Pedigree Notes

-Success Conclusion: Pedigree is successful, but increasing competition and niche products are
threatening their position in the market and may indicate trouble on the horizon.

-Evidence of success: in 2003, they saw an increase in profits by 2.3% and a decrease in market share
from 2003-2004. IN 2004, profits rose by 0.4%.

-In 2004, they were the largest dog food provider globally and the largest market share.

-Success definition: “Leader in market share” is how we define success.

Challenges:

-When dogs have a brand they favor, it’s hard to convert them to other foods. That’s what yields so
much brand loyalty.

-Increasingly demanding customers respond to more niche products that cater to their individualized
needs. Although they had 45 products in 2004, they planned to develop healthier dog food varieties to
compete with brands like Beneful. IAMS and Purina had very specific promises, with IAMS touting a bold
health promise.