Pets are part of the family. They are wellness companions, protectors, or best friends, and sometimes all three. People are spending more money on their pets, and this is reflected in the growing pet industry. While this is likely a good thing for our pets, those spending patterns are also good news for people who own businesses catering to the pet industry because the market size is expected to increase substantially over the coming years.
The increasing pet spending trends are not limited to food and treats; the growing number of pet industry trends has branched out to pet health and wellness, grooming, and accessories. Let’s take a detailed look at some of the major pet industry statistics.
The 20 Pet Industry Statistics
- The global pet market is worth $261 billion.
- It is projected that people in the USA will spend close to $109.6 billion on their pets in 2022.
- In 2020, there was an 18% increase in pet food sales in the USA.
- Millennials lead the pack in terms of pet ownership by generation, with 32% of people born between 1981-1996 being pet parents.
- The pet-sitting market size was $2.6 billion in 2019 and is expected to grow.
- While general pet ownership has increased during the pandemic, the number of animals adopted from shelters dropped by 20% in 2020.
- While pet ownership accelerated during the COVID-19 pandemic, investment banking companies predict millennials and Generation Z will sustain growth up to 14% by 2030.
- The global natural pet food market has a value of $22.8 billion.
- An average of 42% of dog and cat owners will spend more money on premium pet food.
- Over the last 5 years, raw dog food has seen a 147% increase in purchasing patterns.
- About 42% of pet owners buy their pet food online.
- People spend between $70-$80 on a single dog grooming session.
- In 2021, it was reported that 48% of people who give their pets CBD oil offer it as edible treats.
- Pet supplement sales had a growth of 116% from 2019 to 2020 and continue to grow.
- By 2025, the pet grooming industry is projected to grow to $14.5 billion.
- In the USA, 83% of dogs and 17% of cats are insured.
- During 2021-2025, the pet accessories market is expected to grow by $9.2 billion.
- More than 50% of pet owners are willing to pay more for eco-friendly pet care products.
- The pet tech market is set to grow at a 22% compound annual growth rate from 2021-2027.
- Americans spent $490 million on Halloween costumes for their pets.
Pet Industry Trends in the Overall Market
The pet industry covers a wide variety of services and products. The branches within the pet industry that are seeing upward trends are pet food and treats, wellness and health, pet grooming and supplies, and travel. Below are details about the current industry and market worth.
1. The global pet market is worth $261 billion.
(Global Industry Analysts)
The pet industry is not only growing in the United States but also on an international scale. The COVID-19 pandemic forced more people to stay indoors or work from home. This led to a higher demand for pets as companions, driving up adoption rates. This increase in pet adoptions assisted with the financial growth of different pet industry branches: food, veterinary care, toys, and grooming needs. With the global market worth currently close to $261 billion, it is projected to reach roughly $350 billion by 2027.
2. It is projected that people in the USA will spend close to $109.6 billion on their pets in 2022.
The amount people spend on their pets has been on a steady incline over the past several years. COVID-19 was one of the main reasons there was an increase in pet adoption over the year 2020. People will continue to spend money on their pets in the various branches of the growing pet industry, even as social distancing from the pandemic diminishes.
3. In 2020, there was an 18% increase in pet food sales in the USA.
(Pet Food Industry)
The increase in pets that were adopted during 2020 naturally led to a greater demand for pet food. This 18% increase in spending on pet food was equal to a $5.65 billion difference when compared to what pet owners spent on food in 2019.
4. Millennials lead the pack in terms of pet ownership by generation,
with 32% of people born between 1981-1996 being pet parents.
Nearly 1 in 3 millennials has an animal at home, and coincidentally, nearly 1 in 3 veterinarians in today’s working market are of the millennial generation. Pet ownership is next highest in baby boomers (27%) followed by Gen Xers (24%).
5. The pet-sitting market size was $2.6 billion in 2019 and is expected to grow.
(Grand View Research)
As the statistics about the pet industry’s worth demonstrate, people are adopting more and spending more on their pets. This means an increase in the pet-sitting market as well. COVID-19 put a pause on greatly increasing the market of the pet sitting industry in 2020. However, with more people returning to work, the need for pet sitters increases. It is projected that the market size will grow at a compound annual growth rate of 8.7% from 2020-2027.
6. While general pet ownership has increased during the pandemic, the number of animals adopted from shelters dropped by 20% in 2020.
The number of pet parents increased during COVID-19 as people found they had more time to spend with their companions at home. However, the number of adoptions from shelters in 2020 was the lowest in 5 years, which was surprising to many. However, a deeper look at intake numbers reveals that the impacts of COVID-19 also affected the number of animals given to shelters (32% and 23% less for dogs and cats, respectively). Additionally, animal control was not as active during the onset and height of COVID-19, which lowered numbers further.
7. While pet ownership accelerated during the COVID-19 pandemic, investment banking companies predict millennials and Generation Z will sustain growth up to 14% by 2030.
Surveys show that roughly 65% of 18–34-year-olds plan to add a pet to their family in the next 5 years. Data also shows that this age group is willing to spend a higher portion of their earnings on their pets compared to older generations. It’s no surprise that 54% of them admitted to treating their pet like their children.
Pet Food Industry Trends
With a marked increase in the pet food industry, it is common to see which trends are developing on how pet owners spend their money. The pet food market is more than standard kibble, so more specific niches are growing. Here are some of the growing pet spending statistics within the pet food industry.
8. The global natural pet food market has a value of $22.8 billion.
More people want to feed their pets natural and organic food. Pet owners are looking for food that does not contain pesticides, antibiotics, chemical by-products, or artificial coloring, and they are willing to pay for the high quality.
