"We need a sensible pricing policy"

The job of a pet product dealer in France has acquired many facets in the last few years, but it has certainly not become any easier. "We face a much tougher customer environment now than we did a few years ago, not just in France but globally," says Patrick Hoff. Hoff is managing director of the Nilufar pet supplies chain, which runs six pet stores in Alsace, France, with retail areas ranging from 500 to 2 000 m². "If we are to satisfy customers nowadays, we need to offer three things: good advice, good quality and a low price. Three things that cannot always be combined," stresses Hoff. And yet even the pet product chains have to react. "In recent years we have lost a considerable share of our profit margin, but we have been able to hang onto our customers." Nevertheless, Patrick Hoff is not in favour of profit at any price. "We have now banned the really cheap lines from our stores, because in many segments, such as aquatics, cheap products often end up costing customers more than if they had bought a high-value product to start with," says Hoff.

When it comes to aquatics, the Nilufar store in Geispolsheim, Alsace, which only opened a year ago, has plenty to offer over two floors. "Since traditional aquariums are increasingly on the decline, even in France, we want to offer customers something new." Products for sale in the store thus include aquariums designed by aquascapers, which are intended to generate enthusiasm for modern aquariums, as well as a wide range of fighting fish. Hoff believes that these fish in particular have significant potential in aquatics. "It is a market that is on the up, at least in France, as our sales figures demonstrate." He doesn't believe that the market for accessories is quite as rosy, something which he attributes to the considerable price pressure from the Internet. In this regard he is urging the pet product industry to reconsider the situation. "We simply need a sensible pricing policy from companies again. This means that an online retailer and a high street retailer get the same purchase prices." This is because, in addition to the rent, a store has to pay highly skilled staff, who provide customers with the advice that they expect to receive, according to Hoff. All this contributes to the end price of a product. "It must simply be possible for a pet product dealer to survive by selling his products."

Hoff believes that the difficulties in other segments…