Lean times

Austria is the Fressnapf Group's most successful export market. The speciality discount chain has a market share of over 13 per cent in the alpine republic, with annual sales of more than € 54 mio. The trend is upwards, because Fressnapf continues to expand in Austria at a dizzying rate: managing director Heidi Obermeier and her team now have over 65 stores, with the latest Fressnapf outlet opening in Rohrbach at the start of June.With its rapid expansion the German chain has left an impression on the Austrian speciality retail trade like no other. One of the hitherto leading Austrian pet supply chains, Zooma of Salzburg, filed for bankruptcy last year, and even Fressnapf's fiercest rival from Germany, the "Futterhaus" chain, had to abort its brief venture into Austria due to lack of success. Now a new player is entering the Austrian market in Zoo & Co., which operates under the umbrella of the German retail cooperative Sagaflor. This speciality retail system, which is highly successful in Germany, is being joined on 1 July by Tomy's Zoo, one of the biggest independent pet supply retailers in Austria with five stores. Zoo & Co. makes no secret of the fact that it intends to grow further in Austria in the next few years. In contrast to Fressnapf, though, the focus at Zoo & Co. is on live animals rather than on the price.A few months ago, the German speciality group Landfuxx announced its intention to step up its activities in Austria in the future. To this end the Germans concluded a cooperation agreement with Samena Handels GmbH, a wholesale company dealing in pet food and seeds. The first partner businesses have already become affiliated to the Landfuxx concept.DIY stores and garden centres should not be ignored in the Austrian speciality retail landscape either. The Austrian DIY store group Baumax operates pet departments in many of its stores, while pet requisites are a permanent feature of the product range at Hornbach and Dehner.In spite of increasing competition, there are still around 450 independent pet product businesses in Austria, most of them based in Vienna. Many only have small retail areas and act mainly as local suppliers of pet products in their district. Other specialist retailers, for example Rudolf Weiss (Cats & Pets) and Andreas Poeck (Top/Zoo) have even succeeded in establishing successful chain store firms.The Austrian pet market has long since ceased to have the huge volume that it did a few years ago. With a volume…