The more than $50 billion pet industry has doubled in size in the last 10 years—growing faster than the candy or toy industries over the same period. With the pet retailing area delivering excess returns, it has been attractive to the competition. And with market share up for grabs, the specialty players have had to ante up. Specialists are facing more competition from the discounters, much like grocery stores and drug stores have in recent years. Wal-Mart (WMT) is dedicating a larger square footage in their stores to the pet area, as they are doing a major remodel program. Target (TGT) also came out a few years ago with more pet supplies.
Consumers have to make some boundaries about what they are going to spend on their pets. For example, strong customer service at a PetSmart store, where the sales associates are well trained has been a big advantage of maintaining and helping these retailers gain share, even in this increased competitive environment. Given the care and comfort that most people provide for their pets, there is significant long-term growth potential for company’s entering the industry.
Crown Crafts, Inc. (NASDAQ: CRWS) announced yesterday that it is launching Neat Solutions® for Pets, a new line of pet beds and accessories. This new product line will be a part of the company’s Crown Crafts Infant Products subsidiary, and furthers its ongoing strategic initiative to create greater shareholder value through product line expansion and end-market diversification. Neat Solutions(R) for Pets will debut at the Super Zoo Expo to be held September 14-16 in Las Vegas, NV.
Taking advantage of the Company's capabilities in design and fabrication, coupled with its keen understanding of parents' spending habits, the new Neat Solutions for Pets' offering will include beds, bolsters and cuddlers for dogs and cats, kennel mats, and protective and decorative throws. All of the distinctive products will be designed with today's most-current, trend-right colors to fit in with any home decor. Enhanced product features include novelty fabrications utilizing a home decor color palette, as well as durable and washable fabrics.
"We have analyzed and researched the pet industry in depth and see significant, long-term growth potential for our unique product offerings," said Nanci Freeman, President and Chief Executive Officer of Crown Crafts Infant Products. "Neat Solutions for Pets allows us to gain greater leverage from our expertise in softline products and our core competency in serving parents and caregivers."
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