Misleading And Dated Information About The Pet Industry
I just read another "Get Rich Quick in the Pet Business" article on AOL.
The first time I read it, I wrote to the editors of Entrepreneur Magazine who supplied the piece that James Stephenson wrote, but never received a reply.
Anyone thinking of getting into the trendy pet industry should read the following:
As a designer and manufacturer of upscale pet products for almost 10 years now, I must comment on James Stephenson’s “Get Rich Quick in the Pet Business” article that I just read again on AOL.
It angers me to read articles like this that misinform and mislead people. It may be close to a 40 billion dollar business, but 80% of it is spent on dog food, kitty litter and other commodity items, certainly not on designer duds, gourmet dog treats and fancy squeaky toys as the author implies
It is far from "easy" to make "a lot" of money in the pet business! As a result of exaggerated articles like Stephenson's, the market has become flooded with manufacturers and retailers that want to make a fast buck in a trendy business. What was once a really pleasant industry has become viciously competitive with companies copying other manufacturer's designs; boutiques opening on top of one another and vying for the same lines in small trading areas; Chinese factories sending emails to companies and directly to retailers offering to manufacture pet items; Independent sales reps losing commissions to online wholesale companies that don't have travel expenses and wholesale catalog and online companies selling to the public for the same price they sell to retailers. In addition, let's not forget the big box stores like Target and Wal-Mart, as well as the big pet store chains that now sell frilly little dresses for pampered pooches and are taking a big slice of the pie. Finally, retailers are becoming manufacturers and manufacturers are becoming retailers, not to mention that every big name apparel and handbag designer is also in the pet business.
It saddens me to see how the pet business has evolved in just these past few years. Cease and Desist orders now abound in the industry. Folks, the pie just isn't that big! The industry is saturated and we have already begun to see a shake out on both sides of the table. Established manufacturers are going out of business, as well as many online and pet boutique hobbyists. It was very obvious at the recent H. H. Backer Pet Industry Trade show that there were fewer exhibitors. The rumor is about 200 less than last year and buyer attendance was also down.
Unless people really understand the pet industry, have a strong business plan and a lot money to invest, they should put the baking pans back in the cupboard and the dust cover on the sewing machine. The pet business is not the fast "path to financial freedom" that Mr. Stephenson writes about.
Jane Knittle, President
A Pet’s World