9. About 42% of dog and cat owners choose to spend more for premium pet food.
(Pet Food Processing)
Pet owners are starting to rethink their pets’ diets. While there are many budget pet food options, more than 40% of dog and cat owners stretch their wallets a bit for higher-quality food. Stores and online retailers have seen a shift in purchasing patterns among people, showing that they want to get premium dry food, wet food, and treats.
10. Over the last 5 years, raw dog food has seen a 147% increase in purchasing patterns.
One of the premium pet food choices that dog owners are buying is raw food. The raw food diet has many health benefits that dog owners are starting to recognize, and this is evident in their buying patterns.
11. Roughly 40% of pet owners buy their pet food and treats online.
(Pet Food Processing)
Online shopping has seen a significant increase due to the COVID-19 pandemic. However, pet owners are starting to see the benefit of ordering online. People can personalize their purchases because of the vast number of choices they can find on sites like Chewy or Amazon. It is projected that online sales continue an upward trajectory due to convenience and selection.
Pet Industry Trends in Health, Grooming, and Wellness
It is becoming more common to focus on the health and wellness of a pet beyond high-quality food. Pet owners are spending more on items that focus on their pets’ health in a holistic or pampering way. There are some interesting growing trends in the pet health and wellness industry.
12. In 2022, it was reported that 48% of people who give their pets CBD oil offer it as edible treats.
CBD is no longer limited to just people. With almost half of the pet owners surveyed saying they give their pets a form of CBD, it is a wellness trend that is projected to keep rising. CBD oil treats are becoming more widely available in stores and online retailers.
13. Pet supplement sales had a growth of 116% from 2019 to 2020 and continue to grow.
More pet owners are using supplements to help support their pet’s immune system and digestive system. Immune support supplement claims reached 236% in 2020, and digestive health supplements claims rose to 173% in that year. Pet owners are more aware of their pets’ health needs because there is an increase in people working from home and spending more time with their pets.
14. By 2025, the pet grooming product industry is projected to grow to $14.5 billion.
(Grand View Research)
The adoption boom during the COVID-19 pandemic has been a significant factor in the growth of the pet grooming industry. These products include shampoos, conditioners, trimming tools, and combs. Some of the shampoos are used for medical reasons, like killing fleas or helping with dandruff.
15. People spend between $70-$80 on one dog grooming session.
People want their dogs to look their best and are willing to pay for it. Dog groomers can help make dogs look clean and smell magnificent. Dog groomers operate in pet stores, vet’s offices, or even from mobile vans. There are many opportunities to get a dog pampered.
16. In the USA, 83% of dogs and 17% of cats are insured.
(Today’s Veterinary Business)
Emergency trips to the vet can be very costly, which is why more pet owners are buying insurance to make sure their pets can get the help they need. Pet owners spent almost $2 billion on pet insurance in 2020, a 27.5% increase from the previous year.
Trends and Statistics within the Pet Accessory Market
Pet accessories cover a wide range of products, such as food and water bowls, collars and leashes, toys, and litter boxes, to name a few. Some of these products are necessary, but some are just for fun – for both you and your pet. Here are some statistics about the pet accessory industry.
17. During 2022-2025, the pet accessories market is expected to grow by $9.2 billion.
With pet accessories covering such a wide range of products, it is no wonder that the industry is planning on a growth of almost $10 billion over the next few years. The pet accessory market caters to both pets’ and pet owners’ needs so that all target consumer groups can make purchases.
18. More than 50% of pet owners are willing to pay more for eco-friendly pet care products.
(Pet Food Processing)
People are looking for ways to reduce their ecological footprint in their daily lives, and this includes what they buy for their pets. More pet accessories are being made with more sustainable materials instead of plastics and can also be recycled. This trend will continue over the years as people become more aware of how to have less of a negative impact on the environment.
19. The pet tech market is set to grow at a 22% compound annual growth rate from 2022-2027.
(Global Market Insights)
Pet accessories are becoming more technical. Litter boxes are self-cleaning, collars have GPS tracking, and pets can be fed on a timer system. The rise in pet tech helps meet both the pet owner’s needs during the day as well as the needs of the pet. Since technology is an ever-growing industry, expect new inventions and developments within pet technology.
20. Americans spent $490 million on Halloween costumes for their pets.
Halloween costumes have become a growing niche in the pet industry. Pets in costumes can make anyone smile, whether they are cute or scary. Next to all the free candy, it is arguably the next most enjoyable thing about Halloween!
Frequently Asked Questions About Pet Industry
1. How many people in the USA own pets?
The 2019-2020 National Pet Owners Survey stated that a whopping 67% of American families own pets. That means 85 million families have at least one pet. No wonder the pet industry is increasing in worth! (Insurance Information Institute)
2. What are the most profitable business ideas within the pet industry?
If you want to be a part of the pet industry market, you might be interested in exploring several profitable branches outside of direct sales of pet supplies. Personal pet grooming, dog walking, and pet sitting are some lucrative choices. (Nerd Wallet)
3. How many people work in the pet industry?
Over 1.3 million people in the USA work within the pet industry. As more people start their own businesses surrounding pets, this number will continue to grow. (PIJAC)
4. Will the pet industry in the USA continue to grow?
Yes! Pet market sales have only increased over the past decade. Trends in the pet industry are introducing exciting economic opportunities for many people. (Statista)
5. Which generation buys their pets the most gifts for the holidays?
60 percent of Gen Z pet owners bought their pet a gift for the holidays in 2020. After Gen Z, 49% of millennials get their pets gifts. Pets are family members, too! (Statista)
The pet industry has established itself as an essential part of millions of people’s lives all over the USA. Recent trends show potential growth in various branches: food and treats, health and wellness, and pet accessories. Personalization, creativity, and innovation will help with industry change and growth for the next generation.
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Featured Image Credit: Cindy Parks, Pixabay