Pet Care Market Snapshot
Pet owners around the world are considering their animals as a part of their family and are seeking premium care products and services for their wellbeing. Concerns pertaining safety standards of these products are at the root of recent developments in the pet care market. Future Market Insights (FMI) estimates that the pet care market will register a year-on-year growth of 1.8% in 2021.
As per the FMI analysis, the pet care sales will total US$ 189 Bn in 2021. Between 2021 and 2031, the market is forecast to exhibit compound annual growth rate (CAGR) of 6%. Online retail service channels are set to expand at a positive, registering above average CAGR of 9.7% between 2021 and 2031.
Key Points Covered in the Pet Care Market Study
- Market estimates and forecast 2015-2031
- Key drivers and restraints impacting market growth
- Segment-wise, Country-wise, and Region-wise Analysis
- Competition Mapping and Benchmarking
- Brand share and Market Share Analysis
- Key Product Innovations and Regulatory Climate
- COVID-19 Impact on Pet Care and How to Navigate
- Recommendation on Key Winning Strategies
Pet Care Market Sales in 2021-2031 to Gain Pace at a Higher Pace than in 2016-2020
Rise in demand for premium pet care products and services and growing interest in pet humanization are major factors driving sales of pet care products and services. Considering this, the pet care market is expected to rise at 6.0% CAGR between 2021 and 2031 in comparison above 4.2% CAGR registered during 2016-2020.
Growing rate of pet adoption coupled with increasing per-capita spending on pets are driving the demand for luxury pet products and services. Additionally, rapid urbanization is one of the key drivers behind the growth of the pet care market in developing economies.
Other factors such as changing perceptions regarding pets, improving lifestyles, high incomes, increasing population and nuclear families, and a rising number of millennials are contributing to the growth of pet care market.
According to the statistics of the AVMA (American Veterinary Medical Association), more than 45% of households in the U.S. today own a pet, wherein dogs and cats are very popular options. Thus, the increase in the pet adoption rate indicates growth in the pet care market.
Other aspects such as higher standards of living on the part of consumers and technological innovation in pet care industry are driving the demand for pet care products and services for the foreseeable future.
How are Sustainability Trends Shaping the Pet Care Market?
Consumers have expressed a desire to use sustainable products to minimize the impact of such products on the environment. This has encouraged pet care companies to offer sustainable products.
Mars Petcare, in collaboration with Terra Cycle, has introduced a sustainable programme in the U.K- a recyclable scheme of pet foods and packages. The company’s Paws and Pals brand offers natural shampoos and conditioners under pet grooming segment in bottles that are made from 100% recyclable materials.
Numerous companies in the market have introduced eco-friendly products such as bamboo brushes that have a reduced impact on the environment. This is how sustainability in packaging and products is emerging as a trend in the global pet care market.
What is the Impact of the COVID-19 Crisis on the Pet Care Market?
Covid-19 has affected the global economy adversely. Production and demand were affected due to the closure of manufacturing plants. Global and regional supply chains and imports and exports were halted with restrictions affecting business operations in the pet care industry.
Panic buying and stockpiling practices during the early phase of COVID-19 have rapidly emptied shelves of pet care products, preventing a sharp drop in market revenues. However, a large number of non-essential pet care services have come to a standstill due to the domino effect of the nationwide lockdown.
Additionally, a shortfall in supply of premium products has prompted consumers to turn to cheaper brands, which is highly likely to impact brand loyalty in the post-COVID-19 crisis.
However, COVID-19 has accelerated the shift in e-commerce that has reshaped pet care. Social distancing has led to an increase in online ordering and growth for new models like click and collect and third-party delivery. As a result, this trend drives market players to turn to digital platforms.
Country-wise Insights
How is the Pet Care Market Faring in the U.S.?
North America is predicted to remain one of the most attractive markets during the forecast period, according to Future Market Insights. According to the study, the U.S. is expected to account for over 89.1% of market share in the North America market through 2021.
Rising awareness pertaining to veterinary health, changing demographic trends across the country and growing number of pet care owners will foster market expansion. Additionally, the growing trend towards premium food followed by natural and organic food is further fueling the industry demand. Growing demand for pet insurance is expected to be a key factor in driving expansion in the industry.
How are U.K Millennials Driving the Sales of Pet Care?
The U.K. is expected to account for over 26.8% of the market share in the Europe market through 2021 owing to the large presence of infrastructure settings to the pet stores and veterinaries in the U.K market. This is likely to provide ease in the bulk sales of pet accessories, and pet food, thereby supporting market growth in this region.
The future of the pet care industry in the U.K lies with the millennial demographic. With the large millennial population in the U.K, there has been a notable increase in expenditure on pet products. The majority of pet owners spend more for quality products for the well-being of their pets, which has scaled up pet related expenses. A shift towards pet ‘parenting’ from ‘ownership’, has influenced the purchasing decisions of pet owners.
Why is the Demand for Pet Care Increasing in India?
In 2021, India will account for over 9.3% market share in South Asia. Rapid urbanization is one of the key drivers behind the growth of the pet care market in such emerging economies.
In India, the idea of owning pets and taking care of them is a very urban phenomenon. The growth of the market is mainly dependent on changing lifestyles, urbanization, and increasing consumer income.
Therefore, increasing concern for pet health and nutrition is acting as a significant driver behind the sales of pet care product and services. Moreover, government programs aimed at encouraging pet adoption are resulting in higher adoption rates, stimulating further demand.
Category-wise Insights
Why is the Demand for Pet Food Key to Revenues?
