In 2021 the pet products industry reached a milestone, generating more than $100 billion dollars in revenue. The industry is bullish for the coming year, projecting growth of 5.8% - well above the historical average of 3 to 4%. This past year presented a host of challenges that resulted in consumers across the country turning to their pets for comfort and companionship. Interestingly, the product trends we are seeing in the pet care community mirror those of consumers – a desire for a healthier lifestyle, increased focus on fitness, turning to supplements for improved well-being, and technology playing a larger role in everyday life. Inventory liquidators and overstock companies servicing the discount market also did well to sell excess inventory and closeouts of pet products and dog toys. There are always situations where companies need to get rid of closeout per products and discontinued pet supplies. There may be too much competition selling pet products on Amazon and sellers shut down Amazon FBA accounts and sell excess inventory to overstock liquidation buyers.
The State of the Industry Report was revealed at today's Global Pet Expo Digital Access, the pet industry's premier event, during the keynote presented by APPA and the Pet Industry Distributors Association. Trends from the report included: $22.1 billion was spent on supplies, live animals and OTC meds, a 15.1% increase from 2019. $42 billion was spent on pet food and treats, a 9.7% increase. $31.4 billion was spent on vet care and product sales, a 7.2% increase. Closeouts of pet products become more prevalent as the pet category takes off. Many importers of dog toys and pet beds received containers too late for the holidays and are faced with liquidating inventory to overstock companies and closeout warehouses. Inventory liquidators have the ability to buy the entire stock of pet products at one time in one fell swoop. When you have liquidation stock for sale, the last thing you want is to sell it in small parcels. You will want to find one wholesale liquidation company willing to take the entire inventory. Inventory liquidators are your best option because they have large warehouses and good cash reserves.
While $8.1 billion was spent on other services such as grooming, dog walking and boarding, this was a 21.4% decline from the previous year. As quarantines are lifted and consumers venture out the use of these services is expected to rise. From a retail perspective, every channel showed an increase, especially e-commerce, which is consistent with consumer shopping trends overall: Many Amazon FBA sellers are wliquidating Amazon inventory to overstock companies because there is too much online competition. Importers who brought in containers of inventory are liquidating all their stock to overstock companies in an effort to free up warehouse space and generate cash flow. It is necessary to sell liquidation stock and sell excess inventory when sales slow to the point where inventory becomes a big problem.
Inventory liquidators specialize in buying closeouts and obsolete inventory for resale to the discount trade. This can include retail discounters, closeout websites and other overstock liquidation buyers. Pet products sell well because today's consumer is willing to do anything to make their pets happy.It only takes a quick search on any social media platform to see that people in the United States love to pamper their dogs, cats, and other pet animals. The sheer variety of pet products available on the U.S. market is astonishing, from orthopedic pet beds to nail polish for dogs. Much of this variety can be found when browsing online marketplaces. Pet care products were not always commonly purchased on the web, however, e-commerce sales of household and pet care goods have experienced a continuous upward trend over the years. The overflow of these sales creates closeout pet product deals from both brick and mortar distributors to closeout websites and companies shutting down Amazon FBA warehouses. Amazon long term storage fees have become intolerable and this also leads to closeout companies keeping busy with wholesale closeouts and pet product excess inventory liquidations.
It’s clear that the earliest weeks of the pandemic drove millions of Americans to stock up on pet supplies online. Demand started out flat in early 2020 before leaping to a 15% increase by the week of April 5th compared to the first week of March. It then remained consistently above pre-pandemic through the rest of 2020, and has actually only continued to increase in 2021, even as things began to open back up. Pet product closeouts continue to increase and containers arrived late, pet supply distributors find themselves with too much excess inventory and businesses liquidate business inventory. It isn't always a bad thing to sell surplus inventory because this frees up valuable warehouse space so you don't have to close down your 3PL or move to a new warehouse.
Americans got more used to buying their pet supplies online, or it could be that COVID resulted in a huge influx of new pet owners across the country. The tremendous growth in demand for pet supplies becomes even more apparent when we examine monthly demand since 2019: Discount pet products are available on closeouts and promotional specials all the time. Wholesale liquidators buy closeout pet products, excess inventory of lawn and garden products and closeouts of home décor, toys and sporting goods.
Merchandise USA has been buying closeouts and excess inventory for 37 years. If you have overstock toys for sale or want to get rid of old pet products we can help you. We purchase liquidation stock for cash and will buy everything in one fell swoop.