Why I Established Boston Made, Inc.

Why I Established Boston Made, Inc.

Boston Made, Inc. strives to make every product with the best quality, style, and craftsmanship. The Company offers a range of products within the category of dogwear and humanwear. Different sizes of clothes are available on the company’s website to accommodate the clothing needs for every climate and fashion trend. For cooler climates, the company offers a wide variety of dog clothes, coats, hoodies, and sweaters to keep the dog toasty and comfy. And since every day is different, dog hoodies and sweaters offered by the company come in different fabrics, thicknesses, and colors. Products offered by the company are depicted as follows:  

Dogwear: 

  • Accessories
  • Bedding
  • Boots
  • Harnesses 
  • Knits
  • Outerwear
  • Seaport Rainwear 
  • Copley 
  • Harvard Collection 
  • Plush-Lux Pooch 
  • Runway 
  • Walking 
  • Modern Bostonian 

 Humanwear:

  • Essentials
  • Hats
  • Knits  

MANAGEMENT TEAM

Boston Made, Inc. will be managed and operated by the founder and CEO, Nathanael Strickland holding 100% shares. A qualified professional team will be hired to support him in conducting smooth operations. Details regarding the educational qualification and work experience of the founder are outlined as follows: 

NATHANAEL STRICKLAND: FOUNDER AND CEO

Nathanael Strickland will be managing the company in his capacity as a chief executive officer. His experience in the digital marketing industry will assist him in framing high-impact marketing strategies aiming to attract potential customers. Nathanael is also an animal rights advocate. He is looking forward to offering innovative products of exceptional quality to pets and the people who love them.  

Work Experience:

  • Company Name: LAZ Parking

Position: New England Marketing Project Manager

Period: April 2019 to September 2019

  • Company Name: Security Innovation

Position: CRM Consultant

Period: April 2017 to January 2018

  • Company Name: EnterpriseDB

Position: Independent Marketing Consultant

Period: February 2016 to April 2017

  • Company Name: The NewBoston Post

Position: Director of Digital Sales & Advertisement

Period: November 2015 to December 2016

  • Company Name: 7NEWS, WHDH-TV

Position: Graphic Designer

Period: April 2014 to October 2015

  • Company Name: Trans-Lux Corporation

Position: Marketing Coordinator

Period: January 2013 to March 2014

Educational Qualification: 

  • Qualification: Bachelors, Communications

University: Shorter University

  • Qualification: Associates, Business Administration

University: Georgia Highlands College

 

MARKET ANALYSIS

INDUSTRY OVERVIEW

The pet industry has been experiencing explosive growth. According to The American Pet Products Association, almost 85 million households have a pet and over the last 30 years pet ownership has gone from 56% to 67% of all households. Some of the changes in pet ownership are due to technology and the advent of online purchasing.

The internet represents the fastest growth channel for pet product sales. Packaged Facts projects sales of pet products sold online will easily double between 2017 to 2022. Affluent millennial pet owners represent a pet market consumer growth offering exceptional opportunities for marketers of pet products and services. Demand for high-quality products from millennials further attributes to industry profit because of the generally higher mark-ups of premium products.

In the year 2019, an amount of $95.70 billion was spent on pets in the United States, which is projected to reach $99 billion by the end of 2020.

PET MARKET SALES IN THE UNITED STATES

The U.S. consumer expenditure has gradually increased year-on-year, growing by around 560% between 1994 and 2019. According to the survey, millennials ages 18-24 outspend all other age groups on their pets with an average of $173.67. Pet owners ages 25-34 came in second at $141.50. Here’s the breakdown of spending by age

The pet supply market encompasses niche products like clothing, food bowls, collars, and carriers. A key driver for this industry will be the wide range of availability of fashionable and multifunctional pet accessories. Pet supplies are a leading industry category in the United States, with sales of approximately $4.54 billion and positive sales growth of 2.7%.

Pet Accessories: The global pet accessories market is anticipated to reach $22 billion by the end of 2023 witnessing a compound annual growth rate of 7% over the forecast period. The U.S. and U.K. have long been the leaders of the world pet market. The housing and bedding segment accounted for the highest market share of 35% to the global market. Housing and bedding products for pets are mainly popular in developed regions of the Americas and Europe, where manufacturers are coming up with new product innovations to help pet owners adapt to a much more convenient lifestyle. 

DOG OWNERSHIP IN THE UNITED STATES

Since the beginning of the millennium, dog ownership in the United States has grown. Some years showed a decline, such as in 2002; in general, however, more and more households in the country have decided to add a dog or two to their family. This has led to a booming population of dogs equating 90 million in the year 2019.

