Amazon’s Growing Dominance in a Competitive UK Pet Supply category
The Pet supplies space is a vast market and in recent years, we have seen the likes of Amazon stepping into the scene and stealing share from existing brands. Petsathome.com are one of the largest retailers in the pet supplies space and when focusing on “dog beds” we can see that Amazon is increasing their share vs Petsathome.com over the past 24 months.
Traffic by URLS that contain “dog beds” over the past 24 months on Amazon.co.uk and Petsathome.com
This graph shows that Amazon own a very large amount of traffic for the sub category standing up to a leading pet supply retailer and are still growing. This is a prime opportunity for brands that are already live on Amazon and one that could be tapped into by brands that are not.
Looking specifically at dog beds as a sub category, we have identified that brand The Dog's Balls is taking the lion’s share, with 27% of revenue, a total of £43M in the past 2 years. Their top sellers include orthopaedic memory foam beds with prices ranging from £40-£100 which gives some indication of the specialist products available on Amazon and what consumers may be looking for. There is an opportunity for new brands to tap into the space with a number of brands taking up over 50% of overall revenue share, Tambo Compass can share more strategic insight to evaluate the opportunity and ways to approach the market.Top 10 brands within the ‘dog beds’ category by revenue
There has been a growing trend on Amazon for sustainable dog accessories. Many pet owners are becoming more conscious of the environmental impact of their purchases, including those for their furry friends. They are looking for options that are made from eco-friendly materials and have a minimal impact on the environment. For example, the SFR (search frequency rank) for dog bed lowered from 74 to 55 from March 2022 to March 2023, meaning that dog beds is now the 55th most searched for item on Amazon UK. The best-selling brand for dog beds by number of units in the last month on Amazon.co.uk meets Amazon’s sustainability standards and displays the Climate Pledge Friendly badge on the PDP, while advertising the products as having waterproof, washable, durable and soft Oxford fabric as attributes.
High-tech gadgets such as automatic feeders and trackers are also trending. GPS trackers can help locate a lost dog, smart collars can help track a dog's activity levels, health, and location, while automatic feeders ensure that dogs get their meals on time, even when their owners are away. Our Compass data reveals 26% growth YoY for automatic feeders in the last 6 months with automatic feeders achieving revenue of £400K this February. The basic bowls as a broader category also saw a 12% lift YoY in the past year, with January being the key sales month. In comparison, travel bowls that are also trending up 12% YoY, are selling better throughout Spring and Summer months. This aligns with the holiday season when people opt to travel with their dogs.
What’s interesting about dog trackers is that although the last six months’ sales are YoY down 6%, the trend this year is now going steadily upward rather than seeing unpredictable spikes. This helps us anticipate future growth in this subcategory, also given that the Search Frequency Rank for dog tracker improved 50% now in March 2023 compared to December.
In summary, the pet supplies market is shifting and consumers are looking to Amazon more and more potentially because of the cost, convenience and trust they put in the platform. Through Tambo Compass we can identify and leverage new trends that are emerging within this category, such as sustainable dog accessories and high-tech gadgets. There are some clear leaders in the space but still room for other brands to enter with recognising which products work and ensuring the proposition is enticing for consumers. Get in touch with us to delve further into your category.
Irena Popa, Senior Marketplace Executive +
Joe Farley, Associate Director, Consultancy
Our cutting-edge technology Compass leverages category and subcategory data to identify opportunities for growth. With our in-depth trend analysis and expert recommendations, we can help accelerate your brand's growth on Amazon. Get in touch with us to delve further into your category.