Last year, we had the chance to attend Global Pet Expo, the largest pet product trade show in the country. Although we didn’t get to attend this year, we received the press report on the growth that’s underway in the industry, and we wanted to share it with you. It’s amazing the growth this industry is undergoing!
In 2013, the American Pet Products Association (APPA) reports that spending on pets and pet products reached an all-time high of $55.7 billion, a 4.5 percent growth over spending in 2012.
For this year, spending is forecast to grow 4.9 percent to $58.51 billion.
- Pet services: Up 6.1 percent from 2012, this is the fastest growing sector of the pet industry right now. In all, $4.41 billion are spent on pet services including grooming, training, boarding and other services. APPA estimates that next year’s spending for this category will be $4.73 billion.
- Veterinary Care: Last year, $14.37 billion was spent on veterinary care, second only to food category spending. While the number of veterinary visits is down, spending on care is rising.
- Pet insurance. Included in the veterinary care figures, pet insurance is estimated at $650 million and projected to grow to over $870 million by next year.
- Pet foods. The food category is expected to reach an all-time high in 2014 with $22.62 million in estimated spending.
- Health and wellness. Health and wellness supplies and over-the-counter medications grew 7.4 percent in 2012 and 3.9 percent last year. This year, it’s expected to be the third highest segment in the industry behind food and veterinary care.
2014 cost breakdown:
|Category||’12 Actual||’13 Actual||% Growth||’14 Est.||%Growth|
|($ Billion)||($ Billion)||’12 vs. ’13||($ Billion)||(2014)|
|Supplies/ OTC Med||12.65||13.14||3.9||13.72||4.4|
Why the growth? Bob Vetere, president and CEO of APPA, says, “People are pampering their pets more than ever and manufacturers and businesses are offering new products, services and opportunities to meet their needs and wants from interactive and innovative toys to dog walking, doggy day-care and pet-friendly hotels, restaurants and airlines.”
Visit www.americanpetproducts.org for more information.