Pet industry

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The pet industry (sometimes known as petconomy [1] [2] ) is the market industry associated with companion animals. It includes things that are associated with the production, consumption and cultural activities linked to the market. Next to nutrition, toys and animal healthcare, new services and products like taxis, kindergartens, hotels, IT appliances, broadcasting, theme parks and funeral services are appearing on the market. [3]

Contents

Economy

Pet Product Store Pets Place Nijmegen.JPG
Pet Product Store

In the United States alone between 2017 and 2018 there was an estimate of 393 million pets, making for a total pet expenditure of $72.56 billion. [4] In Europe the total amount of companion animals in 2018 was estimated to be over 158 million pets. [5] The total pet expenditures can be divided into nutrition, supplies/medicines, veterinarian care, live animal purchases and other services.

The most common found pet in the United States, according to the 2019-2020 APPA National Pet Owners Survey, was the dog with 63.4 million of U.S. households owning at least as a pet. After that comes the cat with 42.7 million households keeping one. The third largest owned pet in the U.S. is the freshwater fish with 11.5 million households owning at least one fish. After that comes the bird (5.7 million households), small rodents (5.4 million households), reptiles (4.5 million households), and last saltwater fish and horses with 3.2 million households owning one.

The basic annual expenditures for keeping and maintaining a pet dog in the United States is $1,381. For keeping a cat in the United States the costs come to $908 per year. These costs includes things such as surgical vets visits, routine vet visits, food, vitamins and toys. [4]

Total U.S. Pet Industry Expenditures, 2010-2019 ($ billions) [4]
2010201120122013201420152016201720182019 (expected)
Expenditure48.3550.9655.3355.7258.0460.2866.7569.5172.5675.38

Healthcare market

The global animal healthcare market size in 2018 was estimated at $43.55 billion with a Compound Annual Growth Rate (CAGR) of 5.6% between 2017 and 2025. The Global Animal Health Market is estimated to reach 70.01 billion by 2026. [6] A significant part of that is the Companion Healthcare Market estimated to be as large as $15.3 billion in 2019 and is expected to rise to 20.7 billion by 2024, with a CAGR of 6.26%. [7] This estimated increase is mainly bound to happen due to government initiatives trying to encourage the growth of veterinary products and treatments. The boost of the market however has to do with an increase in the adoption of companion animals. [6] The Companion Animal Healthcare Market is driven by zoonotic and foodborne diseases among companion animals, increasing companion animal ownership, healthcare concerns of pets and a rising concern for improved nutrition. [7] A big part of the Companion Animal Healthcare Market is the investment of insurances. The Pet Insurance market is estimated to account for $10 billion by 2025. The insurance could include a multi-pet insurance plan so that multiple pet policies are covered in a single plan. An attribution to the insurance in some instances could also cover pet cremation and situations where the pet gets lost. [8]

A positive side-effect in the economy due to the pet industry can be found in the number of visits to a healthcare agency, like a doctor. In 1998, in the United States, non-institutionalised seniors experienced 19% less encounters with healthcare instances. In 2007, in Australia, pet owners made 15% fewer visits to the doctor compared to non-pet owners. [9] The total health expenditure savings in 2013 due to pet ownership have been estimated to account for 11% for the Australian healthcare and 24% for the German healthcare. In the UK the healthcare expenditure savings in 2013 due to the existence of companion animals are estimated to have been around £2.45 billion, £47 million per week. [9]

Food markets

According to the actual sales within the U.S. market in 2018 of APPA, $30.32 billion was spent on food out of $72.56 billion. on estimated 2019 sales within the U.S. market, food is estimated to increase to $31.68 billion in the U.S. [4] The world's largest pet food markets are in the United States, France, Japan, and Germany, accounting for over half of the sales in pet food. North America is the largest geographical segment of the market studied and accounted for a share of around 39.2% of the overall market. The pet food market is segmented by animal type, product type, ingredient type, sales channel, pricing type, and geography. The shift in pet ‘ownership’ to ‘parenting’ has been a very crucial and defining trend in the pet food market, more so in the developed countries.

See also

Related Research Articles

<span class="mw-page-title-main">Pet</span> Animal kept for companionship rather than utility

A pet, or companion animal, is an animal kept primarily for a person's company or entertainment rather than as a working animal, livestock, or a laboratory animal. Popular pets are often considered to have attractive/cute appearances, intelligence, and relatable personalities, but some pets may be taken in on an altruistic basis and accepted by the owner regardless of these characteristics.

