The news upset numerous Terra Canis customers: The Munich-based company had sold a majority stake to the conglomerate Nestlé. Founder Birgitta Ornau quickly realized that this was a highly controversial move in the public eye: the famous shitstorm was already swirling with full force on social media.
Terra Canis has specialized in high-quality dog food for around twelve years. Its products are produced in a Munich butcher shop. Its customer base includes people who want only the best for their four-legged friends and are willing to pay accordingly for the high quality of its pet food.
Deal vs. image damage
Birgitta Ornau and her company generated approximately 17 million euros in sales in 2016. This year, the company expects to generate approximately another three million euros.
The takeover by Nestlé has now caused considerable discontent, which has erupted in the form of a shitstorm against the Munich-based company. The tenor of the flood of complaints was that the deal was ethically unacceptable. Even statements that Ornau would continue to manage the business and that production would continue in Munich in the future did little to calm the mood. True to the motto "Show me your friends and I'll tell you who you are," the outrage over the deal with the food giant, which has made negative headlines, particularly for its water privatization, is enormous.
As good as Nestlé's distribution channels are, the takeover is questionable in the public perception. It remains to be seen whether Terra Canis can actually profit from the sale or has caused irreparable damage to its image.
