities on the market. The continuous development of services always will keep the brand close to its customers.

Groomers should focus more on the international markets such as India and other countries where they may have limited competition.

Price:

Pricing determines the grade of the products and sometime it control buttons the huge benefits and features of the products. It also really helps to determine the position of the product from the competitor's product on the market. (Blythe 2006)

External affects on pricing decision - Designed from Frances and Brassington

There are some factors which have an impact on the charges such as administration regulations on transfer duties, taxes, price control on products to prevent inflation.

The distribution stations also have an impact on the purchase price (Blythe 2006)

Recommendations:

Groomers should give attention to delivering quality products at affordable price. Groomers should work out the dealings with the distributors and suppliers and find other substitutes to lessen the cost put into the product so as all the customers could afford the product. Groomers should focus more on value prices such as different bundle offers that provides the customer a decision to choose their product.

Place:

The syndication of products is obviously important, getting the right levels of products at right place and at right time can be an important prerequisite for customers to choose the products (Blythe 2006).

Channel constructions of goods- Designed from Frances Brassington and Stephen Pettit

Recommendations:

Groomers should give attention to how good to make the products and services available to the mark consumers.

Short-term plan:

Groomers should improve the distribution channels insurance firms tie-ups with the greater retail retailers throught UK to have more market penetration and avoid sold-out situations, the time delay the merchandise takes to gets to its customers also to reduce the transport costs involved with delivering the merchandise to its customers.

Long-term plan:

Groomers should create their own specific outlet stores at various places to lessen the costs being added to the product as the product exchange hands on hands.

They should analyse the customer-buying pattern at each places, performance of intermediaries in providing the products and services to its customers and replace the indegent doing intermediaries.

Promotion:

The promotion is a communication link between potential buyers and vendors and there are specific factors such as advertising, personal offering, sales advertising and immediate marketing that will influence the buyers purchase decision process (Frances Brassignton 2006).

Elements of Promotional Mixture- Designed from Frances Brassington and Stephen Pettit

Advertising helps Groomers to generate brand awareness in the market. Brand awareness creates a desire for the product on the list of consumers. Though groomers are using online catalogues they ought to focus on conversing via multimedia such as TV and publication that reaches a variety of customers.

Short-term plan:

Groomers should improve their website - make the web shopping experience more appealing by displaying the offers much noticeable and categorising products on brands to the clients.

Groomers should have tie-ups with more retail shops such as tesco, sainsbury etc

Should focus more on the customer service such as adding more benefits on customer devotion and should have promotional offers on services to appeal to more sellers and customers.

Groomers should actively take part in trade fairs, dog shows.

Long-term plan:

Groomers should concentrate more on advertising their products through TV, magazine and taking part in certain situations such as dog shows and trade fairs to generate brand recognition.

They also needs to employ sales force to provide extended customer support.

Summary

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