Procter & Gamble, manufacturers of Iams and Eukanuba pet foods, reported a decline in the pet food sector of their business. It seems that the impact on the pet food industry of the recalls last spring may have just taken some time to be realized.
“Unfortunately, even though these wet and semi-moist products are a small, less than 10% of our product line, we frankly got hit pretty hard,” stated A.G. Lafley, P&G CEO and chairman. Even though P&G’s larger dry food business was unaffected by the recall, many have speculated, due to dropping sales and shares, that P&G may sell their Iams and Eukanuba brands. From Pet Food Industry
Pet Food Institute, an organization representing the pet food industry, reported the results of a survey shortly after the recall that said 70% of the individuals surveyed had not lost confidence in the industry and were continuing to feed their regular pet food diet.
I’m not sure when the survey was taken or who the respondents were, but it seems that the impact on the industry has been greater than would be felt with only 30% of the respondents admitting that they were making a change.
