The pet industry is in a constant state of evolution, consistently adapting to meet the changing needs of pet owners and their beloved animals. Here are 9 noteworthy trends in the pet industry for the year 2023 and beyond, revealing an evolving relationship between humans and their pets, increasingly integrated into our lifestyles.
1. Evolution of Pet Services
The landscape of pet services is undergoing a transformation beyond conventional offerings. The surge in niche markets, such as pet photography, pet party planning, and pet dating platforms, signifies the growing perception of pets as integral family members.
Morgan Stanley anticipates substantial growth in pet services within the industry. Projections indicate a remarkable 143% spending increase by 2030, reaching $118 billion, surpassing earlier estimates of $127 billion for the same period.
2. Emphasis on Sustainable and Eco-Friendly Products
The global rise in environmental consciousness is fueling a significant demand for sustainable pet products. Biodegradable waste bags, eco-friendly toys, and sustainably sourced pet foods are gaining popularity. This trend gained momentum in 2016 when millennials, known for their environmental focus, emerged as the largest demographic of pet owners.
Caitlyn Dudas, executive director of the Pet Sustainability Coalition (PSC), emphasizes the ongoing effort required to meet the industry’s growing demand for sustainability.
3. Integration of Technology in Pet Care and Veterinary Services
Technology is revolutionizing pet care. Tools like pet wearables, GPS trackers, smart feeding devices, and health monitoring apps are becoming essential for pet owners to ensure their pets’ well-being.
Simultaneously, tech-driven veterinary clinics are reshaping veterinary care with mobile practice apps, online booking, AI support, and remote diagnostics. Enhanced funding and collaboration are setting new standards in veterinary care, and more practices are expected to adopt these advanced methods.
4. Personalized Pet Nutrition
The trend of personalized pet nutrition is gaining momentum. Pet owners are increasingly opting for tailored diets, including customized food subscriptions and diets formulated for specific health requirements, breeds, or age groups.
Insights from ADM analysts indicate that 88% of pet owners consider preventive health measures crucial for their pets. Additionally, a 2022 FMCG Gurus report shows that 40% of pet owners globally rely on specialized pet products to enhance their pets’ wellness.
5. Focus on Pet Health and Wellness
The emphasis on pet health and wellness extends beyond physical care to include mental well-being. This shift has led to a variety of products and services aimed at improving pets’ lives, including anxiety-alleviating products, supplements, and specialized pet therapy services.
The global CBD pet market has seen a notable surge, with an estimated value of USD 195.98 million in 2022, forecasted to grow at a CAGR of 31.8%. Research, such as that from Cornell University, highlights CBD’s potential in managing pain, particularly in dogs with osteoarthritis.
6. Rise of Pet Insurance
As veterinary costs rise, pet insurance becomes a crucial investment for pet owners. The industry is witnessing an expansion of comprehensive coverage plans due to escalating pet healthcare expenses.
The pet insurance market, valued at USD 9.4 billion in 2022, is projected to grow at a CAGR of 17.04% from 2023 to 2030. Accident and illness policies covering various conditions are expected to see rapid growth.
7. Mobile Pet Services
Mobile pet services are enhancing convenience for busy pet owners. This trend includes mobile grooming, veterinary services, and pet sitting, bringing these services directly to the client’s home.
The dog segment leads in pet sitting services, capturing 54.2% of the market revenue. The rise of subscription-based dog toy services is also contributing to the demand for animal toys.
8. Alternative Pet Food
The pet food industry is experiencing a shift towards alternative diets like plant-based options, insect-derived proteins, and lab-grown meats. Increasing health considerations and sustainability concerns are driving this change.
The plant-based pet food market is growing due to factors such as the momentum of the vegan movement, changing perceptions of pets as family members, and an increasing number of vegan pet owners seeking plant-based diets for their pets.
9. Pet-Friendly Travel and Accommodation
The trend of traveling with pets is growing, resulting in a higher demand for pet-accommodating travel options and lodgings. Pet-friendly hotels, pet-centric airline policies, and specialized vacation plans for pets are on the rise.
Approximately 2 million domestic animals travel on commercial flights annually in the US. Popular destinations for these jet-setting pets include the US, Canada, and the UK.
Conclusion
These trends underscore a dynamic shift in the pet industry, reflecting a deeper integration of pets into our daily lives and societal values. As pet ownership continues to rise, these trends will shape the future of pet care and related products and services.
