What will happen to the dog bakeries?

Wendell Cox, at Newgeography, has written an interesting examination of what happens when discretionary spending is jeopardized in a tough economy:
In a Financial Crisis What Happens to the Dog Bakeries?.

The article makes some good points. In the 1950's through 1970's people did not have money to spend on "extras" like we have today. There were no Starbucks, specialty bath products shops, candle stores, and certainly no dog bakeries.

So what will happen to these businesses now when most people are tightening those purse strings?

As the owner of a business, Internet Pet Supplies, which some might consider to be one of these "discretionary spending" areas, i.e. rawhide chews and toys for dogs, I'm watching the economy very carefully.

~ Thanks, Alex

Foreclosure crisis affecting pet birds, too

Here is a little-known side of the foreclosure crisis: exotic birds abandoned or dropped at shelters because their owners cannot move into an apartment or a relative's home with the sometimes noisy creatures.

Animal rescue groups say they're becoming inundated with calls from people who lost their houses desperately trying to find a new home for their macaw or cockatoo.

Adding to the problems of finding new homes is the life span of the birds, which can run from 20 years for a cockatiel to between 50 and 80 years for the larger birds.

Intelligent, lively birds like parrots, cockatoos and cockatiels can be time-consuming to care for, loud, and destructive to themselves or their surroundings if neglected or mistreated.

Source: Reuters

Photo: Julie Corsi

The Pet Economy

Americans spend an astonishing $41 billion a year on their furry friends



Americans now spend $41 billion a year on their pets—more than the gross domestic product of all but 64 countries in the world. That's double the amount shelled out on pets a decade ago, with annual spending expected to hit $52 billion in the next two years. That puts the yearly cost of buying, feeding, and caring for pets in excess of what Americans spend on the movies ($10.8 billion), playing video games ($11.6 billion), and listening to recorded music ($10.6 billion) combined.

42% of dogs now sleep in the same bed as their owners, up from 34% in 1998. Their menu reflects every fad in human food—from locally sourced organic meat and vegan snacks to gourmet meals bolstered by, say, glucosamine to ward off stiff joints. Half of all dog owners say they consider their pet's comfort when buying a car, and almost a third buy gifts for their dogs' birthdays. About 77% of dogs and 52% of cats have been medicated in the past year, an increase of about 20 percentage points from 1996.

About 63% of U.S. households, or 71 million homes, now own at least one pet, up from 64 million just five years ago. After consumer electronics, pet care is the fastest-growing category in retail, expanding about 6% a year. More new pet products were launched in the first six months of last year than in all of 2005.

Pet products now aim to make people feel they're being extra good to their little ones—much as toy makers have long encouraged parents to spoil kids. Along with doggie spas, there are mobile pet-grooming vans, pedicure services, professional dog walkers, and massage therapy for animals. And for some pet lovers, no medical procedure is too extreme. Plastic surgeons offer rhinoplasty, eye lifts, and other cosmetic procedures to help tone down certain doggy features, from droopy eyes to puggish noses. Root canals, braces, and even crowns for chipped teeth are also becoming more popular.