The competition is getting tougher

There are approx. 1.8 million pets in Switzerland. One in four of the Swiss population owns a dog or a cat, a pretty good ratio by international standards and one that is roughly on a par with that of countries like Italy and the UK.The volume of the Swiss pet market in 2005 was € 460 mio, more than half of which was accounted for by products for cats, the most important pet by far in Switzerland. Their popularity is due to the fact that most Swiss tend to live in small rented apartments, which offer no room for large pets with a pronounced need for physical activity. The accommodation situation is an important reason why rodents are also highly popular pets in Switzerland.In comparison to the 1990s, when the pet market grew dramatically, only a few segments are now recording growth. These include dry food for cats and the entire small animal segment, which still offers strong growth potential. Although expectations of large sales increases have receded markedly in Switzerland, the number of suppliers trying their luck in the alpine state with its population of 7.3 mio is still rising. As a result, price wars are on the increase.With a market share of 69 per cent, the supermarkets are the undisputedly dominant distribution channel. The two big chains Migros and Coop control well over half of the entire pet food market. Other important suppliers of pet food are the discount chain Denner, and in French-speaking Switzerland the hypermarket operator Carrefour. The German discount chain Aldi, which embarked on expansion in Switzerland last autumn, will not be able to change this market situation in the foreseeable future. Unimpressed by the power of the supermarkets, the speciality trade has grown considerably in recent years and now has a market share of over 20 per cent. The two speciality discount chains Qualipet and Fressnapf have played a large part in this development. Qualipet AG was established by Rolf Boffa in 1991 and has held its own successfully in the market thanks to a huge range and competent advice. The chain will open its 50th store in Biel at the end of June. Market experts estimate Qualipet's annual sales at approx. € 50 million, equivalent to a market share of 11 per cent or so. In addition to his speciality stores, Rolf Boffa also runs a successful mail-order business, which is popular across the country.The company's main rival in the speciality store sphere is the German Fressnapf Group, which operates its own subsidiary, Pet Vision AG…