Pet Food Brands Named In DCM Alert See Lost Sales
Food and Drug Administration (FDA) Highlighted 16 Pet Food Brands in June 2019 Investigation of Canine Dilated Cardiomyopathy (DCM) Cases Now See Sales Declines, Data Shows by Natasha Davis, Nielsen Strategic Partner.
Looking at the brands’ grain-free dry dog food sales from mid-July 2019 to the first week of October, overall they have declined by around 10%. At the same time, sales of other dry dog foods increased from a period of decline in mid-2018 to slightly positive growth in early October 2019, Davis said. She presented the data as the keynote speaker at the 2019 Petfood R&D Showcase at Kansas State University in Manhattan, Kansas on October 16.
All grain-free pet food sales are down
Not only did the drop occur after the June alert from the FDA naming the brands, but the data also showed that their sales of grain-free dog food began to decline in 2018 and throughout the first. part of 2019, following the timeline of previous DCM Investigation Alerts from the FDA in July 2018 and February 2019. This is also likely because sales of grain-free pet food globally began to slow in late 2018, after the initial DCM alert from the FDA.
Until September 22, 2018, data from Nielsen showed that sales of grain-free pet food in the United States amounted to US $ 2.9 billion, an increase of 9.6% from year after year. As of September 21, 2019, sales of grain-free pet food were flat or edged down -0.3%, Davis said.
Conversely, feed containing grains (what Davis called “grain in”) posted a -6.9% year-over-year sales decline in September 2018. While these sales were still down a year later, in September 2019 the decline was smaller. , at -2.7%.
Affecting other brands of pet food
Additionally, Nielsen data showed that for the 16 brands highlighted by the FDA, their overall pet food sales were affected: before the initial DCM alert from the FDA and even during the first half of the year. 2019, after the second alert, the overall pet food brands sales experienced an overall growth of more than 5%. After the third alert, their sales growth fell to 1.2%.
The difference was even more marked in the specialty pet chain, where these brands tend to be primarily sold. After the third FDA alert, sales of grain-free dry dog food fell 11% in the specialty pet channel, while their total sales of pet food (all of their lines) fell 11%. decreased 9.7% in pet specialties.
Davis said she and her team hadn’t analyzed sales data for the other brands named in the FDA’s third alert, but she said she would soon.