Breakdown of Dog Ownership, by Sex, in the United States: More males owned dogs compared to females and those aged 18 to 29 have the highest dog ownership. 79% of females and 91% of male owners had dogs growing up as well, which could partly explain their preponderance towards canine companions.

ONLINE SALES IN THE UNITED STATES

The online pet industry represents one of the most lucrative opportunities for emerging brands. Stay-at-home orders have also accelerated the ongoing shift toward e-commerce around the world.

Over the past five years, demand from online pet food and pet supply sales has increased strongly at an annualized rate of 8.6%, contributing to strong industry growth. Packaged Facts projects that the online share of overall pet product sales is expected to reach 24% by the year 2020 and further to 26.5% by 2024 with PetSmart/Chewy and Amazon cornering 78% of this ecommerce. 

According to a pet owners survey carried out in 2018, Amazon.com was the online retailer in which 23% of respondents had used to purchase pet products in the past three months in the United States. Walmart.com was the second most popular online platform for such purchases, with 22% of respondents stating that they had bought pet products there followed by Chewy with a share of 20%. 

In 2017, the e-commerce sales of pet care products grew by about $3.4 billion. Two of the most influential factors for purchasing pet care products online were the convenience of online shopping and the competitive pricing of e-commerce sites. The U.S. Online Pet Food and Supplies Market was valued at $3.85 Billion in 2018. Further, the U.S. online pet food and supplies market is expected to reach $6.13 billion by 2025 and grow to $7.21 billion by 2026. 

The graph below depicts the percentage change in buying pet products through online and retail channels in the United States from 2014 to 2018. The data clearly shows that online sales has grown faster as compared to the retail sales. 

KEY STATISTICS

  • According to the 2019-2020 APPA National Pet Owners Survey, 67% of the U.S. households own a pet, which equates to 84.9 million homes, out of which 60.2 million of the households own a dog.
  • When breaking down the dog ownership by the age of the owner, 85% of the population aged 18 to 29 years owned a dog as compared to 76% ownership among 30 to 59-year olds and 62% ownership among people aged 60 and above.
  • The Labrador Retriever, German Shepherd Dog, and Golden Retriever are the top three favorite breeds of dog owners in the United States followed by Dachshund and Beagle.
  • The ASPCA reports that an average of 6.5 million unwanted pets are relinquished or rescued to shelters annually. Of these, 3.3 million are dogs and 3.2 million are cats. 3.2 million adoptions take place annually.
  • Rover.com surveyed hundreds of dog owners around the country and found that half (51%) plan to dress their hounds for Halloween, spending about $20 on average.
  • According to a study from Mars Petcare, the world’s largest petcare company, 65% of owners post about their pets on social media an average of 2X per week.
  • Additionally, slightly more than 50% of dog and cat owners made at least one online purchase for their pet in 2018, with an average of about five online purchases per pet owner.
  • Brick-and-mortar retail’s market share is projected to decline, especially pet specialty’s, falling from 29% in 2019 to 25% in 2023, which suggests that people will be shifting to online purchases.
  • American women spend less than men do on their pets. On average, women spend $116.61 every month on their animals, while men spend US$136.99.
  • Over 95% of Americans buy their pets gifts during the holidays. 

SPENDING ON PET PRODUCTS IN THE UNITED STATES

Americans spent $16.01 billion on over-the-counter medications, and supplies such as clothing, toys, leashes, beds, and other accessories in 2018, up 6% from $15.11 billion in 2017. According to the National Retail Federation, Americans spent $490 million on pet costumes in the year 2019 on the occasion of Halloween– more than double what owners spent nearly a decade ago. 

Millennials are the largest spenders when it comes to pampering their pets. Food spending is not the only thing that differentiates millennials' pet owners from their older counterparts. Millennials are also more willing to spend money on clothing. Double the number of millennials purchase pet clothing, compared to the baby boomers. Millennials have also been quick to adopt a wide range of new pet care innovations including pet strollers and tech products. More than 80% of pet owners among millennials and Generation Z own dogs.

Lending Tree’s analysis found demographic and geographic patterns in American pet food spending. The top fifth of American households by income increased their pet expenditures by 70% between 2013 and 2018 to hit $1,523 on average. Among less wealthy Americans, pet spending grew by 20% to 46%. Midwesterners’ pet spending grew by 66% from 2013 to 2018, reaching $725, the most of any region.

E-commerce continues to impact every area of the U.S. pet industry, products, and services alike. With marketers directing more of their energy into e-commerce and pet product shoppers migrating online, the pet products companies are also embracing e-commerce into their strategies.