Pets or fur babies have been companions to humans as far back as the time Egyptians were constructing pyramids. Domesticated animals used to serve humans in various hunting and labour activities. In sharp contrast, it's common today to find the same animals bred so minuscular they can fit neatly inside a large purse or a pet stroller. In modern times, pets are perceived with doting affection and as family members across many households. Americans own approximately 78 million dogs, 85 million cats and 14 million birds. And the appetite for superior quality pet care products suited for all species, sizes, diets, and conditions is growing.

The pet care market globally was valued at USD 207.90 billion in 2020. The Canadian pet care market is worth $7 billion, with 60% of Canadians owning a pet. During the COVID-19 pandemic, demand for pet care products grew astronomically. According to Fortune Insights, the pet care market grew by a staggering 28.11%. It is projected to grow at a CAGR of 5.6% from 2021 to 2028. In the last 17 months, sales for pet care products increased by 117% in the Canadian market.

Pet Nutrition and Consumables Lead the Way

The pandemic-induced focus on health and nutrition wasn't just limited to humans; more pet owners are buying premium and novel pet food products. The largest segment of the pet care market is pet food, driven by the great demand for flavorful and nutritious food for daily feeding needs. There's also a shift towards plant-based and vegan animal food products.

Not only so, but pet obesity is on the rise, which can prompt more owners to direct their pet spending on healthy, natural, and organic pet foods. The American Animal Hospital Association found that over half of adult pet dogs are considered overweight across 1000 hospitals.

Hygiene, Grooming, and Toys

There's a rising demand for premium hygiene products such as oral care, as well as grooming products and toys. This is mainly driven by growing consumer awareness of the availability of animal care products, as well as pet humanization. The growing consumption of video content related to grooming and hygiene is expected to drive growth.

Dogs Hold Majority Market Share, Cats Rise

A larger dog population results in higher revenue from dog care products. However, the cat segment is expected to grow considerably due to the rising online sales of cat care products from e-commerce sites like Amazon, Walmart, and others. According to Amazon, cat care products among U.S. households in 2018 reached 40% compared to 27% in 2014.

Pet Care Subscription Model Champions Online Growth

Source: Barkbox.com

Plenty of startups have created subscription models for pet care products, many centred around providing nutritious, customizable, and ready-made meals. Because several variables are involved when choosing the ideal feed for your pet (weight, size, breed, conditions), having a convenient subscription service where meals are uniquely tailored to the pet can be more attractive than generic supermarket brands.

Grove, an online subscription-based platform providing natural cleaning, beauty, and pet products, raised $527 million in funding. Despite the headways made by online channels, the offline segment, including pet stores and supermarkets, still holds the most significant market share due to availability. The growing infrastructure related to pet stores will likely support pet care consumption.

Demographics

North America holds a significant market share of 40%, followed in second by Europe. Canada and the U.S. lead the way regarding pet care-related spending. According to the Pet Food Association of Canada, 63% of Canadians owned pets in 2020, with at least one dog or cat in the household (7.7 million dogs, 8.1 million cats). The pandemic spurred an 18% increase in demand for new pets in Canada.

Europe is expected to grow considerably due to expanding infrastructural settings in pet stores and vets. As of 2019, there were 200,000 vets and 60,000 specialty pet stores in Europe. In 2021, the number of pet cats (113.6 million) surpassed pet dogs (92.9 million) in Europe.

In South Africa, their market share is predominantly occupied by aqua-related production facilities in countries like Brazil and Chile, leading to more extensive sales for fish food products.

In the Middle East and Africa, there's growing awareness of hygiene and cleanliness, which will likely drive demand for dog tissues, cat litter, pet deodorizers, pet hygiene and grooming-related items.

The Asia-Pacific region is anticipated to grow the fastest due to positive economic growth.

Industry Spotlight: Naturpet

Arrowleaf Naturals has been a champion of providing natural and effective remedies for people and pets for 28 years. Under the Arrowleaf branch is Naturpet, a line of all-natural herbal remedies formulated in consultation with veterinarians across Canada. Naturpet carries several products to treat minor infections and provide protective health care for dogs and cats. All products are non-drug and non-pharmaceutical.

In conclusion, the pet care market is growing at an unprecedented rate, with pet owners increasingly prioritizing the health and well-being of their furry companions. From premium pet food to hygiene and grooming products, the demand for superior-quality pet care products is on the rise. The COVID-19 pandemic has only accelerated this trend, with online channels and subscription models becoming increasingly popular. As the industry continues to expand, it's heartening to see companies like Naturpet prioritizing natural and effective pet remedies. As pet ownership continues to increase worldwide, we can expect the pet care market to continue its remarkable growth trajectory in the years to come.

Sources

Opportunities in Canada's pet care market. Grow Trade Consulting, Inc. (2021, December 1). Retrieved February 24, 2023, from https://growtrade.ca/2021/12/01/opportunities-in-...

Pet care market size, share & covid-19 impact analysis, by product type (pet food products, Veterinary Care, and others), pet type (dog, cat, and others), distribution channel (online and offline), and Regional Forecast, 2021-2028 . Pet Care Market Size, Share, Growth & Industry Trends [2028]. (n.d.). Retrieved February 24, 2023, from https://www.fortunebusinessinsights.com/pet-care-...

Pet industry market size, Trends & Ownership Statistics. American Pet Products Association. (n.d.). Retrieved February 24, 2023, from https://www.americanpetproducts.org/press_industr...

Statistics. FEDIAF. (n.d.). Retrieved February 24, 2023, from https://europeanpetfood.org/about/statistics/

Top pet products subscription startups. Tracxn. (n.d.). Retrieved February 24, 2023, from https://tracxn.com/d/trending-themes/Startups-in-...