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» Animal Health News & Notes for October 11, 2019

October 11, 2019
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Brakke Consulting’s
Animal Health News & Notes for October 11, 2019
Copyright © Brakke Consulting

Editor: Lynn Fondon DVM MBA
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IN THE NEWS:

Brakke Consulting news
New study – Pet Health Products: Changing Channels

Other News

Animal Nutrition and Health
Basepaws
Boehringer Ingelheim
HandicappedPets.com
JBS USA
Kane Biotech
Kaonne Investments
Kemin
Nestle Purina Petcare
Nutreco
Smithfield Foods

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BRAKKE CONSULTING:  NEW STUDY
PET HEALTH PRODUCTS: CHANGING CHANNELS
PRE-ORDER NOW

Are pet product sales at an inflection point?

A new report from Brakke Consulting measures and characterizes the most dynamic changes taking place in the marketing of pet products – the emergence of new channels and the changing purchasing behaviors of pet owners, especially as it relates to products traditionally purchased at the veterinary clinic.

Pet Health Products: Changing Channels will be based on two national, representative studies: one, pet owners, the other veterinarians.  The data from these surveys will be compared to data from previous Brakke studies in these areas to highlight trends.

This timely new report will provide marketers and investors key insights to help:

  • Focus resources in the most productive areas
  • Build more effective defense strategies in key channels
  • Recalibrate channel strategies for principal products
  • Build innovative channel strategies for new products and categories
  • Design investment strategies based on “fishing where the fish are”

Pet Health Products, Changing Channels will be available by December 31, 2019.  Cost per report is $10,000.  Subscribers that order by Oct. 28, 2019 and pay in full earn a $500 early order discount.

For a prospectus or more information about this important study please contact us at info@brakkeconsulting.com or John Volk at john@volkonline.com.

www.BrakkeConsulting.com

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COMPANY NEWS RELEASES

  • Boehringer Ingelheim Animal Health announced it has completed the expansion of its R&D and manufacturing plant in Athens, Georgia. The expansion of the US site cost $76 million and has doubled the firm’s production capacity for pet vaccines to be sold both in the US and globally. (Animal Pharm) 
  • JBS USA announced it is eliminating the use of the feed additive ractopamine in its US hog supply chain in order to maximize export opportunities. The decision will specifically allow the company to capture increased demand from China, which currently requires ractopamine-free pork imports. Smithfield Foods, which is owned by Chinese company WH Group and is the largest US pork processing company, has already eliminated ractopamine from its whole supply chain. (Feedstuffs) 
  • Basepaws announced it received $125,000 in funding from Nestle Purina Petcare at the company’s inaugural Pet Care Innovation Summit. The start-up sequences the DNA of cats to compile health and dietary recommendations for owners. (Veterinary Practice News) 
  • Walkin’ Pets by com announced the launch of the Walkin’ Fit Adjustable Splint. The splint features an adjustable angle to accommodate a pet’s front or back leg and easy width adjustment for a customized fit. (company press release) 
  • BRAZIL Kemin Industries announced the opening of its newly expanded 5,000-square-meter production facility in Vargeão, Brazil. The $6 million expansion increases the facility’s raw material capacity by 900% and finished goods storage by 1,500%. The facility is currently certified to serve countries in South America and Europe and is in the process of approval in the United States. (Global Pets) 
  • SOUTH AFRICA Nutreco announced it has acquired Animal Nutrition and Health (ANH) from Kaonne Investments. Financial terms were not disclosed. (Animal Pharm) 
  • CANADA Kane Biotech announced that it has been awarded a non-repayable contribution of up to CAD $340,680 from the National Research Council of Canada Industrial Research Assistance program (NRC IRAP). Kane intends to use this funding to support research and development in order to enhance its quality assurance, quality control, and supply chain capabilities to support its rapidly growing animal health sales and commercialization efforts. (company press release)

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ANIMAL HEALTH STOCK PRICE TRACKER

*Thursday market closing prices

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ANIMAL HEALTH NEWS

  • US – ANIMAL WELFARE The North American Meat Institute (NAMI) filed a lawsuit challenging the constitutionality of California’s Proposition 12 (Prop 12): The Farm Animal Confinement Initiative. The lawsuit asks the court to halt implementation of the law (grant a preliminary injunction) because Prop 12 violates the commerce clause and the federal structure of the US Constitution. (Feedstuffs) 
  • US – ANIMAL IDENTIFICATION The New Civil Liberties Alliance (NCLA), representing the Ranchers Cattlemen Action Legal Fund United Stockgrowers of America (R-CALF USA) filed a complaint against the USDA and USDA’s Animal & Plant Health Inspection Service (APHIS). NCLA is asking the court to stop USDA from enforcing the radio frequency identification (RFID) mandate and the agency’s requirement that cattle producers obtain a premises identification number (PIN) for bison and cattle moving across state lines because these agencies have acted beyond the scope of their legal authority to adopt regulatory guidance and in violation of the animal identification rule issued in 2013. (Feedstuffs) 
  • CARRIBBEAN – VETERINARY EDUCATION Ross University School of Veterinary Medicine (RUSVM) announced the launch of a new graduate Certificate in One Health program. The online Certificate in One Health program will provide an in-depth knowledge of One Health concepts that can be applied to enhance careers for veterinary and healthcare professionals. (Business Wire)

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BRAKKE CONSULTING VIEWPOINT

There is probably no bigger opportunity for change in the veterinary world than how today’s pet owners will buy health care products for their pets.  For years, drug manufacturers discovered amazing and patented new flea, tick, heartworm and pain medicines and sold them though traditional distributors to veterinarians, who then sold them to pet owners that brought their pets to the clinic.  Classic, simple, but not any longer.

Brakke Consulting has been benchmarking animal health distributors since 2003 and we have been researching the shifting sales channels for animal health product since 2008.  But we’ve just announced our most ambitious project to understand these two topics.  It’s titled, “Pet Health Products: Changing Channels” and you can read more about it above.

This study will survey both pet owners and veterinarians at the same time – something that has never been done.  The data will help us understand the pace and the direction of the change we all see coming.  We will assess veterinary distribution as well as online sales and home delivery.  Will these changes impact big and small animal health companies differently?  Will these new channels fundamentally change the way pet owners gather information, receive recommendations, and purchase products?

This is a big opportunity for change.  As Charles Darwin said, “It is not the strongest or the most intelligent who will survive but those who can best manage change.”  This timely report will help.

Bob Jones

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