In terms of products, pet food is the leading category, accounting for nearly 65.9% of the market in 2021. Growing demand for nutritious and tasty food items among owners for their daily feeding requirements are the factors that drive the growth of the market.
Additionally, escalating awareness regarding the hygiene and health care among the population is likely to drive growth. Furthermore, the fast growth of the veterinary segment has been attributed to growing professional settings related to animal veterinary care clinics.
According to statistics published by the American Veterinary Medical Association in 2019 more than 95,000 veterinary medical organization were present in the U.S.
Which Pet Type Drives Market Developments?
Dogs accounted for around 3/4th of the global pet care market value by end of 2020, and are expected to exhibit fastest growth, registering a CAGR of more than 5.6% over the forecast period.
According to statistics published in 2019 by the American Pet Products Organization, there are 64.3 million pet dogs in the U.S. alone. In addition, residents can prevent the possibility of a burglary in their home by keeping a trained dog with them. This factor is likely to facilitate pet humanization.
Products and services for cats is expected to grow rapidly due to the increasing online sales of cat care products across various e-commerce sites such as Amazon and Walmart.
How are Online Service Channels Influencing Growth?
In terms of service channels, modern trade-based retailing remains prominent, accounting for a notable share of more than 28.7% in 2021. Online channels allow customers to compare and choose between a wide range of available products, which in turn has increased the footfall in these shops.
COVID-19 lockdowns have further promoted the use of e-commerce websites due to the closure of conventional retail stores. Players in the market have taken this opportunity to strengthen their presence through online channels amidst the crisis.
Competitive Landscape
Companies operating in pet care market are aiming for strategic collaborations and partnerships with other players to expand their product manufacturing capabilities, addressing the demand of an expanding patient pool.
- In February 2020, Nestle SA. Launched the “Unleashed” program, which provided a total funding of US$ 51,922.4 to start-up companies associated with the manufacturing of pet care items from North America, Middle East, and Europe by the end of 31st March 2020.
- In June 2020, SigmaTron International, and Wagz Inc. (“Wagz”), a privately held Pet Technology company merged to implement advanced modern technologies to improve the health wellbeing of pets in the U.S.
- In July 2021, The Rohatyn Group entered an agreement to sell the Pet Network International d.o.o omnichannel pet care platform to AMCE.
Scope of Report
| Attribute | Details |
| Forecast Period | 2021-2031 |
| Historical Data Available for | 2016-2020 |
| Market Analysis | USD Million for Value |
| Key Regions Covered | North America, Latin America, Europe, East Asia, South Asia, Oceania, and the Middle East & Africa |
| Key Countries Covered | US, Canada, Germany, U.K., France, Italy, Spain, Russia, China, Japan, South Korea, India, Thailand, Malaysia, Indonesia, Australia, New Zealand, GCC Countries, Turkey, Northern Africa, and South Africa |
| Key Segments Covered | Service, Pet Type, Service Channel, Country |
| Key Companies Profiled |
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| Report Coverage | Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives |
| Customization & Pricing | Available upon Request |
Key Questions Answered in the Report
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What is the current valuation of the pet care market?
The pet care market is estimated to be valued at over US$ 189 Billion in 2021.
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Which is the most lucrative market for pet care?
North America currently leads the global pet care market. Sales of pet care in North America account for more than 57% of the global value share in 2021.
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Which are the top countries driving demand for pet care?
The U.S., the U.K., Germany, and India are leading countries reflecting consistently high demand for pet care products and services.
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Who are the leading producers of pet care products?
The U.S., Switzerland, Germany, China, and Japan are the leading producers of pet care offerings.
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Which are some of the leading companies offering pet care?
Some of the leading companies analysed in the report include Nestle Purina Pet Care Co., Champion Pet Food, C& D Food, and Aller Pet Food. These players are estimated to hold close to 9% share in the global pet care market.
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At what rate will pet care sales rise in Europe?
The Europe pet care market is projected to reflect a 3.1% CAGR through 2031.
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What are the key factors driving pet care sales?
The key factors driving the pet care market are pet humanization practices. Also, increasing investments into pet healthcare and grooming acts as a supporting factor in market growth.
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What are the key trends prevailing in the pet care market?
Pet owners are displaying increasing attention towards factors such as pet food ingredient sources, with a willingness to spend on premium options. Sustainability efforts are likely to gain traction through the forecast period.
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What are the key statistics of the South Korea and Japan pet care market?
FMI has forecast the South Korea and Japan markets to account for 30.6% and 21.4% in East Asia in 2021.
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What is the growth outlook of the pet care market in North America?
According to FMI’s analysis, the pet care market is estimated to rise at a 4.4% CAGR in North America during the forecast period.
Market by Category
By Service:
- Product
- Pet Food
- Pet Healthcare
- Fashion, Toys, and Accessories
- Professional Service
- Day Care
- Grooming Boarding
- Pet Breeding and Training
- Value Added Services
- Insurance
- Veterinary Care
- Pharmacy
- Adoption and Charity
- Crisis Relief Service
By Pet Type:
- Dogs
- Cats
- Birds
- Fish and Reptiles
- Small Pets
- Horses & Other Livestock
By Service Channel:
- Modern Trade
- Convenience Stores
- Care Services Centres
- Veterinary Clinics
- Online Retails
- Support Care Centres
- Pet Specialty Stores
By Region:
- North America
- Latin America
- Europe
- East Asia
- South Asia
- Oceania
- Middle East and Africa (MEA)
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by - Sudip Saha, Managing Director and Co-Founder of Future Market Insights
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