While it is no secret that the pet care industry is a lucrative one and growing, the American Pet Products Association’s latest annual pet industry expenditures data have reaffirmed this. In its Strategic Insights Report for 2024, the association announced that America’s pet industry raked in a whopping $147 billion, or 12.2 lakh crore in Indian rupee terms, last year. It has predicted that the numbers will continue to rise until at least 2030, when it is expected to hit the $250 billion mark, or ₹20.75 lakh crore at the current exchange rate.
The report was released at the Global Pet Expo, an event co-produced by APPA and the Pet Industry Distributors Association.
APPA’s pet industry expenditures are divided into four major categories: pet food and treats; supplies, live animals, and over-the-counter medicine; vet care and product sales; and other services. The report said $64.4 billion, or nearly 44%, was spent on pet food and treats; $32 billion, or about 22%, on supplies, live animals, and OTC medicine; and $38.3 billion, or 26%, on vet care and product sales. The remaining 8%, or $12.3 billion, were spent on pet services like boarding, grooming, insurance, training, pet sitting and walking.
APPA President and Chief Executive Officer Peter Scott said, “The data have shown that the pet industry has remained incredibly strong since 2009 despite wide-scale economic challenges. While there are signs of slowing, the industry is resilient, especially compared to other industries. In fact, we forecast the industry’s expenditures to top $250 billion by 2030.”
Interestingly, the pet industry supplied an overall economic contribution of $303 billion, an increase of 16% from $260 billion in 2022. The following are a few other key findings in the report:
- Pet care ranks highest in the fast-moving consumer goods category and has beaten even grocery and dairy.
- While the number of homes that have pets now seems as ‘normal’ as it was before the COVID-19 pandemic, it has actually risen from 2020.
- Millennials, or those born between 1981 and 1995, have the most number of pets, but it is Gen Z, those born between 1996 and 2010, who take a lot more initiative when it comes to educating themselves about animals and their related products.
Ingrid Chu, vice-president of insights and research at APPA, said, “Millennial pet owners still account for more pet owners than any other generation, but the number of Gen Z pet owners is quickly rising.” She added, “Gen Z looks to visual platforms like TikTok, YouTube, and Instagram to learn about new pet products, telling us that pet brands will need to consider more visual media to reach their younger audiences.”
APPA was founded in 1958. Its goal is to promote, develop and advance responsible pet ownership and the pet products industry. Thirty years later it began publishing the APPA National Pet Owners Survey.
Source: PR Newswire
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One comment
Krishnan
April 6, 2024 at 2:26 pm
A lot of this is wasteful expenditure, but it’s good business for the companies concerned, as well as for veterinarians who make a killing promoting many of these products.