ORLANDO, FLA. — The American Pet Products Association (APPA) released its latest pet spending data Feb. 27 during Global Pet Expo, bringing the industry closer to $100 billion in annual pet spending than ever before. APPA estimates pet spending in 2019 totaled $95.7 billion, of which $36.9 billion got here from pet food and treats sales alone.
A breakdown of pet spending by category — between pet food and treats; supplies, live animals and over-the-counter (OTC) medicine; veterinary care and product sales; and other services — shows pet food and treats leads the pack with roughly 39% of total pet industry sales.
This figure predominantly represents dog and cat food sales, with a rise in revenue from meal enhancers, mixers and toppers, in addition to subscription delivery services, based on APPA.
“Consumers are more educated than ever in regards to the ingredients that go into their pets’ food, which suggests they’re willing to pay more for quality products,” said Steve King, CEO of APPA. “Because the demand for natural, minimally-processed ingredients continues, we expect to see regular growth on this category.”
In its 2018-2019 National Pet Owners Survey, APPA projected pet food and treat sales would reach $31.68 billion in 2019. Thus, the market exceeded the association’s expectations by roughly 16% on this category.
Veterinary care and products are available in second with $29.3 billion in sales, followed by supplies, live animals and OTC medicine at $19.2 billion and other services at $10.3 billion.
“Scientific research from the Human Animal Bond Research Institute (HABRI) shows that if you spend money on your pets’ health, you’re investing in your personal health,” King added. This might also speak to the premiumization of the pet grocery store, and younger generations’ willingness to spend more cash on pet food and treat products that they consider are higher quality.
APPA projects spending to extend 3.5% overall in 2020, with pet food and treats and other services driving 4% growth, and supplies and veterinary sales driving 3% growth.
The APPA Natural Pet Owners Survey included data from members of Gen Z for the primary time, because the oldest amongst them are starting to own pets of their very own. APPA classifies its Gen Z cohort as being born between 1995 and 2000, currently between the ages of 18 and 23.
Historically, the association has tracked pet spending data since 1996 but recently adjusted its research methodology to make sure accuracy. For 2019, APPA combined data from Nielsen, Euromonitor and Packaged Facts, the leading market research firms within the pet space.
Compare these numbers with APPA’s pet spending data from 2018.
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