<span class="mw-page-title-main">Dog food</span> Food intended for consumption by dogs usually made from meat

Dog food is food specifically formulated and intended for consumption by dogs and other related canines. Dogs are considered to be omnivores with a carnivorous bias. They have the sharp, pointed teeth and shorter gastrointestinal tracts of carnivores, better suited for the consumption of meat than of vegetable substances, yet also have ten genes that are responsible for starch and glucose digestion, as well as the ability to produce amylase, an enzyme that functions to break down carbohydrates into simple sugars – something that obligate carnivores like cats lack. Dogs evolved the ability living alongside humans in agricultural societies, as they managed on scrap leftovers and excrement from humans.

<span class="mw-page-title-main">Grocery store</span> Retail store that primarily sells food and other household supplies

A grocery store (AE), grocery shop (BE) or simply grocery is a foodservice retail store that primarily retails a general range of food products, which may be fresh or packaged. In everyday U.S. usage, however, "grocery store" is a synonym for supermarket, and is not used to refer to other types of stores that sell groceries. In the UK, shops that sell food are distinguished as grocers or grocery shops.

<span class="mw-page-title-main">Supplemental Nutrition Assistance Program</span> United States government food assistance program

In the United States, the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, is a federal government program that provides food-purchasing assistance for low- and no-income people to help them maintain adequate nutrition and health. It is a federal aid program administered by the U.S. Department of Agriculture (USDA) under the Food and Nutrition Service (FNS), though benefits are distributed by specific departments of U.S. states.

<span class="mw-page-title-main">Nestlé Purina PetCare</span> American pet food manufacturer, subsidiary of the Swiss corporation Nestlé

Nestlé Purina PetCare, or simply Purina, is an American subsidiary of the Swiss corporation Nestlé, based in St. Louis, Missouri. It produces and markets pet food, treats, and cat and dog litter. Some of its pet food brands include Purina Pro Plan, Purina Dog Chow, Friskies, Beneful and Purina One. The company was formed in 2001 by combining Nestlé's Friskies PetCare Company with Ralston Purina, which acquired it for $10.3 billion. As of 2012, it is the second-largest pet food company globally and the largest in the United States.

<span class="mw-page-title-main">Ajinomoto</span> Japanese food and biotechnology company

Ajinomoto Co., Inc. is a Japanese multinational food and biotechnology corporation which produces seasonings, interlayer insulating materials for semiconductor packages for use in personal computers, cooking oils, frozen foods, beverages, sweeteners, amino acids, and pharmaceuticals. Aji-No-Moto is the trade name for the company's original monosodium glutamate (MSG) product, the first of its kind, since 1909. The corporation's head office is located in Chūō, Tokyo. As of 2022, Ajinomoto operates in 36 countries worldwide and employs an estimated 34,198 people. Its yearly revenue in 2022 is around ¥1.36 trillion JPY or $10 billion USD.

<span class="mw-page-title-main">Economy of India</span>

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<span class="mw-page-title-main">Pet store</span> Retailer which sells animals to the public

A pet shop or pet store is an essential services retailer which sells animals and pet care resources to the public. A variety of animal supplies and pet accessories are also sold in pet shops. The products sold include: food, treats, toys, collars, leashes, cat litter, cages and aquariums.

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<span class="mw-page-title-main">Pet food</span> Animal feed for pets

Pet food is animal feed intended for consumption by pets. Typically sold in pet stores and supermarkets, it is usually specific to the type of animal, such as dog food or cat food. Most meat used for animals is a byproduct of the human food industry, and is not regarded as "human grade".

<span class="mw-page-title-main">Petco</span> American pet supply store chain

Petco Health and Wellness Company, Inc. is an American pet retailer with corporate offices in San Diego and San Antonio. Petco sells pet food, products, and services, as well as certain types of live small animals.

<span class="mw-page-title-main">Royal Canin</span> Dog and cat feed manufacturer

Royal Canin is a French manufacturer and global supplier of cat and dog food. The company is a subsidiary of Mars, Incorporated. It undertakes research into the specific nutritional needs of dogs and cats.

Carlisle Companies Incorporated is an American diversified company that designs, manufactures, and markets a wide range of products that serve a broad range of niche markets to customers worldwide, including: commercial roofing, energy, agriculture, lawn and garden, mining and construction equipment, aerospace and electronics, dining and food delivery, and healthcare.

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<span class="mw-page-title-main">Dog fashion</span> Style in which people dress their dogs

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References

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